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Don’t encourage EPF members to utilize holdings for current expenditure: CFL

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The Ceylon Federation of Labour (CFL) has lodged its objections with Labour Minister Nimal Siripala de Silva over the proposed ‘mild’ amendments to the EPF Act urging that the EPF, being the sole retirement benefit available to private sector “is best treated as a closed scheme and workers encouraged to avoid using moneys lying to their credit for current expenditure.”

CFL General Secretary TMM Rasooldeen in a letter to the minister has pointed out that the proposed amendment “cut across the original objective of the Act which was to provide a tax free benefit to individual members on retirement.”

We understand the reasons you mention for reviewing the pre-retirement benefits but we believe your proposal to completely unlock the Fund works against its very viability, he has said.

In 2010 when the then minister proposed that members be allowed to draw on their EPF balances for medical expenses, the CFL declined to support it “as it overlapped with medical facilities provided by the Employees Trust Fund (ETF) unnecessarily draining member balances available at retirement.”

They suggested instead that the ETF widens the scope of its medical benefits to include the EPF as well.

Rasooldeen said the proposed amendment seeks to allow members with Rs.300,000 or more contributions to their credit over a ten year period to withdraw up to 30% of it for undefined purposes. Saying the EPF as a retirement fund earlier permitted withdrawals for housing purposes considered an investment. But the track record of the EPF Housing Loan Scheme with its 40% default rate suggests even this to have been a failure.

“Since the fund balance of the member is offered as a guarantee to banks and released to cover defaults, it affects member balances in the long term. The CFL has always felt that the pressure to withdraw funds prior to retirement should be resisted by authorities,” he stressed.

“As an organization that stands for secure and strong social protection coverage for workers, we feel the proposed ‘open sesame’ amendment will render a death blow to its already fragile structure. We decline to support them as we are not convinced that they serve the best interests of member-owners of the EPF,” Rasooldeen said..

“Apart from the Parliament of Sri Lanka, it is the owner-members of EPF who have the right to suggest changes to the original objectives of the Fund. The EPF Act does not envisage a role for trade unions. Therefore, it is our firm belief that trade unions in the NLAC (National Labour Advisory Committee) are ill suited to decide on the matter.

“We suggest that a way be found to constructively engage the main stakeholders before effecting the proposed changes to which we object to. We trust you will no doubt appreciate that unions in the NLAC cannot act as proxies to the over 2.5 million who are the owners of the fund.”



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Opposition blames govt. inaction for severity of disaster impact

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The government’s failure to act on expert warnings, including advance forecasts on Cyclone Ditwah, had led to the worsening of disaster impact, Udaya Gammanpila, leader of the Pivithuru Hela Urumaya, said at a press conference in Colombo yesterday.

Gammanpila accused the NPP government of ignoring 14 key preventive measures, despite alerts from the Meteorology Department, foreign experts, and the media.

Gammanpila said the government had failed to lower the water levels in reservoirs, dredge estuaries, and deploy the armed forces for canal maintenance. Local government bodies were reportedly sidelined, and that led to a delay in cleaning of drains. He said the government had also failed to evacuate people in a timely manner from seven districts identified by the National Building Research Organisation as landslide-prone. It had delayed declaring emergencies or curfews and the deployment of tri-forces to evacuate people in such areas.

Gammanpila said an experienced public official should have been appointed as Secretary to the President to mobilise the state machinery swiftly during the disaster. He said the government had not convened the National Disaster Council.

“These failures worsened the disaster, causing immense hardship, disruption, and loss of life and property to the people,” Gammanpila said.

The government has denied the Opposition’s claims.

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National Archives seeks freezing capacity to ward off mould from vital water-damaged documents

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The Department of National Archives Friday made an urgent appeal for freezing capacity to protect from mould vital water damaged documents, particularly irreplaceable public records of legal value saying this would be be time buying exercise before mould destroys them permanently.

Dr. Nadeera Rupesinghe, Director General of National Archives, said in the appeal that “freezing water-damaged documents stops mould growth and stabilizes materials until proper conservation treatment is possible. It buys time.

Without freezing capacity, we will lose vital records, land registries, court documents, historical records, and the evidence millions of citizens need to rebuild their lives.

“These public institutions urgently need access to freezer facilities and mobile freezers across the country. Public records as bound volumes, and bundled records have to be frozen in large quantities. We understand this is an extraordinary request during an already difficult time. We are asking you to provide space in existing freezer facilities on a temporary basis (weeks to months).”

She said if anybody able to provide such facilities without cost, in return, the National Archives can support full documentation of your contribution for CSR reporting and national recognition as a partner in preserving Sri Lanka’s evidentiary landscape.

“These are not abstract historical records. These are the records our citizens need to prove who they are, what they own, and what they are owed. What we stand to lose –

Court records and legal evidence spanning decades

Personnel files affecting pensions and benefits

Financial records required for audits and accountability

Public records essential for maintaining administrative history

Historical documents that tell our national story”

Noting that the business community has always been a partner in Sri Lanka’s development, the National Archives Department asked it to be partners in preserving the documentary foundation on which business, law, and civil society depend.

“Every land transaction, every contract, every court case relies on records. Help us save them,” Rupesinghe said.

If your organisation has freezing capacity you can make available, please immediately contact Mr Anuradha Adikaram, Senior Archivist on 077 6815551 (Available 24 hours) .

The department will coordinate connecting those who can assist with organisations that are searching for freezer facilities.

“Time is the enemy. Every hour without freezing capacity means more records lost to mould. Every day of delay means more families without proof of their homes, their citizenship, their rights. We are asking for freezers, but we are really asking you to help preserve the documentary infrastructure of our nation,” Rupesinghe said.

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Met Dept. issues fresh weather warning

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The Department of Meteorology has warned that rainfall is expected to increase across the country in the coming days as the southwest monsoon becomes more active. From Tuesday, monsoon conditions are expected to persist, with stronger winds likely.

Rainfall is predicted to intensify on Dec. 10, 11, and 12, potentially affecting the Northern, North-Central, Northwestern, Eastern, and Uva provinces, with thunderstorms and rainfall between 75 and 100 mm, Director General of Meteorology Athula Karunanayake said.

Karunanayake added that other areas, including the southeastern region, could also see rain during the day or night, as a disturbance in the Bay of Bengal may further influence the monsoon.

He cautioned that heavy rain would be accompanied by strong winds, creating rough sea conditions. Fishermen and maritime communities are urged to exercise caution and follow official advisories during this period.

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