Plantation companies submit two-year proposal to TUs

Ramani Kangaraarachchi

Plantation companies have submitted a two-year proposal to trade unions in the tea sector to solve their wage increase problem at the meeting at the EFC in Rajagiriya on Monday.

Chairman, Plantation Services Group of the EFC and CEO Balangoda and Madulsima Plantation Lalith Obeysekara said that they proposed an increase of Rs. 1,750 per worker per month at the end of two years. It was proposed to increase Rs 40 per day per worker with immediate effect.

However, it was turned down and thereby the trade unions called for a Rs. 500 increase. This proposal was made following the failure in negotiations between the Estate Employers Federation and signatories to the collective agreement for a wage increase of Rs. 500 per day.

Obeysekara said that plantation companies proposed to pay Rs 250 as a basic wage and Rs. 80 as attendance which works out to Rs. 330, an increase of Rs. 40 per day. Every employee has to work a minimum of 25 days per month as a norm where he will be entitled to a Rs. 1,000 increase in the first year and a further increase of Rs. 30 in the second year will make a total of Rs. 750 per month.

Although the trade unions turned down the proposal, Obeysekera hoped they would reach a settlement shortly. The workers are continuing with the work to rule and are not allowing to move tea out of the factory.

He said that companies will have a serious cash flow problem unless the trade unions come to a settlement immediately and they would be unable to pay their wages next month with the forthcoming festive season.