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Worker wage deal threatens India's largest tea firms

Better pay to hurt employers
Better pay to hurt employers

A wage hike demanded by workers in the tea growing region of Dooars in India is reportedly threatening the profitability of its two biggest companies. Tea workers want a raise of approximately 50% in response to a similar goal achieved by fellow workers in Darjeeling. Two of India's biggest tea companies, Goodricke Group Ltd and Duncans Industries Ltd, claim the pay rise, backed by key political parties and labor unions, is likely to plunge them into losses. Between them they produce about 34 million kilograms of tea a year and do not have too many gardens in other regions. Dooars is home to about 3100 tea plantations. It produces around 145 million kg of tea a year and employs at least 171'000 people on a daily basis.

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