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Sri Lanka tea strike called off | Sri Lanka tea strike called off |
(about 5 hours later) | |
The main tea unions of Sri Lanka have called off a damaging two-week strike which officials say brought the industry to a virtual standstill. | The main tea unions of Sri Lanka have called off a damaging two-week strike which officials say brought the industry to a virtual standstill. |
Union leaders say they have secured a pay rise for 40,000 tea estate workers, who earn less than $2 a day. | |
Under the deal, their wages will go up to $2.40 a day - a 33% pay rise, but still less than the unions demanded. | Under the deal, their wages will go up to $2.40 a day - a 33% pay rise, but still less than the unions demanded. |
Most tea workers are the descendants of Indian Tamils brought to the island by British colonialists as cheap labour. | Most tea workers are the descendants of Indian Tamils brought to the island by British colonialists as cheap labour. |
"The union leadership has agreed to the deal. Now we have to sell its benefits to the workers in the field," member of parliament P Radhakrishnan told the Reuters news agency. | "The union leadership has agreed to the deal. Now we have to sell its benefits to the workers in the field," member of parliament P Radhakrishnan told the Reuters news agency. |
Shortfall | Shortfall |
Mr Radhakrishnan is a central committee member in the Upcountry People's Front, which represents about 50,000 plantation workers. | Mr Radhakrishnan is a central committee member in the Upcountry People's Front, which represents about 50,000 plantation workers. |
"I expect my people to be back at work by Friday," he added. | "I expect my people to be back at work by Friday," he added. |
The head of Sri Lanka's Tea Board told Reuters last week that the strike would reduce the island's 2006 tea crop to around 300m kg from a forecast 315-320m kg. | The head of Sri Lanka's Tea Board told Reuters last week that the strike would reduce the island's 2006 tea crop to around 300m kg from a forecast 315-320m kg. |
Sri Lanka harvested a record 317.2m kg of tea in 2005, making it the world's fourth largest producer behind China, India and Kenya. | Sri Lanka harvested a record 317.2m kg of tea in 2005, making it the world's fourth largest producer behind China, India and Kenya. |
Correspondents say that tea plays an important role in the Sri Lankan economy, and is a major foreign currency earner, bringing in $600m last year - more than the $450m brought in by tourism. | Correspondents say that tea plays an important role in the Sri Lankan economy, and is a major foreign currency earner, bringing in $600m last year - more than the $450m brought in by tourism. |
Tea producers warn that while the strike may be over, prices will have to be raised to make up the shortfall. | Tea producers warn that while the strike may be over, prices will have to be raised to make up the shortfall. |
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