Employers' Federation of Ceylon turns 85

The Employers' Federation of Ceylon (EFC) celebrated its 85th anniversary on January 15.

January 15, 1929, marked the beginning of the Employers' Federation of Ceylon. On that day, the resolution to set up the EFC was unanimously accepted by the Committee of the Ceylon Chamber of Commerce, and the first meeting of the council of the Employers' Federation of Ceylon was held at the Ceylon Chamber of Commerce.

The first Chairman was S. P. Hayley who at the inaugural meeting, made the following profound statement which is relevant even today. "Labour nowadays cannot be fought. We will perhaps have a certain number of die-hards who think that they can dictate to labour and also refuse to listen to arguments to the contrary. But even they are gradually fading away."

The proposal to set up the EFC was made in August 1927 to the Committee of the Ceylon Chamber of Commerce by S. P. Hayley. Initially, eight groups of employers were represented in the EFC Council.

Over the years, the EFC has not only promoted the interests of the employers but the overall socio economic interests and well-being of the country.

It has always maintained a balanced approach consistent with the concept of justice and equity, which runs through the fabric of employment law in Sri Lanka.

Initially, the EFC was set up to function as a 'troubleshooter' at a time when the Sri Lankan working class was resisting its British employers and rulers. The necessity for an organisation which consisted of experts on employment law and relations was regarded as being imperative and the EFC was set up in 1929, for this purpose.

On June 5,1929, the first Collective Agreement was entered into between the EFC and the All Ceylon Trade Union Congress. The Federation signed on behalf of its eight constituent associations and also bound any association which would join the Federation thereafter.

The Union, led by A. E. Gunasinghe, undertook in terms of the Agreement that it would not call a strike without an attempt being made to arrive at a settlement with the employers concerned, or failing such settlement without giving the EFC not less than seven days' notice in writing.

At the council meeting of May 9, 1930, the Secretary of the EFC, C. H. Whitaker said, "Since the formation of the Federation there has been an improvement in the relationship of capital and labour.

"The fact that the Federation offers facilities for the examination of complaints and arbitration on such matters has, I am sure, had the effect of modifying and regularising the grievances of labour and at the same time given them a feeling of confidence that any such representation will receive fair consideration by a larger body than their own individual employers".

The hallmark of the EFC has been that over the years, it has adapted and changed to the needs of its members notwithstanding the fact that the legal framework within which it had to operate has almost remained the same or been even more rigid during the 85 years.