The Hon. Gamagedara Dissanayake - Deputy Minister of Buddhasasana, Religious and Cultural Affairs

¶ 01 Hon. Speaker, I am pleased to comment on the Bills before us, particularly on increasing the minimum monthly wage of private sector employees.

¶ 02 When we significantly raised public sector salaries in the last Budget, we simultaneously proposed substantial increases for private sector workers as well. In recent history, this is the first time such an increase of this nature has been undertaken for the private sector. As previously discussed, the private sector’s starting minimum monthly wage was Rs. 10,000 in 2016; by 2021 it rose to Rs. 12,500—an increase of Rs. 2,500 over several years. In 2024 it rose to Rs. 17,500—an increase of Rs. 5,000 over three years. Now, with the 2025 Budget proposals, we raise the private sector minimum monthly wage to Rs. 27,000, and within about six more months it will reach Rs. 30,000. That is, from Rs. 17,500 in 2024 to Rs. 30,000 within six months after our Government assumed office—an increase of Rs. 12,500 in a short span. This is the special feature of our Government.

¶ 03 Past governments paid scant attention to private sector employees. While public sector salaries rose by Rs. 5,000 or 10,000, private sector wages rose only by Rs. 2,500 or 3,000. As a democratic Government, within a short period we will have increased private sector wages by Rs. 12,500 by January 2026.

¶ 04 Some Opposition MPs argue that with these increases, the Rs. 3,500 budgetary relief allowance already received will, to an extent, be absorbed. Anyone familiar with public and private pay structures knows benefits are calculated on the basic wage, whereas ad hoc allowances can be withdrawn. As a Government attentive to working people, we have acted to raise the salaries of both public servants and private sector workers. While large numbers benefit, a certain group went to court to challenge this.

¶ 05 We cannot understand how they assess the worker. If workers receive relief and benefits, trade unions and political movements should bless it. Instead, litigation has delayed and diminished these benefits. Many in the Opposition express great concern for private and estate workers, shedding crocodile tears, though they held power till recently and did nothing despite ample opportunity to intervene on behalf of such workers. When a democratic Government brings structured benefits for private sector workers, they cannot bear it and weep for political gain.

¶ 06 Some in the Opposition have claimed the cessation of budgetary relief allowances means no future relief. That has no rational basis. Others tried to mislead that those in security, cleaning or manpower services won’t receive these benefits. That is utterly false. The benefits proposed here will be granted across all sectors. We also recognize difficulties faced by those in informal sectors. We have commenced discussions with the ILO on how to regularize informal employment and integrate those workers into the private sector.

¶ 07 When the minimum is Rs. 27,000 this year and Rs. 30,000 next year, there will be many ancillary benefits. EPF/ETF are calculated on the basic wage; thus workers gain significantly.

¶ 08 We note that although Rs. 27,000 now and Rs. 30,000 next January may still be insufficient to live on, there is room at enterprise level to add more to the basic. With strong representation for workers within this Government, no injustice will be allowed for state, private, or estate workers. Thank you.