Govt. assures no forced job cuts in CEB reforms: Minister

Tuesday, 16 September 2025 04:59 -     - {{hitsCtrl.values.hits}}

  • Energy Minister Eng. Kumara Jayakody says all employees notified to express their views within two months; stresses process is legal requirement and not move by Govt. to pressure workers
  • Announces Govt. opted to offer more favourable package, extending Rs. 5 m VRS to all employees without discrimination
  • Criticises certain trade unions, questioning whether their actions truly represented employee welfare or politically motivated
Energy Minister Eng. Kumara Jayakody

Energy Minister Eng. Kumara Jayakody yesterday assured that the Government’s restructuring of the Ceylon Electricity Board (CEB) will not undermine employee job security or labour rights, despite trade union concerns and ongoing protest threats.

Addressing the media, the Minister explaining the reforms noted that the CEB currently consists of four key institutions — Generation, Transmission, Distribution, and Systems Administration – staffed by around 23,000 employees and fully State-owned under the licencing and regulatory oversight of the Public Utilities Commission of Sri Lanka (PUCSL). 

“In addition, the CEB operates a retirement fund, the Employees’ Provident Fund (EPF) and a separate funding company, where staff from the four core institutions are now being considered for redeployment,” he added.

The Minister noted that all employees have been officially notified and invited to express their views within two months, stressing that the process is a legal requirement and not a move by the Ministry or the Government to pressure workers.

Jayakody pointed out that as per the existing and approved Voluntary Retirement Scheme (VRS) includes compensation capped at Rs. 5 million for senior employees and Rs. 2.5 million for others. However, he said the Government has opted to offer a more favourable package in line with employee preferences. “After considering the new reforms, the Government has decided to extend the compensation with Rs. 5 million for all employees keen on the VRS, as all employees are equally important to us,” he said.

The Minister also said there is no pressure on workers, adding that they have been given two months to respond. “We did not and will never force anyone to like or dislike the VRS. Don’t get carried away with false information,” he added.

Although a past Cabinet decision to cut 12,000 jobs at the CEB remains on record, Jayakody clarified that this has not been included in the present reform package. Instead, the restructuring is aimed at reducing inefficiencies, cutting dependence on expensive liquid-fuel power generation, and positioning the CEB to attract international financing, particularly from the Asian Development Bank (ADB).

The Minister also criticised certain trade unions, questioning whether their actions truly represented employee welfare or were politically motivated. “They must be asked clearly if they represent the employees for their welfare, or if they just work for political parties to jeopardise the work at State institutions,” he claimed.

Despite Government assurances, trade unions have threatened protests over the reforms passed in Parliament last month. The action, led by the CEB Engineers’ Union (CEBEU) and allied groups, follows an 11-day “work-to-rule” campaign launched on 4 September. 


Trade unions intensify action against proposed division of CEB

All trade unions of the Ceylon Electricity Board (CEB) yesterday announced that they have intensified their strike action against the proposed division of the CEB into four parts.

The Ceylon Electricity Board Engineers’ Union (CEBEU), along with other affiliated unions, had initially decided to implement the strike in three phases. The first phase was initiated as a ‘work-to-rule’ trade union action.

Although 11 days have passed since the strike commenced on 4 September, the CEBEU stated that the authorities have so far failed to engage in discussions to resolve their concerns.

The Union further stated that it will make an announcement regarding the next phase and potential intensification of the strike following trade union discussions yesterday afternoon.


 

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