After wage hike, Assam tea workers may face retrenchment in coming months

About 1.1 million permanent tea workers in Assam and an equal number of casual workers in the state’s tea estates may face job losses in the coming months as tea companies are resorting to increasing mechanisation of their parklands to cut down production costs.

Estimates from tea producers suggest that on account of the recent interim wage increase of Rs 30 in the state, production cost has shot up to anywhere between Rs 160 and Rs 180 a kilo per day, while the auction prices have been stagnant. In effect, it is haemorrhaging the profitability of tea firms.

“Mechanisation of