Cabinet approval to raise daily wage of estate sector workers


The Cabinet of Ministers have approved a proposal to take necessary steps to increase the daily wages of estate sector employees up to Rs. 1,000, across wages control boards so that the budget proposal on the this could be implemented.

The estate sector employees are eligible for a daily wage / remuneration of Rs. 750 including a fixed price allowance of Rs. 50 and another allowance named over-kilo rate if the fixed weight of kilograms exceeds related to productivity.

The budget proposals presented to the Parliament in November 2020 suggested a daily wage of Rs. 1,000 for the estate sector.

Although several rounds of discussions were held with the parties who signed the “Estate employee salaries collective agreement 2019 – 2021, one party; Ceylon Employers’ Association representing the estate owners’ association who is one party of the collective agreement has proposed to escalate the daily wage up to Rs. 920.

“Considering this fact, the Cabinet of Ministers approved the resolution furnished by the Minister of Labour for taking necessary steps to escalate the employee wages of the estate sector up to Rs. 1,000, across wages control boards so that the budget proposal could be implemented,” the government said.

Estate Housing Scheme

Meanwhile the Cabinet has also decided to revise the existing estate housing scheme for providing more secure residence for the entire estate community.

“The estate housing scheme” for the construction of new houses instead of line rooms for the estate community has been implemented across various methodologies from the year 2000 to date, the Cabinet spokesman said.

By now two projects, namely a house of 550 square feet with the sole land ownership for 7 perches with the sponsorship of the State and a house of 550 square feet with the partnership of the governments of India and Sri Lanka, are being implemented.

Accordingly, the approval of the Cabinet of Ministers has been granted to the resolution tabled by the Prime Minister in his capacity as the Minister of Urban Development and Housing for taking necessary steps as follows subject to adhere to one general methodology when allocating houses for the estate community since an anomaly / discrepancy has been created due to the difference of the procedure followed at awarding houses under these schemes and to take actions appearing below.

• Construction of new houses in the same venue replacing the existing line houses.
• Implementing the housing schemes in respective venues if there are disaster risks of flowing / landslide or the space where the line houses are in is insufficient.
• Construction of the first phase of the house spending Rs. 1.3 million with square feet of 550 so that it could be developed up to two stories in the future.
• Allocate 03 more perches for each beneficiary for animal husbandry and home gardening apart from the initial allocation.
• Claim only 50% of the value of the construction cost as a pay back from the beneficiaries and providing a 20-year period for recovering the same.
• Providing necessary facilities as transitional residences at a respective place in the close proximity to the site until new houses are constructed in the place where line houses are situated.