Collaborative Industrial Relations
Dinesh Weerakkody stresses the value of trade in improving workers’ rights
The relationship between trade unions and employers in Sri Lanka has evolved over time, reflecting the country’s social, political and economic shifts, states Dinesh Weerakkody.
During the British colonial era, unions like the Ceylon Labour Union emerged as key players in advocating for better working conditions. These early movements laid the groundwork for a more organised labour force, fighting for the rights of workers who were often subjected to poor conditions and low wages.
“After gaining independence, Sri Lanka saw an increase in industrialisation and stronger unions, which led to more frequent strikes – and often, contentious relations between unions and employers,” he explains.
Weerakkody continues: “The 1970s and ’80s marked a particularly turbulent period due to economic policies and the establishment of free trade zones. Political influence and frequent confrontations characterised this era with unions battling against measures that sought to curtail their power.”
He goes on to say that the 1990s brought new challenges with the advent of globalisation, privatisation and anti-union policies. These factors greatly weakened unions’ influence.
“Despite these setbacks, the Employers’ Federation of Ceylon (EFC) played a crucial role in maintaining a channel for collective bargaining and negotiations in the private sector,” he maintains.
Weerakkody states that over time, there has been a noticeable shift from an adversarial approach to a more collaborative industrial relations system, particularly in the plantations sector. This transition highlights the recognition of the benefits of positive union-employer relations for long-term development and social stability.
“Trade unions in Sri Lanka have been instrumental in protecting employee interests although their effectiveness varies by industry and period,” he opines.
Historically, unions like the Ceylon Labour Union succeeded in improving wages and working conditions in sectors such as plantations and the apparel industry. However, economic liberalisation, globalisation and political exploitation have posed immense challenges, leading to fragmentation and competition among unions.
“To improve outcomes for their members, Sri Lanka’s trade unions must focus on strengthening unity and collaboration, enhancing political engagement and improving collective bargaining,” Weerakkody emphasises.
He asserts that “promoting workers’ rights awareness, particularly in vulnerable sectors, is also crucial. Additionally, unions should advocate for policy reforms, enhance transparency, and engage in social dialogue to secure better working conditions, fair wages and stronger labour rights.”
Globally, the trade union movement faces major challenges including the rise of the gig economy, declining membership in developed countries and the impact of technological advancements. These trends require unions to adapt and expand their strategies to remain relevant in a rapidly changing global economy.
Weerakkody concludes that creating productive jobs is vital for reducing poverty and fostering growth. A good job offers dignity, pride and financial security.
Sri Lanka must prioritise job creation in its development strategy especially as technology, economic uncertainty and climate change pose growing challenges. Innovative approaches are needed to ensure sustainable job and income growth, particularly for the youth and middle class.