Parliament approves draft Bill for retirement age extension
a year ago
The draft Bill to extend the retirement age of private sector employees to 60 years, was yesterday (11) passed in Parliament with amendments. The Bill had been presented in Parliament by Minister of Labour Nimal Siripala de Silva on 22 October 2021. On Tuesday (9), the Minimum Retirement Age of Workers Bill had received the approval of the Ministerial Consultative Committee on Labour for the purpose of being presented to Parliament. The Termination of Employment of Workmen (Special Provisions) (Amendment) Bill had also received the approval of the Committee, chaired by Minister Nimal Siripala de Silva. The Bills are aimed at extending the retirement age of private sector employees to 60 years. There has not been a set retirement age for most employees in the private sector in particular. Retirement of private sector employees was often based on the terms of the agreement between the employer and the employee. The Second Reading Debate pertaining to these bills took place in Parliament yesterday. On 23 March 2021, Cabinet granted approval to prepare a Bill to amend the existing minimum age limit for the retirement of private sector employees. The Bill prepared accordingly was further discussed with the participation of all relevant parties in the Committee to Study on Policy and Legal Matters Affecting the Business Sector chaired by the Prime Minister. The Bill includes the provisions to extend the retirement age to 60 years with respect to employees who have not attained the age of 52 on the effective date of the proposed Act and the case of employees who are aged 52 or above on the effective date of the proposed Act to employ them under three age groups up to a maximum age of 59 years.