The Hon. (Dr.) Harini Amarasuriya

¶ 01 Hon. Speaker, for many years there were numerous injustices and anomalies, especially regarding retirees’ pensions. These were not resolved for a long time. In the first Budget we presented, we addressed these anomalies as a matter of policy, not with ad hoc fixes. Successive governments offered piecemeal solutions to immediate problems, creating further crises. As the Hon. Member also knows, that is why today there are serious issues in sectors such as education, with multiple existing disparities.

¶ 02 Our approach is to look at the system, category by category, and provide policy-based solutions in line with the country’s current economic capacity and strength, in a manner that avoids creating new anomalies. Accordingly, we have already provided a solution to the problem that had built up over time for retirees, and I explained the salary increase for public servants from 2025. This is not discriminatory. It is the earlier steps that gave rise to the current debate.

¶ 03 Every time salaries are increased, pensions cannot be recalculated to match those salaries: that is not how it works anywhere. The welfare of retirees is a separate issue. We will certainly work to strengthen the retirees’ economy and ensure they receive due services and necessary pension revisions under a separate programme.

¶ 04 At present, there is no anomaly. When salaries are increased, we cannot revise the pensions of people who retired earlier to match the new levels; that would be a significant policy problem. There are two parallel obligations: ensuring appropriate salaries within the public service and properly calculating pensions for those retiring; and separately, looking after those who retired earlier. Our government is doing both, guided by a system that protects and strengthens the public service without creating future problems. Thank you.