Protecting worker rights

May Day, as everyone knows, is about workers’ rights and, as such, is intricately linked to politics and democracy. But complex economic growth linked to globalisation has put these rights under threat, making their protection a growing challenge.   

Traditionally, labour unions have used their collective bargaining power to protect democracy and win their rights for better working conditions. In the modern context, the complexities of labour laws have pushed Governments to discourage unionising, especially in the private sector and fractured the employment landscape where employers recruit workers on contract or other semi-formal methods to undermine the benefits and welfare due to them. Such a fragmented labour industry is finding it harder and harder to push for a larger share of their rights.   

Overall Sri Lanka has a good track record for protecting and promoting labour rights. However, one loophole is injury at the workplace. Sri Lanka records around 4,000 workplace accidents every year, according to the International Labour Organisation (ILO), raising massive concerns over workplace safety, regulations and accountability frameworks. Labour Department statistics reveal that, alarmingly, over 80 Sri Lankans lose their lives in work-related accidents every year. Predictably, the construction sector has the highest number of work-related accidents in the country and the highest frequency of fall-related fatalities is experienced by the construction industry. Another issue is migrant worker rights. Thousands of men and women are victimised when they seek overseas employment, particularly in the Middle East. They are often denied pay, leave and other benefits. Even though the workers are employed outside of Sri Lanka, it is still possible for better terms to be negotiated with stakeholder oversight.      

Labour access to management of the Employment Provident Fund (EPF) is a critical yet neglected component of fundamental labour issues and one that speaks directly to popular anger with corruption scandals. Workers’ salaries are deducted as part of retirement fund contributions, yet they have no say over how these contributions are managed. This has created an environment for the abuse of power. While employers might complain about politicians wasting financial resources, creating consultative committees that include labour representatives can ensure proper oversight of public funds. Employers claim that wages must be linked to productivity, but as the ILO Asia-Pacific Labour Market Update February 2015 puts it, significant gains in productivity have yet to be distributed to workers in the region. Moreover, politicians promote ad hoc policies to address cost of living increases – including subsidies and lowering the prices of fuel and basic goods – while ignoring the fundamental need to raise wages. The State then has been complicit with employers in stalling implementation of the cost of living index, which puts further pressure on workers’ livelihoods.

To make matters worse, out of the total elderly population in Sri Lanka, only 15% receive pension benefits and 26% receive EPF, while approximately 41% receive some benefit or the other. The remaining 18% of the elderly population receives no retirement benefits and tends to rely on the welfare of their children, relatives and friends. Retirement funding is a critical part of workers’ rights and should be de-politicised to be effectively addressed. After all, workers rights are part of human rights.