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Tea industry calls for ‘collaborative effort’ to resolve wage hike crisis

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Roshan Rajadurai, Managing Director of Kelani Valley Plantations, Talawakelle Tea Estates PLC

A proposed 70% minimum wage hike for tea plantation workers in Sri Lanka has caused widespread concern among industry stakeholders. While the goal of enhancing workers livelihoods is commendable, the Planters Association of Ceylon warns that such a drastic increase could have dire consequences for the industry, potentially harming both employers and employees, a press release said.

The release adds: ‘Sri Lanka’s tea industry is a cornerstone of the national economy, being one of the highest foreign exchange earners for the country. It encompasses 21 Regional Plantation Companies (RPCs), 427 small and medium-sized tea factories and with 500,000 Small and Medium Tea Estate Owners. However, the industry is already under significant pressure due to the highest production costs globally, making it challenging to compete in the international market. Implementing a 70% wage increase overnight would exacerbate this issue, given that Sri Lanka is already the most expensive tea producer worldwide. Additionally, tea productivity has been on the decline over recent years, compounding the industry’s struggles.

‘Roshan Rajadurai, Managing Director of Kelani Valley Plantations, Talawakelle Tea Estates PLC said, ‘While the proposed 70% wage hike for tea plantation workers is well-intentioned, it threatens to cripple the tea industry due to the already exorbitant production costs. A productivity-based pay system is a more viable solution, balancing fair compensation for workers with the economic realities of the industry, thereby safeguarding both their welfare and the industry's future”.

‘In response to these challenges, the Planters Association of Ceylon has introduced an alternative productivity-based wage scheme. This model is designed not only to safeguard the industry’s viability but also to enhance the welfare of estate workers. Based on current industry standards, employees could potentially earn a minimum of Rs. 1820/- and onwards, under this proposed structure. This approach strives to strike a balance between ensuring fair compensation for workers and acknowledging the economic constraints that impact the tea sector.

‘Most workers currently earn more than Rs. 1700, with many earning over Rs. 50,000 per month in a market-based model that benefits both the worker and the company. Expanding this model across the upcountry estate sector without state interference in increasing fixed wage costs without corresponding output compensation would be beneficial. A state-mandated 70% fixed wage increase could lead to financial ruin for many companies, resulting in job losses and negative impacts on the financial sector due to the companies' heavy borrowings.

‘The Planters Association of Ceylon is calling for a meeting with all concerned stakeholders to discuss this matter further. Such a dialogue is crucial for reaching a solution that ensures the prosperity of the tea industry and the well-being of its workers. The association has expressed its readiness to collaborate with the government to find a sustainable and mutually beneficial resolution.

‘While improving plantation workers wages is essential, it must be done without jeopardizing the industry viability. The proposed productivity-based wage scheme offers a balanced solution, ensuring both fair compensation for workers and the industry survival. It is now imperative for all stakeholders to unite, discuss, and implement a strategy that supports the long-term health and sustainability of Sri Lanka tea industry. Only through collaborative efforts can we secure a prosperous future for both the workers and the industry.’



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Global regulators convene in Colombo for key IOSCO enforcement and cooperation discussions

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Dignitaries at the wide-ranging discussions.

The Securities and Exchange Commission of Sri Lanka (SEC) successfully hosted a series of high-level meetings of the International Organization of Securities Commissions (IOSCO), bringing together leading securities regulators and enforcement officials from around the world to discuss emerging regulatory challenges, strengthen international cooperation, and enhance collective efforts to combat cross-border securities market misconduct.

The meetings, held at the Hilton Colombo from 13 to 16 October 2026, included sessions of the IOSCO Enforcement and Cooperation Committee and its Screening Group (Committee 4/SG), as well as meetings of the Monitoring Group and the Steering Committee. The event attracted approximately 50 senior representatives from securities regulators and exchanges across several jurisdictions, including Australia, Japan, the United States, the United Kingdom, France, Italy, Canada, New Zealand, India, Germany, Belgium, Singapore, China and Spain, reflecting the global significance of the discussions and the growing importance of international regulatory collaboration.

Welcoming delegates to Sri Lanka, Senior Professor D.B.P.H. Dissabandara, Chairman of the SEC, emphasized the critical role of international cooperation in safeguarding market integrity and investor confidence in an increasingly interconnected financial landscape.

“No regulator can effectively address cross-border misconduct in isolation. The speed with which information, transactions and illicit activities can move across borders requires an equally coordinated and timely regulatory response. Strong international cooperation, effective information sharing and mutual trust among regulators are essential to maintaining fair, transparent and resilient capital markets,” he stated.

