📢 Govt. Rejects EPF-ETF Merger Claims, Focuses on Efficiency Reforms

Labour and Finance Deputy Minister Dr. Anil Jayantha Fernando has dismissed reports of merging or privatizing the Employees' Provident Fund (EPF) and Employees' Trust Fund (ETF), confirming these claims are false. The recent Cabinet paper focuses strictly on streamlining administrative processes to safeguard and enhance worker benefits. • Core Clarifications & Objectives: • No Merger or Privatization: Funds will maintain their existing ownership structure and institutional management. • Administrative Oversight: A dedicated committee of officials has been proposed to examine options for enhancing governance and operational efficiency. • System Integration: Reforms focus on integrating fragmented database systems to eliminate payment delays and resolve unidentified account balances. • Key Operations & Current Structure: • EPF: Asset base managed by the Central Bank of Sri Lanka, with compliance and benefits handled by the Department of Labour. • ETF: Governed by a separate institutional framework protecting member savings and providing retirement benefits. • Public Consultation: The official committee report will be made public and presented to the National Labour Consultative Council prior to implementation. • Background & Economic Relevance: • EPF and ETF form the backbone of Sri Lanka’s social security & national savings framework for private and state-backed sector employees. • Enhanced technology and unified data management aim to safeguard worker contributions while optimizing investment returns and member benefits transparently.