Towards an era of prosperity
JUL 02 2016
In this global economy, Lanka is counted as a country moving into the middle income group with an annual per capita income more than 4,000 US dollars by end of this year (2016). But this per capita calculation does not indicate the real poverty due to income disparity and social polarization. If every person had that income, there would not be beggars on the streets. There would not be “Samurdhi” recipients in villages! We know there are beggars at every street corner and Samurdhi recipients in every village. This termed “per capita” income is such that majority is excluded from enjoying that income.
Global capitalist economics distorts the actual picture of poverty. In such calculations the “poverty line”, GDP, inflation and foreign debt are mere “numbers” on paper; useful only to the modern capitalist economists. In day-to-day life they have no relevance to the majority of people who live much below the so-called average income. Life with the majority is quite a struggle. That is why wage increase given by this government is appreciated by every body. However the recommended Rs. 2,500 increment has not reached the estate workers yet. With a Rs. 2,500 increase from May 2016, the registered minimum wage in the private sector is Rs.13, 500 only. Though monthly earnings in the private sector are above this it is with much sweat and sacrifice workers reach such heights.
Heavily competitive free market
For example, the apparel sector alone has nearly half a million workers of which 85 per cent are female workers. They have to meet very high targets arbitrarily fixed by management, work compulsory overtime each day and sweat through a whole month to collect a “take home” pay of Rs.16,000 to 18,000 per month.
This certainly is less than half the per capita income as given by average calculation. This hard earned income of less than Rs. 20,000 is very often is used to supply the basic needs of a family. However, nearly Rs 50,000 is necessary for an average family, for survival; as given in “Household Income and Expenditure” surveys.
In the rural sector the incomes are much below and those who living through cultivations and animal husbandry, the average monthly income is below Rs 15,000. Rural life is hard and compels people to move towards cities. Over 53 per cent of children under five years, in rural society are malnourished, which leads to stunted growth. Rural culture doesn’t talk of nourishment, but of filling the belly. It is on this rural “culture” that most politicians argue, people don’t die of starvation in Sri Lanka. A whole family can live on a “Jak fruit” they say. This rural culture allows for poverty to go unchallenged in a heavily competitive free market.
Eight hour working day
What is amiss is the fact that “employment” or income generation is not a timeless activity for mere living. The importance of the eight hour working day lies in just that.
The importance in the sacrifices the workers made with their lives at Haymarket Square in Chicago over 130 years ago is that, the whole world now accepts an eight hour working day, written into law. That eight hour working day has to be paid adequately in wages, for the worker to not only eat, feed and clothe himself and his family, but to sustain his and his families’ collective cultural life during the next eight hours of the day, before s/he retires for the remaining eight hours that makes a 24 hour day. That in fact is the logic of an eight hour working day. These were confirmed by all struggles in Lanka, such as Hartal and 1980 strike.
Critical groups say “The much maligned Colombo Port City project begun by Rajapaksa is now being carried through under Prime Minister Wickremesinghe with the same Chinese company without any details given as to what was changed, if any was changed. And this hybrid government consisting of the Sirisena-Wickremesinghe duo also leans heavily on urban development, no different to Rajapaksa. Their only development project the “Megapolis” would leave all rural life outside the Megapolis, wholly neglected.
Accountable, transparent and democratic governance
A turn around to accountable, transparent and democratic governance is not possible without tinkering with the corrupt, politicized, inefficient systems. However the policy shift towards devolution and decentralization promises important social democratic change in rural society. Ranil said in his programme presented to the parliament, “Yet another challenge faced by us is the catastrophe facing the rural economy. The opportunities that existed for rural families and communities to make a successful living have been destroyed.
Large and medium scale ventures that enriched the rural economies have been deactivated. We must urgently address this issue and take meaningful steps to develop the rural economy and attend to the problems faced by farmers by uplifting the rural economy within a short-term development framework.
We plan to establish 2,500 state rural development centres. This will be achieved through the grouping of many villages under one development centre. The centres will have access to fully equipped rural economic market units. We will also strengthen and build the rural infrastructural facilities from the village roads, village tanks and the village fair, incorporating greater progress for rural economies through a Village Level Development Programme. There will be funds set aside for this purpose from the budget.
Large-scale agricultural enterprises in which farmers can be members will be established under the plan to develop the rural economy. We plan to take such ventures in other countries as examples and encourage such ventures locally.
They will be given concessions and land towards harnessing and developing farmer based agricultural initiatives. Through this, we can initiate a competitive agricultural market and review export of agro products.
We will establish a fully fledged agro marketing authority that will purchase all agricultural produce. When looking back at our history, we can be proud of the period ---of prosperity under Maha Parakramabahu. We traded in spices, precious stones, elephants and rice with the world. We were considered a key import and export hub.
