From ECONOMYNEXT

Mar 31, 2016

ECONOMYNEXT – Talks on a new collective wage agreement between Sri Lanka’s regional plantations companies and labour unions remain deadlocked with an agreement likely only in a few months when prices recover.

“The negotiations are still on hold,” said plantation industries minister Navin Dissanayake.

“There’s a ballpark figure of 780 rupees a month that people (unions) are happy with.”

Dissanayake told a news conference that unions will not agree to stick to the current wage of 450 rupees nor will RPCs agree to workers’ demand for 1,000 rupees.

“Given current prices, RPCs are reluctant to commit themselves. There will be some kind of settlement within 2-3 months.”

The slump in tea and rubber prices has hit the island’s plantations industry hard with most RPCs suffering cash flow problems and losses.

Dissanayake said the government has no intention of taking back estates that were handed over to private management except for 2-3 RPCs “under financial stress” and “not being properly managed.”

“We can’t allow them to collapse,” Dissanayake said, noting that the government was committed to supporting the plantations industry given its economic importance.
(COLOMBO, March 31, 2016)

Sri Lanka plantations wage talks remain deadlocked

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