The Cabinet has granted approval for the relief mechanism proposed in the 2026 Budget to uplift the living standards of estate workers, with implementation set to begin on January 1, 2026.
Under the proposal, the minimum daily wage of estate workers will be increased to Rs. 1,550, while an attendance incentive allowance of Rs. 200 per day will also be paid.
The Government has allocated Rs. 5,000 million in the 2026 Budget to fund the initiative.
For the first six months, the incentive allowance will be paid through plantation companies, after which it will be directly credited to the personal bank accounts of estate workers.
The Ministry of Plantations and Community Infrastructure has been tasked with making arrangements in consultation with all stakeholders.
The joint proposal, presented by the Minister of Labour together with the Minister of Plantations and Community Infrastructure, was approved by the Cabinet to ensure the effective delivery of the incentive payments to estate workers. (Newswire)