We believe that with the planned economic remedies, we will be able to bring back such an era of prosperity for the nation once again. In order to be able to do so, we must be able to get the economic foundation right. Multi disciplined economic strength; local competitiveness, international trade and Investments must be in our sights. Knowledge based Social Market Economy built on social justice principles must be fostered.”
These promises should be implemented with other items in order to silence critiques.
Global capitalist economics distorts the actual picture of poverty. In such calculations the “poverty line”, GDP, inflation and foreign debt are mere “numbers” on paper; useful only to the modern capitalist economists. In day-to-day life they have no relevance to the majority of people who live much below the so-called average income. Life with the majority is quite a struggle. That is why wage increase given by this government is appreciated by every body. However the recommended Rs. 2,500 increment has not reached the estate workers yet. With a Rs. 2,500 increase from May 2016, the registered minimum wage in the private sector is Rs.13, 500 only. Though monthly earnings in the private sector are above this it is with much sweat and sacrifice workers reach such heights.Heavily competitive free market
Prime Minister
Ranil Wickremesinghe
|
This certainly is less than half the per capita income as given by average calculation. This hard earned income of less than Rs. 20,000 is very often is used to supply the basic needs of a family. However, nearly Rs 50,000 is necessary for an average family, for survival; as given in “Household Income and Expenditure” surveys.
In the rural sector the incomes are much below and those who living through cultivations and animal husbandry, the average monthly income is below Rs 15,000. Rural life is hard and compels people to move towards cities. Over 53 per cent of children under five years, in rural society are malnourished, which leads to stunted growth. Rural culture doesn’t talk of nourishment, but of filling the belly. It is on this rural “culture” that most politicians argue, people don’t die of starvation in Sri Lanka. A whole family can live on a “Jak fruit” they say. This rural culture allows for poverty to go unchallenged in a heavily competitive free market.
Eight hour working day
What is amiss is the fact that “employment” or income generation is not a timeless activity for mere living. The importance of the eight hour working day lies in just that.
The importance in the sacrifices the workers made with their lives at Haymarket Square in Chicago over 130 years ago is that, the whole world now accepts an eight hour working day, written into law. That eight hour working day has to be paid adequately in wages, for the worker to not only eat, feed and clothe himself and his family, but to sustain his and his families’ collective cultural life during the next eight hours of the day, before s/he retires for the remaining eight hours that makes a 24 hour day. That in fact is the logic of an eight hour working day. These were confirmed by all struggles in Lanka, such as Hartal and 1980 strike.
Critical groups say “The much maligned Colombo Port City project begun by Rajapaksa is now being carried through under Prime Minister Wickremesinghe with the same Chinese company without any details given as to what was changed, if any was changed. And this hybrid government consisting of the Sirisena-Wickremesinghe duo also leans heavily on urban development, no different to Rajapaksa. Their only development project the “Megapolis” would leave all rural life outside the Megapolis, wholly neglected.
Accountable, transparent and democratic governance
A turn around to accountable, transparent and democratic governance is not possible without tinkering with the corrupt, politicized, inefficient systems. However the policy shift towards devolution and decentralization promises important social democratic change in rural society. Ranil said in his programme presented to the parliament, “Yet another challenge faced by us is the catastrophe facing the rural economy. The opportunities that existed for rural families and communities to make a successful living have been destroyed.
Large and medium scale ventures that enriched the rural economies have been deactivated. We must urgently address this issue and take meaningful steps to develop the rural economy and attend to the problems faced by farmers by uplifting the rural economy within a short-term development framework.
We plan to establish 2,500 state rural development centres. This will be achieved through the grouping of many villages under one development centre. The centres will have access to fully equipped rural economic market units. We will also strengthen and build the rural infrastructural facilities from the village roads, village tanks and the village fair, incorporating greater progress for rural economies through a Village Level Development Programme. There will be funds set aside for this purpose from the budget.
Large-scale agricultural enterprises in which farmers can be members will be established under the plan to develop the rural economy. We plan to take such ventures in other countries as examples and encourage such ventures locally.
They will be given concessions and land towards harnessing and developing farmer based agricultural initiatives. Through this, we can initiate a competitive agricultural market and review export of agro products.
We will establish a fully fledged agro marketing authority that will purchase all agricultural produce. When looking back at our history, we can be proud of the period ---of prosperity under Maha Parakramabahu. We traded in spices, precious stones, elephants and rice with the world. We were considered a key import and export hub.
We believe that with the planned economic remedies, we will be able to bring back such an era of prosperity for the nation once again. In order to be able to do so, we must be able to get the economic foundation right. Multi disciplined economic strength; local competitiveness, international trade and Investments must be in our sights. Knowledge based Social Market Economy built on social justice principles must be fostered.”
These promises should be implemented with other items in order to silence critiques.
