CEB trade unions threaten industrial action over restructuring, employee rights

Trade unions representing employees of the Ceylon Electricity Board (CEB) have warned of strict industrial action if the Government fails to address a series of demands related to employee rights, salaries, and the ongoing restructuring of the national power utility.

In a letter addressed to Power Minister Eng. Kumara Jayakody, the unions said they had consistently supported efforts to strengthen the CEB and had worked closely with successive administrations, including the current Government, to ensure uninterrupted electricity supply and institutional stability. They highlighted the role played by CEB employees in restoring power supply during the recent cyclone and floods, often working round the clock and at personal risk.

The unions noted that, despite their cooperation during the restructuring process under the Electricity Act, No. 36 of 2024, the present administration was failing to resolve even “easily addressable” employee concerns. They said assurances given during discussions with the Power Minister on 13 October 2025 had yet to be fulfilled.

A key demand is the formal confirmation of all existing financial and non-financial benefits enjoyed by CEB employees through a collective agreement, which must be signed with trade unions before the restructuring is gazetted. The unions also insisted that no allowances, incentives, loans, interest concessions, or other benefits should be reduced or abolished prior to the legally stipulated due date.

The letter further calls for a proper audit and valuation of all CEB assets, including land, vehicles, and substations, before they are transferred to new companies, warning that hasty actions could result in the loss of national resources.

Trade unions also raised concerns over documents such as the Employee Handbook and Preliminary Transfer Plan, stating that these had been prepared informally without adequate employee participation. They stressed the need to safeguard employee provident and pension funds, remove legal obstacles affecting these funds, and ensure employee representation on the Boards of relevant entities.

Longstanding salary anomalies featured prominently among the demands. The unions called for the Rs. 10,000 temporary allowance to be added to basic salaries, correction of disparities arising from the August 2024 salary revision, implementation of a uniform 25% increase from January 2024, and the payment of an agreed cost-of-living allowance.

They also demanded the establishment of a formal mechanism to resolve unresolved matters such as promotions, transfers, grievances, and disciplinary procedures, and the restoration of suspended benefits for employees who had applied for the Voluntary Retirement Scheme (VRS) due to delays in announcing the restructuring’s effective date.

The unions warned that the due date for restructuring should not be announced without a practical contingency mechanism, noting that remaining a single institution had helped the CEB respond more effectively to recent natural disasters.

Copies of the letter were sent to the President, Prime Minister, Minister of Labour, senior officials of the Power and Energy Ministry, the Commissioner General of Labour, and the CEB’s top management and Board Members.

The trade unions said failure to meet these demands within the specified timeframe would leave them with no option but to resort to industrial action without further notice, raising concerns over potential disruptions to the country’s electricity supply.