Thu, 16 Sep 2021 Today's Paper

COYLE opposes move to increase retirement age to 60 years

17 December 2020 08:57 am - 0     - {{hitsCtrl.values.hits}}

A A A

  • Urges need for employing younger generation for innovation and creativity
  • Says continuation of employees beyond 55 will incur additional financial burden to companies by way of higher salaries 
  • Points out the move could also drastically increase unemployment rate

The Chamber of Young Lankan Entrepreneurs (COYLE) yesterday opposed to the government’s move to increase the retirement age to 60 years, which was announced in the Budget 2021 presented in November. “COYLE addresses a vital factor that will adversely affect the private sectors’ ability to move forward in the light of the unprecedented uncertainty caused by the COVID-19 pandemic, resulting in economic upheaval and its adverse effects on the business sectors of the country. 


The retiring age for the private sector be maintained at 55 years,” COYLE said a in a brief statement. 


“As companies grapple with regaining a foothold in their businesses, it is imperative that innovation and creativity are needed to boost the industry. To this end, it is necessary to have an infusion of thinking of the younger generation, who need to be employed and that would be hindered with the extension of the retiring age to 60 years,” the statement added.


It also said employees at age 55 have in general reached optimal salary scales although their productivity is either not on par with younger employees or fast deteriorating. 


“Continuation of employees beyond 55 will only incur an additional burden, since organisations will be compelled to pay high salaries for the retiring age employees. 


Additionally, employers need to further incur salary increments every year for five additional years in par with other younger and more productive employees. 

The increase of gratuity payment, which is based on the last drawn salary will be an additional burden to organisations,” the statement noted.


COYLE further said that by changing of retiring age to 60, it will deprive companies of hiring younger employees with new perspectives and innovative thinking due to the lack of such vacancies. 


“This will also drastically increase the unemployment rate due to the blockage of providing employment to the new generation by the retention of the retiring employees.” Meanwhile, the chamber pointed out that the private sector does not place limitations to retiring employees if they are vital to the operation of the organization since companies usually at their discretion retain their services by extension.

 

 

See Kapruka's top selling online shopping categories such as Toys, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

  Comments - 0

See Kapruka's top selling online shopping categories such as Toys, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

 


Add comment

Comments will be edited (grammar, spelling and slang) and authorized at the discretion of Daily Mirror online. The website also has the right not to publish selected comments.

Reply To:

Name - Reply Comment




See Kapruka's top selling online shopping categories such as Toys, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

 


Mysterious disease killing pups!

A mysterious respiratory disease affecting puppies in the Central Province is

Jacqueline Fernandez; Lankan Star Shining in Indian Film Sky

Sri Lanka’s Jacqueline Fernandez who has made a name for herself in India

Young families share stories of pregnancy in a pandemic

For hundreds of expectant and new mothers, pregnancy and childbirth are nothi

“Your travel plans should not come first” – Dr. Dinu Guruge

In a recent live discussion on fighting the Covid-19 pandemic hosted by Daily