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Health Ministry rejects Treasury proposal for medical staff’s allowance cuts
View(s):The Health Ministry has rejected a Treasury proposal for sharp cuts in medical staff’s allowances and overtime payments following objections from trade unions.
The ministry had to reverse the circular issued early this week in keeping with Treasury directives on measures to curtail state expenses.
A revised circular issued on Thursday reaffirmed that the allowances that were currently effective would continue as long as they did not exceed the basic salary.
Confirming the reversal of the circular, Health Minister Keheliya Rambukwella told the Sunday Times that it was a suggestion from the Treasury but the Ministry could not afford to make any cuts in the recurrent expenditure since it was already running on a tight budget.
“There has been a manpower shortage in the healthcare system as many units were added in recent times. In some cases, the shortage of staff is critical. Those need to be fixed. Health sector employees will be entitled to what they have been paid in the past but new proposals for new allowance increases are deferred until the country’s economy is back on track,” the minister said.
The matter was also taken up at a meeting chaired by Prime Minister Ranil Wickremesinghe this week as well. The Premier said that priority would be given to both the health and education sectors in the interim budget.
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