Rs.2500 salary hike should extend to semi-govt. and private sector: MR

• Says Govt. should get involved in establishing a liveable basic wage and intervene to increase salaries across the board

By Ashwin Hemmathagama – Our Lobby Correspondent

Opposition Leader Mahinda Rajapaksa yesterday demanded the Government give reasons for not providing the increased allowance of Rs. 2,500 to semi-government institutions and other authorities, the private sector, and plantation employees, as outlined in Budget 2019.

Opposition Leader Mahinda Rajapaksa

MP Rajapaksa, raising a question on par with the Standing Order 27 (2), held the Government is unfair on its employees, and they deserve better increments and allowances. 

“Budget 2019 proposals passed in Parliament said State employees were given an increased allowance of Rs.2,500. But this is not given to the employees of semi-government establishments and other authorities. This is unfair. According to the administration circular, this allowance can be paid to State employees from July. All previous Governments took care to pay this allowance to semi-government institutions and other authorities,” said the Leader of the Opposition.

Proposing the Government decide a suitable minimum wage for the private sector, MP Rajapaksa said: “Even though it is not from the same level as State sector salary increments, the private sector employees received salary increases with the involvement of the previous governments. But the private sector under the current Government is not getting a salary increase. We believe they too deserve a salary increase.”

“Some leaders in the Government representing the estate sector held that the Government cheated the estate employees. This is unfair. We request the Government to stop misleading the estate employees by promising a daily wage of Rs.1,000. According to the Central Bank annual report, the basic salary of our workers has gone down. So, the Government should get involved to increase the salary of the estate sector and the private sector,” he added.

In response, Minister of Lands and Parliamentary Reforms and Chief Government Whip Gayantha Karunatileka held the Government is unable to force the management of semi-government institutions and other authoritiesto increase salaries within the prevailing labour laws.

“The prevailing labour laws cover the employees of the semi-government establishment, authorities, and the private sector. But there are no legal provisions available with the Ministry to order the semi-government establishment and authorities to pay the same increments received by State employees. But we are planning to discuss the matter with the Finance Minister,” said Minister Karunatileka. Explaining the steps followed to increase the wages of all employees in the private sector, Minister Karunatileka said: “Action was taken enabling the private sector employees also to receive an increased salary. But based on the National Minimum Wage Act No.3 of 2016, a minimum basic salary of Rs.10,000should be paid to private-sector employees as well. We have obtained Cabinet approval in April to increase this minimum salary by Rs.2500 to Rs.12,500. The Legal Draftsman was entrusted with the change in the Act. With the mandatory allowances, the minimum salary of a private sector employee comes to Rs.16,000. Some Wages Boards have taken action to increase salaries.  A collective agreement is in place till 2021 with regards to the salaries of the plantation employees. So, the private sector is also covered providing a salary increase on par with the State sector.”