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‘Proposed public sector pay hikes consistent with IMF agenda’
Expert Committee Chairman hopes recommendations will be implemented whoever wins presidential election
By Shamindra Ferdinando
Chairman of the Presidential Expert Committee, Udaya R. Seneviratne, says he hopes that the recommendations regarding public sector salary increase will be implemented regardless of the outcome of the presidential election to be held next week,.
One-time Presidential Secretary Seneviratne emphasised that the final report that included a set of recommendations regarding ways and means to raise state revenue required to meet the new salaries structure had been handed over to President Ranil Wickremesinghe recently.
Seneviratne said so in response to The Island query whether the national economy could bear the additional heavy burden in the wake of Treasury Secretary Mahinda Siriwardana’s recent declaration that the government couldn’t meet the Rs 10,000 public sector salary increase unless VAT (Value Added Tax) was raised from 18% to 20%. Siriwardana is on record as having said that Rs. 140 bn was required annually to increase public sector salaries by Rs. 10,000.
Seneviratne said that his Committee examined all aspects while having consultations with 93 trade unions and representatives of various other organisations and interested parties.
President Wickremesinghe appointed a 10-member committee consisting of members of the public and private sector on June 12 this year. Responding to another query, Seneviratne said that the Treasury was represented by four officials.
Seneviratne said the basic salary increase ranges from 24% to 50%-60% starting from a basic salary of Rs 30,000 with the salary structure revised according to a ratio of 1 to 6.
Having received appointment as Secretary to the President on July 06, 2018 during Maithripala Sirisena’s tenure as the President, Seneviratne retired soon after Gotabaya Rajapaksa was sworn in as the President. Dr. P.B. Jayasundera succeeded Seneviratne.
Asked whether his report covered pensioners, Seneviratne said that issue should be dealt with separately. There are about 750,000 pensioners.
According to Seneviratne, the report dealt with 1.2 to 1.3 mn public sector workers, including the armed forces. “We are talking about approximately two million families depending on the Treasury. Raising the required funds is a daunting task,” Seneviratne conceded.
Seneviratne stressed the responsibility on the part of the government to implement what he called revenue proposals to raise funds needed. The Chairman of the Expert Committee said that the promised salary increment couldn’t be granted unless the revenue proposals were implemented.
Seneviratne said his Committee proposed a new salary structure in line with the agreement with the IMF that the public sector salary Bill should be 3.7% of the GDP (Gross Domestic Product) and capital expenditure 4% of the GDP.
Assuring that the Committee report was not meant to give political advantage to President Wickremesinghe, Seneviratne pointed out that the Parliament adopted the much discussed and debated Economic Transformation Bill (ETB) in July without a vote. Therefore, none of the political parties backing presidential contestants opposed the ETB, Seneviratne said, urging all interested parties to be prepared to proceed with the recommendations. Seneviratne noted that parliamentary polls would follow the presidential election.
“My humble advice is that no one should play politics with this issue. The failure to address grievances of those struggling to make ends meet can be catastrophic in the near future,” Seneviratne said, post-pandemic situation, declaration of bankruptcy and imposition of new tax regime consequent to the agreement with the IMF increased pressure on the people.
Seneviratne said that it would be pertinent to mention that President Wickremesinghe appointed his Committee in the wake of University teachers and others resorting to trade union action to pressure the government to grant them an immediate salary increase. Pointing out that the public sector salary structure was not sufficient at all, even to meet the basic requirement of families, Seneviratne emphasized the urgent need for a consensus on the proposed salary structure or face the consequences.
Latest News
Sun directly overhead Bentota, Thiniyawala, Iththakanda, Udawalawe, and Kataragama about 12.08 noon t9day (06)
The sun is going to be directly over the latitudes of Sri Lanka from 28th of August to 07th of September due to its apparent southward relative motion.
The nearest places of Sri Lanka over which the sun is
overhead today (06) are Bentota, Thiniyawala, Iththakanda, Udawalawe, and Kataragama about 12.08 noon
News
UN welcomes Lanka’s anti-graft drive, seeks end to impunity
MONETABRIEF –The UN human rights chief on Thursday welcomed Sri Lanka’s robust anti-corruption drive but urged President Anura Kumara Dissanayake to apply the same vigour to ending impunity for continuing rights abuses.
In its latest report to the UN Human Rights Council in Geneva, High Commissioner Volker Turk noted that cases of torture and deaths in custody continued to be reported in Sri Lanka despite the change of administration.
“While it is encouraging that the Sri Lankan authorities have taken action to address corruption cases and some crimes linked to the post-war period, more needs to be done to end the long legacy of impunity in the country,” the rights chief said.
His report, covering October 2025 to July 2026, notes steps to tackle corruption, including high-profile arrests and investigations linked to political killings, enforced disappearances and the 2019 Easter Sunday attacks.
He said it had been a difficult period for Mr Dissanayake’s new government, following the devastating Cyclone Ditwah which killed some 650 people and devastated much of the island and a global spike in energy prices.
The report noted that the Human Rights Commission of Sri Lanka had documented 602 cases of torture and ill-treatment in 2025 and 138 cases by April 2026.
