The Hindu : Study moots better management of headload workers

Online edition of India's National Newspaper
Saturday, Mar 08, 2003

Southern States

Southern States - Kerala-Thiruvananthapuram

Study moots better management of headload workers

By Our Staff Reporter

THIRUVANANTHAPURAM March 7. A recent case study of headload workers in Chalai market, conducted by the Public Affairs Forum, has concluded that Government intervention is needed to better manage the working of the headload workers and for proper implementation of the rules of the Kerala Headload Workers Welfare Board.

The study report says that the major problem of the Board is its inability to administer funds at its disposal, enforce its own rules and maintain discipline among workers. Even though unionisation has definitely improved the quality of life of the headload workers, the Headload Workers (Regulation of Employment and Welfare) Scheme has not succeeded in developing a proper work culture among the headload workers and in effecting a healthy industrial relations climate.

According to the report, there are cases of workers colluding with employers to get their wages paid directly to them in violation of the provision that employers shall pay workers' wages to the Welfare Board. There are also instances of designated workers carrying out other business by getting the work allotted to them done by others for lower wages. Worker members of the Welfare Board also distribute amongst themselves the right to enrol fresh members whenever a retirement vacancy arises. In some places the premium collected by workers' leaders for getting people enrolled as a headload worker is as high as Rs. four lakhs. Leaders of political parties are hesitant to talk about the negative impact of such practises on account of the support given by headload workers to various political parties, the report says.

In the Chalai market for instance, the study found that if trucks do not arrive by 6-50 p.m., the workers will not unload it till the next morning unless higher wages are paid. This is in addition to the actual wages paid by them for actual work done. The report, quoting a ``very authoritative source who does not wish to be identified'' says that some union leaders use workers to provide muscle power for illegal activities such as eviction of tenants, squatters and for recovery of vehicles and non-payment of loan instalments.

The study has found that workers spend a substantial part of their income on intoxicants, cigarettes, beedis and pan. According to the report, some workers spend more than Rs. 1,100 a month on such things. However, the study also found that families of headload workers are showing the tendency to invest money in buying land, building houses and in education of their children.

As per the findings of the study, while 70 per cent of the families of headload workers in Chalai had televisions, 12 per cent had refrigerators, 32 per cent, the radio and eight per cent owned a telephone. The average size of the families was found to be 4.8. Many families were found to have more than one earner.

According to the study, transport companies are charging higher rates for trips to Thiruvananthapuram when compared to the rates for Nagarcoil. The rate per quintal from Coimbatore, for instance, to Nagarcoil is Rs. 32, while it is Rs. 52 to Chalai. From Madurai, the rates are Rs. 46 and Rs. 27 respectively and from Chennai, Rs. 91 and Rs. 60 respectively. The study has found that the merchants just pass on these higher rates_caused by labour malpractice _ to the customers.

During a spot check conducted by the study team in May 2002 in Nagarcoil and Chalai, it was found that the retail prices per kilo of different items were different. The study suggests that in order to ensure better management of headload workers, the administration of wage and welfare funds be modernised to ensure better financial returns to the workers. The study suggests that in place of the present system of filling up retirement vacancies, a public auction be held and the post given to the highest bidder.

The study points to the inefficient manner in which the 10 per cent deduction in the workers' wages is paid back to them at the time of retirement without any interest. The study points out that if the Rs. 500 deducted is invested at 9.5 per cent interest (the Government provident fund rates), a worker will take home Rs. 39,000 after five years or Rs. 1 lakh after 10 years or Rs. 2 lakhs after 15 years. What a worker now gets is only Rs. 9000. It has also been suggested that the traders' contribution to the Welfare Fund be allotted proportionately among the workers and invested in a fixed deposit scheme.

The study has proposed that the management of the Welfare Fund be entrusted to a nationalised bank or an insurance company.

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