The discussions focused on a range of enforcement and cooperation matters, including mechanisms for enhancing cross-border information exchange, strengthening investigative collaboration among regulators, addressing increasingly sophisticated forms of securities fraud and market abuse, and promoting the effective implementation of international standards and best practices. Participants also exchanged experiences and insights on emerging enforcement challenges arising from technological developments, digitalization of financial services, and increasingly interconnected global markets.

IOSCO is recognized as the leading international body that brings together the world’s securities regulators and serves as the global standard setter for securities regulation. Through its policy work and cooperative initiatives, IOSCO plays a central role in promoting investor protection, ensuring that markets are fair, efficient and transparent, reducing systemic risk, and strengthening confidence in capital markets worldwide.

Sri Lanka has maintained a strong and active relationship with IOSCO for more than three decades. The SEC became an Ordinary Member of IOSCO in 1993 and has been a signatory to the IOSCO Multilateral Memorandum of Understanding (MMoU) since 2004. The MMoU is the internationally recognised benchmark for cooperation and information sharing among securities regulators and serves as a critical tool in facilitating cross-border investigations and enforcement actions.

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Pan Asia Bank partners Ideal Motors to offer leasing solutions

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Representatives of both parties are seen exchanging the agreement (Standing from left to right) Officials from Ideal motors: Trevene Ferdinand, AGM - Corporate/Tender; Dinesh Manage, Business Development Manager; Kasun Fernando, General Manager - Commercial Vehicles; Nimisha Welgama, Director – Legal and Corporate Affairs; Officials from Pan Asia Bank: Naleen Edirisinghe, Director/CEO; Yohan Ebell, Head of Retail Credit; Sudharshana Hettiarachchi, Officer in Charge – Leasing; and Kanchana Kannangara, National Sales Manager – Leasing.

Pan Asia Bank recently entered into a one-year Memorandum of Understanding (MOU) with Ideal Motors (Pvt) Ltd, creating a new financing avenue for customers purchasing vehicles from the authorised Mahindra dealer. The strategic partnership will enable customers of Ideal Motors to access leasing facilities from Pan Asia Bank, making vehicle financing more convenient while supporting their mobility and business requirements. The agreement also provides an opportunity for the Bank to expand its leasing portfolio and strengthen its presence in Sri Lanka’s vehicle financing market.

Ideal Motors is the authorised dealer for the Mahindra vehicle range in Sri Lanka, including the Mahindra Bolero CPU Truck and Scorpio Jeep/Pickup. The vehicles cater to a range of requirements, from commercial and business applications to personal mobility, making accessible financing an important part of the purchasing decision.

The Bank’s vehicle leasing facilities are designed to simplify the financing process, with convenient repayment options and professional support to help customers select a solution suited to their requirements. For customers, the arrangement brings vehicle selection and financing closer together, reducing the need to navigate the two processes separately.

“Our partnership with Ideal Motors enables us to bring financing closer to customers at the point of vehicle purchase. We remain focused on providing convenient and flexible leasing solutions that support both personal mobility and the needs of businesses,” said Naleen Edirisinghe, Director/CEO of Pan Asia Bank.

Pan Asia Bank and Ideal Motors will work closely during the one-year partnership to maximise business opportunities and deliver a seamless financing experience to customers. The collaboration is expected to strengthen both organisations’ ability to respond to demand for commercial and personal vehicles while creating greater value for customers.

Yohan Ebell, Head of Retail Credit, Pan Asia Bank, said: “Through this partnership, we aim to make vehicle financing simpler and more accessible, with leasing solutions designed to meet the varied requirements of Ideal Motors’ customers.”

The collaboration also reflects Pan Asia Bank’s commitment to building partnerships that make financial services more accessible and responsive to the needs of individuals and businesses.

Pan Asia Bank has established a growing presence in vehicle financing, offering leasing solutions designed around customer convenience and flexibility. Its leasing proposition is supported by a nationwide branch network and a customer-focused approach, enabling customers to obtain guidance on financing options while completing their vehicle purchase.

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Heritance Hotels and Resorts secures four wins at World Travel Awards 2026

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Heritance Hotels and Resorts has secured four distinguished titles at the World Travel Awards 2026, with three national awards recognising its Sri Lankan properties and an international title for Heritance Aarah in the Maldives.

The three Sri Lankan titles recognise Heritance Tea Factory as Sri Lanka’s Leading Heritage Hotel 2026, Heritance Ahungalla as Sri Lanka’s Leading Luxury Hotel 2026, and Heritance Kandalama as Sri Lanka’s Leading Wedding Hotel 2026. Heritance Aarah was named the Indian Ocean’s Leading All-Inclusive Resort 2026.

Internationally recognised within the global travel and tourism industry, the World Travel Awards celebrate excellence across hotels, resorts, and destinations. Recognition at this level affirms the quality, distinctiveness, and consistency of the experiences delivered by Heritance Hotels and Resorts.

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