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Economist says time right to start debating if Sri Lanka should charge for tertiary education

6 December 2022 07:10 am - 16     - {{hitsCtrl.values.hits}}

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  • IPS Chief calls for meaningful reforms to upskill and reskill people
  • Says Budget 2023 failed to adequately address factor endowment issues and labour market woes
  • SL’s labour shortage compounded by mass exodus of people fleeing economic crisis

It is high time that Sri Lanka started debating whether the tertiary education must be charged and should the private sector be allowed to get engaged more actively in this sector, through facilitating investments for meaningful reforms in higher education, in order to produce the skills needed for high-paying jobs in a growing economy, a senior economic opined. 


Dr. Dushni Weerakoon, Executive Director at the Institute of Policy Studies, an independent think tank in Colombo, called for reforms amid other things needed to strengthen Sri Lanka’s factor endowment, a term used in economic parlance to identify the amount of resources such as labour, land, money and entrepreneurship available for a country to be utilised in manufacturing.


Speaking at a recent post-budget forum she said she was disappointed at seeing the scant measures proposed in Budget 2023 in strengthening factor endowment by way of adding more capital per worker. It is absolutely critical for Sri Lanka to continue to ensure that its labour force is skilled and reskilled sufficient enough to keep pace with the technological, digital and scientific advances that are happening so fast around the world to stay relevant and competitive. 

  Dr. Weerakoon particularly pointed at the need for technology uptake by the Sri Lankan workforce. 
However, Sri Lankans are still stuck in a debate whether the country’s female educators in schools should be wearing the saree and what colour saree they should be wearing. 


Given the skill gap plaguing the country’s economy and fiscal woes, which have put limits on what the government could actually spend on education, Dr. Weerakoon said the time is ripe for engaging in meaningful debate over whether Sri Lanka should start charging for tertiary education.  


“We need to look at the entire tertiary education system and those kinds of reforms only come if there is a different funding mix,” she noted.


“The public sector can’t and they don’t have the money to keep funding higher education. We are still providing subsidised, free education at tertiary level. All these things, I think we need to put up for debate and discussion – should we start charging at tertiary education level being tested? Should we allow private sector investments in tertiary education?” she asked.


“I think this is absolutely critical because this is where the young people will be able to get the kind of education they want, instead of always looking outside. And once they do go outside, they don’t return,” Dr. Weerakoon pointed out.


However, Sri Lanka’s leftist political parties and student organisations affiliated to them vehemently oppose to any kind of education reform, alleging that authorities are trying to privatise the country’s free education system.
Speaking further, Dr. Weerakoon said Sri Lanka is experiencing a shrinking labour force and thus, it is crucial to improve productivity to achieve desired growth outcomes.


However, she said the restrictive labour laws prevent people from entering and engaging in formal employment, depriving them of on-the-job training required to improve crucial skills and receiving social protection.   


Adding further to the shrinking labour force, Sri Lanka is currently seeing its largest drain of talent in all walks of life, as people are fleeing the crisis-stricken economy, after the prices reached hyperinflationary levels, with rolling power cuts and commodities shortages. Dr. Weerakoon said what she found on the budget on labour market reforms falls well short of what is required to draw these people onto the labour force and lacks execution to make meaningful change.


Acknowledging the long overdue labour reforms, President Ranil Wickremesinghe, in his capacity as the Finance Minister, in November proposed to enact a new, updated and a unified labour law in a manner to benefit both the employers and employees.

 


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  Comments - 16

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  • Rajan Tuesday, 06 December 2022 07:43 AM

    The term Free Education is a misomer. Who is Paying for the Teachers and Educational Institutions. Whose Land the Isitutions are located, It is Peoples taxes. It is an Educaton funded by the People. Cmmon man must now this. Students must know that People of this country are funding tem.

    Athk69 Tuesday, 06 December 2022 07:48 AM

    All who currently have the means will leave before this crazy governmental policies depletes their means and entrap them in a country that has a cancerous political institution. It is very unfortunate, that a majority of remaining people will be driven to poverty by these politicians and nothing can or will be done by the rest of the world who will be onlookers with sympathy.

    kudson Tuesday, 06 December 2022 07:51 AM

    get rid of the vehicle permits to all including doctors and politicians those who qualified free of charge from our campuses can leave the country after serving 10 years or they pay back the cost of their education all clergy pay for their education and last not least life sentences for corruption , and bribes

    Our rulers are our saviors Tuesday, 06 December 2022 08:33 AM

    This brave lady will be targeted and criticized, for telling the blatant truth. I met a shy young Lankan in an Arab country. He was working as pot washer in a hotel. After winning his trust, he started talking. He is B.A graduate in Sinhala, but lacks any skill in a competitive world. A guy who passed BA surely has talent to learn other skills too, but there was no venue in Lanka. Credit goes to rulers.

