Pensioners to top 500,000

Ridma DISSANAYAKE

The number of pensioners in the public sector will top 500,000 by the end of this year, said Director General Pensions Department K.A. Thilakarathne.

According to the Director General, the pension bill can only be reduced by increasing the compulsory retirement age to 65 from the present 60 years. Public Administration and Home Affairs Minister W.D.J. Seneviratne said increasing the retirement age will help the government to save funds,but at the same time this will also increase the unemployment rate.

There is a large number of graduates and youths with professional qualifications passing out from the universities and other higher education institutes every year. They have to face the problem of having to seek employment and if the retirement age is upped these unemployed youth will have to face a problem, the minister added.

According to the Pensions Department sources the number of pensioners have steadily increased over the years and in 2010, there were 473,762 receiving government pensions.

There are over 480,600 pensioners in the public sector now and over 75,000 of them are from the security forces.

The Department has spent Rs.10.5 billion in 2010 for welfare programmes and social security for the disabled soldiers,they added.

According to Minister Seneviratne the government is yet to take a decision on this matter.