2,200 workers and employees at the Ramsis Company for Agricultural Projects and the South Valley Company for agricultural development in Toshka went on open strike yesterday and staged a sit-in at the companies' management.
They protested against the decision by the Construction and Development Holding Company to reduce variable wages by 20% after the Investment Minister's decision to shut down the Trade Holding Company (THC) and make the two previous companies affiliated to the Construction and Development Holding Company.
The strikers affirmed they would not go back to work even if this led to the loss of crops, unless the management backed down on its new decision and improved their situation.
According to them, the current management had already decreased their wages by 20% last year.
The workers mentioned that the management had sent a note to Cairo calling for the dismissal of some of the workers' leaders who were only demanding their rights.
On top of their requests was to ensure the workers (80% of the total manpower is not ensured), give them annual raises like public sector workers, and provide medical insurance for them and their families or adequate health care.
They pointed out that the government had reduced the wages for highly qualified workers from LE 700 to LE 550 and paid extra-labor effort (LE 150) only to workers who had made 100% efforts.
This percentage, though, is subject to the department chief's mood, as they said, and the chief often runs the company based on the workers' clan of origin.
There is an ongoing conflict between workers from the north, who take on leading posts at the company, and workers from the south, who work in agriculture. Yet, most of these workers are highly qualified or are average.
Moreover, 100% effort is recognized only to those having a 100% attendance rate, with no exception for ordinary leaves and absence due to illness.
South Valley Company CEO and managing director Seoudi Elewa said that basic wages would not be reduced as this was up to the holding company's board of directors.
He mentioned that variable wages are subject to several criteria and are therefore unstable.
He also explained that the company had taken the decision a year before of reducing basic wages by 20%, which is why they would not be reduced any further.
He said that the company would not be able to ensure all that manpower because of the lack of liquidity and also pointed out that most of the workers were not essential.