The local commission also reported 18 deaths in custody last year and a further three by April this year. In one such case, a 40-year-old inmate detained for a minor drug-related offence died at Welikada Prison in Colombo on 3 May, allegedly from severe beatings.
“This Government still has an opportunity to turn the tide on decades of abuse of executive power, repressive laws and custodial violence, and entrenched impunity,” Turk said.
He regretted that the government had yet to deliver on its promise of legal and institutional reforms and continued to apply the repressive Prevention of Terrorism Act (PTA), resulting in arbitrary arrests and prolonged detention without charge.
Civil society actors, activists and journalists remained subject to state surveillance, while tensions over land and religious sites continued to simmer, the report said.
It also highlighted violent riots at Negombo Prison in July, which left at least 32 dead, underscoring the urgent need for prison reform to address systemic issues, including severe overcrowding.
The UN Human Rights Office had received at least 16 allegations of surveillance against civil society actors, activists and journalists, the report said.
There was “a clear and continuing pattern of state surveillance, intimidation and reprisals by military and intelligence officials, including from the Criminal Investigations Department or the Terrorism Investigation Division”.
“Individuals are repeatedly questioned about their travels, especially to Geneva and engagement with UN human rights processes, as well as their organizational affiliations, funding sources, and participation in protests or commemorative events.”
While the Government had continued to denounce racism and promote national unity, wider efforts to ensure truth and justice risked stalling and the momentum for transformative change being lost, the report warned.
Failures to effectively investigate and prosecute crimes under international law allegedly committed during the armed conflict persisted.
“It is crucial that there is decisive and meaningful action toward accountability for crimes and violations by all parties during the more than two-decade armed conflict,” Turk said.
He noted the recent decision by the Attorney-General to indict former Eastern Province Chief Minister Sivanesathurai Chandrakanthan, also known as Pillayan, and three others in connection with the abduction and murder of former Eastern University Vice-Chancellor Professor Sivasubramaniam Raveendranath in 2006.
“It is, however, regrettable that many other serious emblematic cases remain stalled for years, including the killing of 17 Action Contre La Faim aid workers in Muttur 20 years ago,” he said, calling for meaningful steps to resolve such delays.
The High Commissioner urged Sri Lanka to redouble its reconciliation and accountability efforts. He called for a moratorium on the use of the Prevention of Terrorism Act pending its repeal, as well as the release of long-term detainees held under it.
He also called for all individuals credibly accused of human rights violations to be excluded from senior positions in government, the security sector or the diplomatic service until such allegations were genuinely addressed and resolved.
He urged the Government to support victims’ memorialisation initiatives and to release military-occupied lands.
News
Dispute which triggered listed company director being detained at BIA resolved
A dispute between a wholly owned subsidiary of Lanka Realty Investments PLC, Mulberry Holdings (Pvt) Ltd., and a contractor, Omni Engineering & Trading Solutions, that resulted in Executive Director Hisham Jamaldeen of Lanka Realty being stopped at Katunayake and prevented from leaving on a business visit to the UK has been resolved with Jamaldeen bailed and the travel ban imposed on him revoked by the Maligakanda Magistrate, Lanka Realty’s said in a Stock Exchange filing last week.
This followed Mulberry agreeing to pay Rs. 25 million to Omni on or before Sept. 26.
Following media reports of Jamaldeen being prevented from leaving the country at the BIA, Lanka Realty made two Stock Exchange filings on Sept. 3 – the first detailing the dispute between the two parties and the second indicating that the matter had been settled.
In the first filing, the Secretaries for Lanka Realty said:
“The article refers to Mr. Mohamed Hisham Jamaldeen, Executive Director of Lanka Realty Investments PLC and a Director of Mulberry Holdings (Pvt) Ltd, a wholly owned subsidiary of the Company and the developer of “Mulberry Residences” in Colombo 10.
“Mulberry Holdings (Pvt) Ltd entered into a construction contract with Mr. Randika of M/s Omni Engineering & Trading Solutions on 21st June 2022 for a sum of LKR 32,854,992.00), which is less than 1% of the total value of the “Mulberry Residences” Project which is around LKR 3.6 Billion.
“The said contract is governed by the CIDA/SBD1 Standard Bidding Document Conditions of Contract, which provides for adjudication and, if required, arbitration as the applicable dispute resolution process. The Company understands that the underlying matter relates to a contractual payment dispute involving Mulberry Holdings (Pvt) Ltd’s aforcsaid contract.
“Following a call received from the Colombo Crime Division (CCD), Mr. Jamaldeen went to the CCD on 25th August 2026 and provided a statement in relation to the matter inter alia explaining that the matter in dispute was arising from a civil contract. He was not arrested on that date and was not informed at that time or thereafter prior to receiving information at the Airport, that a travel ban had been imposed.
“On 2nd September 2026, while travelling overseas for business on a pre-arranged itinerary, Mr. Jamaldeen was informed at immigration of a travel ban imposed on 24th August 2026, following which he was arrested by the CCD. A bail application is expected to be made when Mr. Jamaldeen is produced before the Magistrate’s Court of Maligakanda today, 3rd September 2026.”
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