    Don Tuesday, 06 December 2022 09:34 AM

    We have to adopt similar scheme like Australia does. In Australia, tertiary education (any course ) has a monetary figure but it has to be paid back to Government only when you start working and earning money. The amount of deduction from the salary is in accordance with the amount of earning. Previously there was a big discount if the total due was paid in advance. Then, the private sector can sponsor a student as a Cadet by paying course fees and it will be a part time study and job simultaneously. To do these things, e-commerce must be in place and the Inland Revenue Department must issue a Tax File number for all. The educational institutes and all employers big and small must record TFN of all students/ employees and inform Inland Revenue. Employers must report the Inland Revenue Department the amount of payments made through an e-portal. Until an employee reach certain amount of revenue, no tax/loan is paid. So, there is long way to go to make integrated digital platform.

    Lumbini Tuesday, 06 December 2022 10:14 AM

    Rather than charging for tertiary education in the public sector institutions, let the private institutions to start providing the service.

    Dee Gunawardena Tuesday, 06 December 2022 10:20 AM

    Endless looting that has happened over the years have completely destroyed the Sri Lankan economy. Politicians need to be responsible and they need to brought to justice to stop the economy from further falling. This is all due to their stealing and Sri Lankans need to wake up and start fighting for our future generations before it’s too late.

    Perera Tuesday, 06 December 2022 10:55 AM

    I suppose she had her education especially tertiary at the expense of the taxpayers. Now that she has had it and millions on the back of it she promotes this idea of charges. Perhaps looking at western models. Her children if she has any perhaps do not need to worry as Mama will bankroll them. Tertiary education is the future of this country. They will be the future wealth makers. Do not put obstacles in their way. The country and its rulers will be stupid (then again our so-called leaders/rulers are) to go down this path.

    Ranjan Tuesday, 06 December 2022 01:07 PM

    Its time Education be charged and parents and students will know the value of their paid ve education. In the meantime they can analyse and see if they get what they are paying for. Lecturers too wont be able to sleep and do private tution. With this FREE EDUCATION there have been instances where government institutes even go on family trips wonder on whose pocket. Its the same as Politicos name are addressed in opening ceremonies where fools think the Road, Building or what ever has been built from the politicos grand fathers pocket, where as in the end the people only have to pay for it. Anyone wanting to put their names should be paid for it in future who ever it be.

    ajith Tuesday, 06 December 2022 02:35 PM

    if tertiary education is charged, you will find all these JVP and Perutugami types attending classes instead of picketing on the streets all the time

    mohan Tuesday, 06 December 2022 02:49 PM

    Free education and tax free cars for doctors, who charge exhorbitant fees from the patients, whose tax money has given them their education.

    rohini Tuesday, 06 December 2022 02:50 PM

    Good opportunities for JVP to get back to the streets to launch their next election campaign. Will be happily joined by the people who want a system change

    Dushni Baba Tuesday, 06 December 2022 02:53 PM

    Find out if dushni weerakoon paid for HER education. If not, charge her the full price, plus compoundwd interest, payable immediately. That should come to around more than 400 550,000 dollars including interest over several decades. Let's see how she likes it.

    teacher Tuesday, 06 December 2022 03:04 PM

    Free Education is a political agenda in this country. Free HE in Public Universities, resulted only 23% can join the universities. At the same time, 35% of graduates of public universities are unemployed after one year of their graduation. Today, people are going to government hospital, if they have no alternatives. Same will happened to public universities too. It is easy to place the total blame to government (another political view). At the end, those who will be educated using tax payers money, will leave the country without paying anything to the country.

    Haren Tuesday, 06 December 2022 05:38 PM

    First and foremost MPs be it Parliament or even Municipal council should have an a standard educational qualification and experience to a certain period. You can just imagine the behavior at times we see on TV much worse than school children. Even in parliament wonder they understand when decisions are to be made to pass out important resolutions. It sounds to be more like a club. Even authorities are the same. Having 2m govt employees for population of 22m approx. What have the appointed highly senior authorities got to say?

    Radar Wednesday, 07 December 2022 02:06 AM

    This is no no doubt a contentious issue, because we have had free education perhaps since 1950's. However, even most developed countries do not have this facility because it drains a large portion of the county's budget. Given the dire economic situation faced by SL this cannot go on. Perhaps a way forward is to find a loan mechanism via banks so that this may be refunded by the students. This will also ensure outdated courses in Arts and in some fields in science will meet their end, while new courses will spring out.


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