The government has not taken any decision to replace Employees’ Provident Fund (EPF) and Employees’ Trust Fund (ETF) benefits with a pension scheme, Labour Minister Anil Jayantha Fernando said on Thursday.
Issuing a media statement yesterday (09), the Minister dismissed reports suggesting that the government was preparing to introduce a pension system in place of EPF and ETF contributions, describing such claims as false.
He stressed that EPF and ETF funds belong to the people and that contributors will be able to access their savings without any obstacles upon retirement.
The Minister also noted that around 30 percent of the funds can be withdrawn to meet emergency requirements, adding that the government has no intention of reducing or curtailing any existing employee benefits.
“Our government will not act to cut back anyone’s entitlements. On the contrary, we are committed to providing additional benefits,” he said.
Commenting further, Minister Fernando said public discourse has emerged on whether a pension system could be introduced in the future, but emphasized that no decision has been taken to convert EPF funds into a pension scheme or to replace the current lump-sum payments with pensions.
“The money saved through the hard work of the people will be used solely for their needs. While discussions may exist in society, the government has not taken any decision to divert EPF funds into a pension system,” he said. (Newswire)
