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Pension scheme for construction workers

by Don Asoka Wijewardena

In a bid to protect a large number of construction workers scattered throughout the country a Pension and Social Security Benefit Scheme will be set up by the Ministry of Urban Development and Water Supply in collaboration with the Ministry of Public Administration and the Ministry of Employment and Labour Relations.

Addressing a media conference held at the Ministry of Urban Development, Urban Development and Water Supply Minister Dinesh Gunawardena said that the Cabinet had already approved the establishment of a pension and social security scheme on behalf of all construction workers as the contribution from the construction industry in 2002 was 6.4 per cent of the total Gross Domestic Product (GDP) equal to Rs. 100,404 million.

Minister Gunawardena explained that despite the fact that construction workers had been receiving comparatively high enumeration in the course of their employment no pension or security scheme had been set up for the benefit of them to protect and care for those workers during the later period of their lives.

Referring to the present status of construction workers, Minister Gunawardena said that although there was a gradual development in the construction sector,the employees were mostly self employed persons under various contractors on informal agreements.

He also said that there was neither permanency of employment nor full time work for those workers and added that the construction workers were prone to different types of accidents while on duty.

When asked about the role played by the Pension and Social Security Scheme implemented by the Social Security Board under the Ministry of Social Services, Minister Gunawardena said that as most construction workers were self employed the Ministry of Social Services had failed to reach them on individual basis as most construction workers were technically not self employed although they were recorded as employees under the contractors.

And also the Social Security Board was being operated from Colombo without adequate sub-offices at the regional and divisional level,failing to reach the workers' population.

A Cabinet sub-committee has also been appointed to examine and report for a suitable institutional arrangement to implement the scheme.

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