Cabinet Approves Liquidation of Shrama Vasana Fund by June 2026 📉

The Cabinet of Ministers has greenlit the liquidation of the Shrama Vasana Fund effective 30 June 2026, as part of a broader move to rationalize State-owned non-commercial institutions. • Core Decision: The fund, established under Act No. 12 of 1998 to support private and semi-Government sector employees, will be dissolved following recommendations to remove direct State mediation in non-commercial entities. • Implementation: The resolution, presented by Labour Minister Dr. Anil Jayantha Fernando, adheres to the Finance Act, No. 38 of 1971. The Labour Ministry will directly oversee and deliver essential services and welfare previously managed by the fund. • Continuity: An action plan developed with stakeholder input ensures that welfare support for beneficiaries remains uninterrupted during the transition. • National Impact: The move aims to streamline institutional structures and improve the efficiency of the Labour Ministry’s service delivery to the private sector workforce. _Summary based on Cabinet approval and provisional Labour Ministry guidelines._