The Cabinet of Ministers has approved measures for the settlement of arrears of statutory allowances of Sri Lanka State Plantation Corporation, Janatha Estate Development Board and Elkaduwa Plantation Company Limited.
According to the government, more than 2000 cases are being heard in the courts of various provinces regarding the non-payment of statutory allowances of the said institutions.
Since the earnings of those institutions are insufficient to pay the arrears of the statutory allowances, it has been proposed to provide the necessary money as a loan by the Treasury and settle the relevant amount in installments from the earnings of those institutions.
In accordance with the provisions of the Employees Provident Fund Act No.15 of 1958, the Commissioner General of Labour has the ability to reduce the amount of surcharge payable in relation to that amount.
As such, the Cabinet approved the proposal presented by the President to provide necessary funds from the Treasury to pay the respective arrears of statutory allowances of the Sri Lanka State Plantation Corporation, Janatha Estate Development Board and Elkaduwa Plantation Company.
Cabinet approval has also been given to instruct the Commissioner General of Labour to reduce the maximum amount that can be deducted from the surcharges to be paid by the said institutions as per the provisions of the Employees Provident Fund Act No.15 of 1958 after the payment of the arrears. (Newswire)