Planters’ Association refutes rumor on double days’ pay

17 July 2015 06:30 pm Views - 1025

The Planters’ Association of Ceylon refutes incorrect and misleading statements being circulated by certain parties with regard to the payment of daily wages to estate workers who pluck 18kg to 20kg of tea leaves being entitled to receive two full days’ wage for a single day’s work. 

While information has come to light of such a rumour, the Association wishes to categorically state that the Regional Plantation Companies (RPCs) did not agree to any such demand in the final round of negotiations on estate sector wages, held with the participation of the Minister of Labour, S. B. Nawinne, on 15th July, at which the concerned parties did not arrive at consensus. 

Therefore there will be no change for the present with regard to the daily remuneration for workers, until consensus is reached on the proposal submitted by the Regional Plantation Companies, enabling the workers to earn their expected daily wage of Rs. 1000. The Association urges all industry stakeholders and the general public not to be misled by statements being circulated by certain groups that is creating confusion in the minds of the workers who have now returned to work.  

The Association wishes to highlight that if implemented, the demand of the unions for an unconditional increase of the daily wage to Rs. 1,000 would lead to RPCs incurring a massive Rs. 18,000 million additionally per annum, for the payment of wages and is thus inconceivable with the RPCs already suffering losses up to Rs. 80 per kilogramme of tea sold. The price at which the RPCs sell a kilogramme of tea at the Colombo Tea Auction must increase by Rs. 287, for the companies to merely break even, in this scenario.