Boon for private sector workers from May 1

by Ananda Kannangara

The minimum wage of each private sector employee will be Rs. 5,000 commencing May 1. This was decided on at a meeting at the Labour Relations and Manpower Ministry in Colombo on Friday.

Minister Athauda Seneviratna told the `Sunday Observer', that more details will be made known on the International May Day which will be commemorated tomorrow.

The Minister said that due to this wage increase, the minimum wages of many private sector institutions will be Rs. 6,000 with the budgetary relief allowance of Rs. 1000, given in the last budget. "We were compelled to make this increase in response to requests by 11 trade unions to President Mahinda Rajapaksa recently.

The decision was taken on the instructions of the National Labour Advisory Board and it would be implemented through 45 Wages Boards. Asked whether the employers gave their consent to this decision, the Minister said that all three parties the employee represented trade unions, employer unions and the Labour Department agreed to it.

"This wage revision will also affect other incentives of workers, including the EPF, ETF and overtime," he said.