ECONOMYNEXT – Reforms in Sri Lanka’s state-run petroleum services is not aimed at laying off existing staff but any new recruitments will be based on a needs/vacancy-based criteria subject to a revised salary scale, Power & Energy Minister Kanchana Wijsekara said.
The minister told parliament on Tuesday October 18 that restructuring of the state-run Ceylon Petroleum Corporation (CPC) in this regard was definitely needed.
He was responding to a question raised by independent MP and former government member Anura Priyadarshana Yapa who asked if the minister could guarantee that existing CPC staff would not be removed under the proposed liberalisation initiative.
“We have no plans to remove workers. If workers are efficient and work with discipline, there is more than enough work to be done in this institute, particularly in storage and refinery. These needs exist in the CPC.
“We also have vacancies in areas where workers are needed. There are some areas where there are too many workers. When those people retire, we will hire qualified people as required. That is our plan, it’s not to remove existing staff,” said Wijesekara.
The minister said the CPC has over 4,000 employees, while the local unit of the Indian Oil Corporation (IOC) has only 150. While Ceypetco runs 1,200 filling stations, he said, LIOC has 254.
“This is the reality. We must understand that,” he said.
The problem is not actually the number of workers, but their salary scale, said Wijsekara, noting that all CPC workers on the same salary scale and that, as a result of a collective agreement in 2012, every worker is entitled to a 25 percent annual salary increment with no evaluation. This applies to the state-run Ceyleon Electricity Board, the Sri Lanka Ports Authority, the Water board and other state-owned enterprises.
“There is no problem giving an increment based on their skills and the work they do. I personally believe that good pay is necessary. A refinery manager, refinery engineer, et al should be on very good salary scales. LIOC also pays well, but not the same salary for every worker.
“So we must definitely do some restructuring. But we give a guarantee that this is not a move to remove workers. But in future recruitment, the recruitment process must change,” he said. (Colombo/Oct18/2022)