Descent of Sri Lanka’s public sector

Representing a dismal assessment, the World Bank in its recent Sri Lanka Public Finance Review report had observed that the island’s public sector employees earn less than their peers in the private sector as well as counterparts in comparable economies. Furthermore, as per the report, the public sector workforce is higher than that of similar countries and the Bank had opined the bloated workforce needs to be trimmed gradually through proper planning and well-targeted attrition strategies.

Sri Lanka perhaps had one of the finest and impressive public/civil services in the Asian region during the bygone era. Sadly, the deterioration and decay of the country’s public sector is quite gut-wrenching apart from being distressing. Even career Central Bank officials, a minority of semi-government employees who enjoy highly lucrative remuneration benefits, have been disgraced for their unprofessional and unworthy conducts in certain instances. Prominent special grade Sri Lanka Administrative Service (SLAS) officers have been jailed and remanded quite regularly by the courts in the recent past, reflecting the considerable erosion of the nation’s public service.

The descent of the public service began with the abolition of the Ceylon Civil Service (CCS), which was the premier public service under British colonial rule and during the early post-independence era, in 1963. Modelled after the British Civil Service, the CCS was known for its high standards and professionalism. Impressive and erudite CCS officers like Ronnie de Mel, Bradman Weerakoon, and Nissanka Wijeyeratne were considered as colossal figures, and none of the contemporary SLAS officers can come even close to their grace and stature. The examination to join the CCS was considered extremely tough and rigorous, with only a small number of candidates chosen from a very large pool of applicants. The prestigious service attracted aspirants hailing from respectable family backgrounds who were educated from the best schools in the country.

In contrast, the SLAS – the successor to the CCS – is quite broad, with about over 2,500 officials, and the service is manned by individuals from the middle class with even top SLAS officials not having the capacity to converse in English language. Today, the public service is no longer perceived as a career path by the ambitious and academically brightest young individuals in the country. At the time of gaining independence, there were quite a number of educated Tamils holding prominent positions in State organisations. However, with the Governments in the South exercising racial prejudice against the minority community systematically over the years in addition to the escalation of the civil war, many of them left the shores, thus, contributing towards the degeneration of the public service.

According to the World Bank publication, in cumulative real terms, average public sector wages and pensions decreased by 33% and 26% from 2020 to 2023. The international development agency also states that government wages are least competitive for highly skilled workers, as they earn 8% to 22% less than private sector peers. Such gross under remuneration contributes towards apathy and dissatisfaction among government employees, resulting in low productivity. 

Due to the fiscal constraints, the Government’s ability to spend on the training and development needs of workers has been severely constrained. On the other hand, top companies in the private sector place a special emphasis on the capacity development of junior and middle-level employees to foster their career progression. Although individuals in the private sector can progress through the career ladder rapidly, employees in departments and statutory boards have to spend a considerable amount of time to gain promotions, which further aggravates their frustration.

Going forward, policymakers should strive to develop a leaner and meaner public service through meticulous human resources planning. A smaller public sector with excellent financial and non-financial benefits which attracts competent and talented individuals would boost the progress of the nation.