To support investment promotion:

EFC wants change in labour laws

Ramani Kangaraarachchi

The Employers Federation of Ceylon (EFC) has made submissions to review labour legislation in Sri Lanka as a budget proposal for the forthcoming budget.

The proposals were submitted to Treasury Secretary Dr PB Jayasundara by EFC Director-General Ravi Peiris recently.

Peiris said the Government’s Ten Year Development Horizon Framework identifies flexible labour laws as being one of the key policy directives in terms of its labour policy.

“At a time when Sri Lanka is poised to harvest the benefits of peace in terms of economic development, it is extremely important that the labour legislation framework gives the required support for investment promotion in the country,” Peiris said.

The submissions were mainly related to the Shop and Office Employees Act. No. 15, Industrial Dispute Act. No 43, Employment of Women, Young Persons and Children Act. No 47, Termination of Employment Act. No 45 and the Employees Provident Fund Act. No 15.

The EFC has proposed that the qualifying period for 1/1-2 days paid weekly holidays be 45 hours per week including leave and holidays. An amendment on these lines will assist in permitting better attendance at work and higher productivity.

The EFC has also proposed the prevention of industrial disputes should be introduced through legislation, with mechanisms such as Codes of Conduct and grievance handling procedures given more recognition.

The right to strike should also be regulated through these Codes of Conduct in a manner that would prevent sudden work stoppages without any notice to employers.

Peiris hoped the proposals and submissions in respect of labour law reforms will be taken into consideration favourably in finalizing the budget proposals for the coming year.

“This submission is not exhaustive. There are obsolete and impractical provisions in our labour laws.

What is discussed are the most significant issues and the related legislation which needs to be revised. What is important is that our labour law needs to supplement and facilitate socio- economic progress and development,” Peiris said.