Sri Lanka government to table amended private sector pension acts in parliament despite protests

Sri Lanka Minister of Labor Relations and Productivity Promotion Gamini Lokuge says that the government will go ahead with the proposed bills to establish funds for private sector and foreign employees despite the protests against them.


The Minister says that the bills will be tabled in parliament in the next parliamentary session that is to be commenced on May 24.

According to Lokuge, the bills will be amended to allow the employee to withdraw the pension from the day he retires and the spouse to withdraw the pension in case of the demise of the pensioner.

According to the bill that has been presented to the parliament, a member of the fund only becomes eligible to receive a pension at the age of 60. Most employees in Sri Lanka retire at age 55.

He says that the discussions are now underway with the Ministry of Finance regarding the amendments to the act and the trade unions will be informed of the changes before the bills are taken to debate in the parliament.

Private sector trade unions and employers vehemently oppose the proposed acts saying that the act is another attempt by the government to steal their hard-earned money.

The Supreme Court after examining the act to verify its compatibility with the Constitution ruled that the proposed private sector pension bill and its clauses are in consistence with the Constitution.

Trade unions have formed a joint front and vowed to agitate against the bill and to take serious collective action if the bill is passed in parliament and if forcibly enacted.