![]() Financial Daily from THE HINDU group of publications Friday, Jun 17, 2005 |
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Agri-Biz & Commodities
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Plantations 3.6 lakh plantation workers in Kerala go on strike G.K. Nair
Kochi , June 16 AN estimated 3.6 lakh workers in the rubber, tea, coffee and cardamom plantations in Kerala have gone on an indefinite strike from Wednesday, demanding de-freezing of their DA and revision of wages pending since 2002. Though the strike was total on Wednesday, workers belonging to two trade unions reportedly came for duty in the Munnar region and some places in Wayanad. However, about 60 per cent of the workers are said to have stayed away. The trade union leaders alleged that even after the Centre recently announced certain packages for the tea and coffee plantations - to bail out these sectors from the crisis - the managements were reluctant to de-freeze the DA and hold discussions on wage revision. The wages were revised in 1999 and that agreement expired in 2002. Following sharp fall in the prices of the plantation crops, the DA of the workers was frozen. However, it was restored to the workers in rubber plantations following the increase in natural rubber prices, besides which they were paid Rs 5 daily as an ad hoc payment. Since the rubber plantations have come out of the crisis, the managements have agreed to hold discussions on revision of wages, linked to productivity in rubber and cardamom sectors. But the workers rejected this offer demanding that the wage revision talks should cover workers in tea and coffee plantations too. Trade union leaders in Peerumade in Idukki district said that if they agreed to the proposed discussions on revision of wages of workers in the rubber and cardamom plantations, it would not only divide the workers but might deprive thousands of workers in the tea and coffee sector of the opportunity to press for their demands. A majority of the workers are in the rubber plantations, estimated at 2.3 lakh, while the cardamom sector has only around 22,000. The number of workers in the tea and coffee are estimated at 84,000 and 25,000 respectively. Given this situation, the trade unions fear that reaching a settlement for the workers in rubber and cardamom might weaken their bargaining potential. In fact, the worst hit are the workers of the tea plantations in the State, following the closing down of operations in the estates by the managements citing financial crisis. As many as 22 estates remain closed in the State while 15 (mainly under corporate managements) are functioning. Meanwhile, Mr P.T. Joseph, Vice-Chairman, Association of Planters of Kerala, told Business Line on Thursday that the managements were ready to hold discussions on productivity-linked wage revision and de-freezing of DA once tea and coffee prices move up to remunerative levels. "But we cannot give a timeframe as the prices are determined by the market. In fact, tea prices, which had shown some upward swing early this year, are now on a declining trend for the past two months. Currently, the price is around Rs 45 a kg and there are not enough buyers also." He added that increase in tea production in the country during the year, coupled with imports of cheap tea at Rs 30-35 a kg from countries such as Indonesia has weakened the demand for indigenous produce. "With the high cost of production, we cannot compete in the current market," he said. Labour cost formed 60-65 per cent of the cost of production here, he added. According to him, de-freezing of DA would result in a total hike of Rs 9 in wages, which in turn would raise the cost of production by Rs 2.5 a kg. In the current circumstances, the managements would not be able accept the demand for revision of wages or de-freezing of the DA. "We are already in a desperate situation." The workers have resorted to the indefinite strike following failure of two-day-long discussions held by the Labour Minister and officials with the trade union leaders and management representatives on June 13-14.
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