News
Don’t encourage EPF members to utilize holdings for current expenditure: CFL
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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Heat index is likely to increase up to ‘Caution level’ at some places in Eastern, Northern and North-central provinces and in Monaragala and Kurunegala districts.
Warm Weather Advisory
Issued by the Natural Hazards Early Warning Centre of the Department of Meteorology at 3.30 p.m. 04 May 2025, valid for 05 May 2025.
The public are warned that the Heat index, the temperature felt on human body is likely to increase up to ‘Caution level’ at some places in Eastern, Northern and North-central provinces and in Monaragala and Kurunegala districts.
The Heat Index Forecast is calculated by using relative humidity and maximum temperature and this is the condition that is felt on your body. This is not the forecast of maximum temperature. It is generated by the Department of Meteorology for the next day period and prepared by using global numerical weather prediction model data.
Effect of the heat index on human body is mentioned in the above table and it is prepared on the advice of the Ministry of Health and Indigenous Medical Services.
ACTION REQUIRED
Job sites: Stay hydrated and takes breaks in the shade as often as possible.
Indoors: Check up on the elderly and the sick.
Vehicles: Never leave children unattended.
Outdoors: Limit strenuous outdoor activities, find shade and stay hydrated.
Dress: Wear lightweight and white or light-colored clothing.
Note:
In addition, please refer to advisories issued by the Disaster Preparedness & Response Division, Ministry of Health in this regard as well. For further clarifications please contact 011-7446491.
“Power failures on election day could occur due to natural causes or sabotage”
Funds allocated for hiring power generators for the counting centres were inadequate, and the Grama Niladaris (GNs) would not be able to ensure a back-up power supply to those places, President of the Sri Lanka United Grama Niladhari Association, Nandana Ranasinghe warned yesterday.
Addressing a press conference, Ranasinghe said: “Under these circumstances, it will not be possible to provide the counting centres with generators. Funds must also be allocated for hiring electric bulbs, cables and transporting generators as well.
“Unless funds are made available immediately, the GNs must not be held responsible if something goes wrong in the event of a power failure, either due to natural causes or sabotage. The GNs must not be asked to bear the cost of supplying back-up power to counting centres.
“In some areas, the District Returning Officers are pressuring the GNs to bear the cost of hiring power generators. The GNs must not be forced to spend their personal funds to provide facilities to counting centres.
“If a power outage occurs, it will definitely cause issues at counting centres. In the event of disruptions to the vote counting process, the results in the polling divisions under the centres may have to be annulled.”
More than 65,000 police officers would be deployed for the 06 May local government (LG) elections from today (05), Police Media Spokesman SSP Buddhika Manatunga told The Island, yesterday. The police personnel will include members of the Police Special Task Force, intelligence units, security divisions, and mobile patrol teams.
Army Media Spokesman Brigadier Varuna Gamage told The Island that 8,500 military personnel would be deployed on the roads across the country in view of the LG elections.
He said the Army would coordinate with the police, and that troops in all military camps had been placed on standby to face any situation.
By Norman Palihawadane and Chaminda Silva
Heat index is likely to increase up to ‘Caution level’ at some places in Eastern, Northern and North-central provinces and in Monaragala and Kurunegala districts.
Showers expected in most provinces during the afternoon or night today
Fund issues may leave counting centres without back-up power tomorrow: GNs’ trade union
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