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Financial struggles plague university academics as taxation woes spark exodus

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Charudatta Ilangasinghe

By Rathindra Kuruwita

About two percent of university academics see their entire salary deducted due to PAYE tax and higher interest rates, Federation of University Teachers Associations (FUTA) media spokesman, Senior Lecturer Charudatta Ilangasinghe, told The Island.

There are many others who only receive about 1,500 rupees as salaries, he said.

“How will they survive? Most of such people leave, and even if they stay, they are under tremendous pressure. How can they carry out their duties as academics?” he asked.

Ilangasinghe said that about 800 academics have left the country, and the teacher-student ratio has increased.

“Sometimes, we only teach a percentage of students. We ask the others to stay home. There are no provisions to address the shortages in many science laboratories. The quality of education has dropped. We will only see the results in a few years. We need to develop our human capital to come out of this crisis. However, we are doing the opposite,” he said.

Ilangasinghe added that the future generation will judge this government harshly. He added that the government is playing around with numbers to convince people that the economy has stabilized.

“However, everyone is feeling the pressure, which is increasing. In 2024, things will get worse. In a survey in January 2023, about 26 percent of the academics were of the opinion that they would leave the country within the next two years. About 10 percent have left by December 2023.

He said that the government promised to give a tax concession to professionals after the first review under the IMF agreement. However, the government went back on its word, although the IMF approved the second tranche of the finance package.

“A lot of professionals tried to weather 2023, expecting things to change in 2024. But now we know that 2024 is going to be worse. Most professionals, who can, will leave in 2024, and many sectors will collapse. This is especially the case in academia,” he went on to say.



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Festival advance for government officers to be increased

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In terms of the provisions of the Establishments Code on payment of festival advance to government officers, there’s a possibility of obtaining rupees 10,000/- as an advance for celebrating festivals of Theipongal, Ramazan, Sinhala and Hindu New Year, Wesak, Deepavali, and Christmas as well as for pilgrimages (Sri Paada pilgrimage and Hajj pilgrimage).

Provisions have been given to recover the said advance in 08 installments or if required earlier without interest. It has been proposed by the Budget 2026 to increase the said festival advance up to rupees 15,000/-.

Accordingly, the Cabinet of Ministers granted approval to the proposal submitted by the Minister of Public Administration, Provincial Councils and Local governments to revise the relevant provisions so that the festival advance can be increased up to rupees 15,000/- .

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Providing underutilized lands/properties to suitable investors for optimal utilization.

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As per the approval given by the cabinet meeting held on 02-06-2025, action is being taken at present to offer the underutilized lands/properties of the Sri Lanka State Plantation Corporation, the Janatha Etate Development Board, and the Elkaduwa Plantation Company which are under the Ministry of Plantation and Community Infrastructure which have been identified under stage one  to suitable investors.

Accordingly, the Cabinet of Ministers has approved the proposal presented by the Minister of  Plantations and Community Infrastructure to provide following lands/properties on a lease basis to the suitable investors for optimal utilization following the prescribed procurement procedure.

• underutilized lands/properties identified under stage two owned by the Sri Lanka State Plantation Corporation, the Janatha Estate Development Board, and the Elkaduwa Plantation
Company,

• The Mawarala watte land and the Tea factory 40.48 hectares in extent, located in Matara District belonging to the Tea Shakthi Fund.

• The underutilized land of 1,541 hectares in extent of Kondachchi Estate is enjoyed by the Sri Lanka Cashew Corporation.

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Implementation of the National Fisheries and Aquaculture Policy

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The drafting of the National Fisheries and Aquaculture Policy has commenced with the objective of equitable distribution of the benefits of the fisheries industry and the sustainable management of fisheries and aquaculture. This policy has been updated from time to time according to current requirements. However, steps have not been taken to obtain the approval of the Cabinet of Ministers for that purpose.

According to the policy declaration of the present government, ‘Vistas of Prosperity and Splendor’ the National Fisheries and Aquaculture Policy has been redrafted, updating the aforementioned policy in line with the economic and development objectives of the government.

The recommendations of the Department of National Planning have been received for the drafted policy.

Accordingly, the Cabinet of Ministers has approved the proposal presented by the Minister of Fisheries, Aquaculture, and Marine
Resources to implement the National Fisheries and Aquaculture Policy, integrating it with other relevant policies.

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