A committee headed by the Commissioner of Labour has been appointed to draft legislation to extend the retirement age of private-sector employees to 60 years, in keeping with the Budget proposal for 2021.
Minister of Labour Nimal Siripala de Silva told the media on Wednesday (23) that the employers’ union and trade union leaders should come to a decision on the matter within a week.
The Minister said he had discussed the issue at the National Labour Advisory Council and that trade union leaders had agreed to extend the retirement age. However, the Minister said if an employee wishes to retire at the age of 55, he should be permitted to do so and given the right to receive the Employees’ Provident Fund (EPF), adding that there is no objection to receiving the provident fund when retiring after 60 years. The Employers’ Association said while there is no objection to this on principle, there would be many issues if such a law was enforced. They said there will be issues in productivity and that those with illnesses should not be forced to work until 60 years.