Planters urge Tamil Nadu to pay cash to workers

Planters' Association of Tamil Nadu today urged the state government to adopt a system, followed by major plantation growing states, by which cash payment can be made to its workers, without making them suffer due to restrictions on withdrawal after demonetisation.
The state governments of Assam, West Bengal and Kerala have brought out a system, whereby the plantation employer issues a cheque in favour of the district collector for the required amount for wage disbursement, PAT Chairman Suresh Jacob said.
The amount is withdrawn from the treasury and handed over to the employer who will disburse them to the employees, he said in a release here.

Stating that a representation to the state government has already been made to adopt the similar system, he said this will not only benefit employees, but will also help in the smooth running of plantations.
Demonetisation and restriction on withdrawal has caused great inconvenience in the payment of wages to the plantation employees, Suresh Jacob said.
Non-availability of bank branches in the remote hilly areas of the state, where plantations are located, is a major reason for employees not opening the Jan Dhan yojana bank accounts.
Under the payment of wages act 1936, wages have still to be paid in cash unless employees consent individually to have their wages credited to their accounts.

Even if wages were transferred to accounts, they will find it difficult in travelling to their banks to withdraw money, unless banks set up ATMs in the plantation itself, Suresh Jacob said.