New labour laws : 34 key points from proposed Employment Act

July 7, 2023 at 10:01 AM

The Ministry of Foreign Employment and Labour has issued a statement highlighting the 34 key points in the proposed Employment Act.

The Ministry is actively working on introducing a new unified labour law system in Sri Lanka. 

As per the Ministry, the 34 key points in the proposed Employment Act are as follows:

  1. To introduce legal provisions to prevent discrimination in employment or in the workplace.
  2. To introduce legal provisions related to the prevention of all forms of harassment and sexual violence in the workplace. (Sri Lanka can ratify the no- C190, violence and harassment convention)  
  3. Introduction of new legal provisions on occupational safety, health and welfare of employees (OSH) (Sri Lanka can ratify the no – C155, convention on safety, health and welfare)
  4. Removal of existing restrictions on the payment of gratuity. (removed the continued service of 5 years and number of employee’s 15 )
  5. To introduce 1 ½ payment method for male workers who work in the factory and business undertaking at night  ( female workers are being paid at present)
  6. To remove the disparities between the provisions of the Wages Boards Ordinance and the Shop and Office Employees Act regarding working terms and conditions and to create similar arrangements for all employees.
  7. Mandating an employer to provide a letter of appointment in writing to all employees containing terms and conditions of employment at the time of recruitment except for those employed in casual employment.
  8. Introducing a 05-day week and flexible working hours according to the needs of the employees.
  9. Relaxation of legal provisions in existing law for night work of women employees subject to certain conditions.
  10. To introduce a uniform system regarding the amount of overtime working hours and the calculations to be paid.
  11. To introduce legal provisions related to part-time employment.
  12. Introducing legal provisions relating to trainees, apprentices and those working while studying in educational institutions.
  13. Making legal provisions regarding paternity leave.
  14. To introduce legal provisions on the rights and duties of employees who work from home.
  15. To introduce a procedure to be followed in the employment of a foreign employee in Sri Lanka.
  16. Inclusion of Domestic Work under the purview of Labor Law.
  17. Introducing a National Remuneration Council instead of the system of minimum wage determination by Wages Board decisions and statutory law and empowering that body to determine minimum wages on contemporary and accepted criteria.
  18. Establishing a legal obligation on employers to provide final disciplinary decisions relating to misconduct by employees within a specified period.
  19. To introduce provisions that unfair labour practices by trade unions should also be prohibited by law in the same way that unfair labour practices by employers are currently prohibited by law.
  20. Create an opportunity for both parties to initiate actions in court in violation of provisions on unfair labour practices.
  21. Make it mandatory for the employer to deduct membership fees from remuneration and remit to trade unions.
  22. Increasing the minimum number of members required to form a trade union from 07 to a higher number.
  23. Mandatory representation of a certain percentage of women on the executive board of a trade union.
  24. Provisions for notifying the employer before the date of commencement of the strike and obtaining majority consent of members for the strike.
  25. To introduce workplace rules to an employer subject to certain guidelines and to give legal authority for those workplace rules.
  26. To make the process faster and simpler for termination of employment with compensation when jobs are made redundant due to poor performance, restructuring or business reorganization.
  27. To obtain the permission of the Commissioner General of Labour to layoff for a short period of time due to non-availability of raw materials, non-availability of orders, breakdown of machinery or for reasons beyond the control of the employer. 
  28. In the case of voluntary resignation of an employee, inform the employer one month in advance and make provision for resignation.
  29. Revision of the retirement age.
  30. To introduce standards and norms for the dignity of labour to be followed in engaging in employment or profession.
  31. Establishment of a social security system which provides maternity benefits, workers’ health and compensation in case of unemployment through a social security insurance fund.
  32. Making legal provisions to ascertain the performance of employment.
  33. Making legal provisions regarding the regularization of Man Power Supply institutes and Employment Agenesis.
  34. To introduce legal provisions related to  E-Wages system. (NewsWire)