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    In-depth assessment of Employment Injury Compensation Arrangements in Sri Lanka

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    Rehana Thowfeek, Indika Siriwardena, Janaki Jayanthan, Shanaz Saleem, Ravi P. Rannan-Eliya
    1 Jan 2014 | 62 pages

    Abstract:The Workmen's Compensation Ordinance (WCO) in Sri Lanka suffers from number of deficiencies with respect to ILO Convention C 121. It makes employer liable for injuries sustained by the employees at work. However, compensation rates are set too low, thus, failing to protect workers and their families against the catastrophic expenditure of severe injury or death.

    Compliance with the ILO standards requires increases in the value of compensation, introduction of periodic payments, inflation adjustment of the benefits and improving on the current level of coverage of workers.

    This report recommends that the increases in benefits be funded through a mechanism where the additional costs are borne by a collective mechanism that will protect both firms and the worker at individual level. The Malaysian model SOCSO is recommended as a yardstick, and ETF is expected to expand to provide the needed extra coverage.


     

     

     

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