University Grants Commission - Sri Lanka

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Commission Circular No: 577

22nd June, 1993.

 

 

Vice-Chancellors of Universities,
Directors of Institutes.
Directors of Affliated University Colleges

RESTORATION OF ETF FOR THE UNIVERSITY STAFF

01. The provisions of the Employees Trust Fund Act. No. 46 of 1980 have been made applicable to the University sector by the Employees Trust Fund (Special Provisions) Act. No. 19 of 1993. The liability of the University Grants Commission and every Higher Educational Institution to make contributions to the ETF shall be deemed to have commenced on 1st March 1981.

02. The following employees are entitled to ETP contributions, for the period indicated against each category.

1. Those who were in University service as at 1st March 1981, and are presently in service - From 1st March 1981.

2. Those who joined the University service after 1st March 1981 and are presently in service - From the date of joining University service.

3. Those who were in University service as at 1st March 1981, or those who joined the University service after 1st March 1981, but who have already left the University service as at the date of this circular - from 1st March 1981 or from the date of joining the service, as the case may be, upto the date on which they left the University service .

03. Three per centum of the total earnings of every employee, per month, should be contributed to the ETF.

04. A Higher Educational Institution/Institute/Affiliated University College, shall not deduct from the earnings of any employee, any sum which the employer is liable to pay as a contribution or a surcharge under the provisions of the ETF Act.

05. The arrears should be calculated from the date on which contributions were discontinued (February/March 1983).

06. Total earnings will include all emoluments reckoned for the purpose of calculating contributions to the Universities Provident Fund.

07. " Employee" means, all persons on whose behalf the Higher Educational Institution/University Grants Commission is making contributions to the Universities Provident Fund.

08. Contributions due for a particular month should be remitted to the designated Bank before the end of the following month.

(i) Higher Educational Institutions/Institutes/AUCs with more than 150 employees should send their remittances to:

People's Bank.

Narahenpitya Branch,

Colombo 5.

(ii) Higher Educational Institutions/Institutes/AUCs with 50-150 employees should send their remittances to:

Bank of Ceylon,

Torrington Square Branch,

Colombo 7.

(iii)Higher Educational Institutions/Institutes/AUCs with 1-50 employees, should send their remittances to:

Bank of Ceylon,

Milagiriya Branch,

Galle Road,

Colombo 4.

09. Higher Educational Institutions/Institutes/AUCs, whose remittances are not received by the designated bank on or before the due date are liable to a surcharge in terms of section 27 of the ETF Act. No. 46 of 1980, as amended by ETF (Amendment) Act. No. 3 of 1982. However, in terms of section 3 (2) of the ETF (Special. Provisions) Act. No.19 of 1993, there will be no surcharge on the arrears of contributions for the period 1st March 1981 to 31st March 1993, provided the total contributions are remitted on or before 30th September, 1993.The University Grants Commission will remit directly to the ETF Board, the arrears of contributions in respect of all Higher Educational Institutions/Institutes/AUCs in a lump-sum upto 30th June, 1993, in order to avoid any surcharge.

However, the contribution schedule for this period, should be submitted by each Higher Educational Institution/Institute/ AUC, direct to the ETF Board, as explained in paragraph 17. From July 1993, the Higher Educational. Institutions/Institutes/AUCs should be fully geared to make monthly remittances on the due dates. The UGC will release an extra allocation by cheque, to meet the payments from July to December 1993. All Higher Educational Institutions/Institutes/AUCs should inform the UGC of the amount needed to contribute 3%, based on the salaries paid in June 1993.

10. All remittances to the ETF should be sent under cover of the Advice of Remittance,( Form Rl ) - The procedure to be followed in making remittances is set out in the cover of the Rl (forms) pad.

11. Remittances should be accompanied by all 3 copies (blue, pink and white) of form Rl . The pink copy will be returned by the Bank in acknowledgment of the payment. Since the form in itself constitutes an advice of remittance, a covering letter to the Bank is not required.

12. The registration number assigned to each Higher Educational Institution/Institute/AUC should be indicated in the relevant cage of Form Rl (The registration number in respect of our Institution will be notified by the UGC in due course, once the numbers are assigned by the ETF Board).

13. Higher Educational Institutions/Institutes/AUCs which have sub-offices or administrative units in separate locations may opt to send :-


Either

(a) Separate R1 forms in respect of such units, OR

(b) A single R1 form in respect of all the units.

14. R1 forms could be purchased from the following establishments :

(i) DF Perera & Co. 40, 2nd Cross Street, Colombo 13.
(ii) Udaya & Co., 175, Pickering Road, Colombo 13.
(iii) Rango Printers & Publishers, 282/8, Galle Road, Colombo 3.
(iv) MD Gunasena & Co., Colombo 11.

15. Contribution details in respect to individual members should be submitted to t he ETF Board, addressed to the Manager, Memebers' Accounts, ETF Board, Labour Secretariat, Colombo 5. In a half yearly schedule (January to June, and July to December). This schedule is prescribed in Form II, which should be purchased from the dealers mentioned at paragraph above. Detailed instructions on filling Form II is contained in ETF Board circular No.C-3 (Revised) a copy of which is attached for your reference and compliance.

16. The employee's number to be inserted in Form II is the same number allotted to the employee for the Universities Provident Fund contribution.

17. Details of contribution arrears upto 31st December 1992 , should be submitted to the ETF Board in a single total under the following headings.

(i) Employee's name (with surname first followed by initials in block capitals)

(ii) Employee's number (as explained in (16) above)

( iii)Arrears of ETF contribution.

There should be only one entry for each employee in respect of the arrears upto 31.12.1992. This schedule should be sent to the ETF Board, not later than 31st August 1993.

18. Details of contributions for the period 1st January, 1993 to 30th June 1993, and every half year thereafter, should be furnished as specified in Form II, explained in paragraph (15). Schedule for the first half year should be sent not later than 31st August 1993, and the second half year not later than 28th February, 1994.

19. The total ETF contribution figures only in respect of the following periods should be furnished to the UGC, separately, as soon as they are ready, so that the advance payments made to the ETF Board may be reconciled and settled.


(i) February/March 1983 to 31st December, 1992.

(ii) 1st January 1 993 to 30th June 1993.

Copies of contribution schedules should not be sent to the UGC.

20. The amount standing to the credit of any employee in his individual account , will be refunded by the ETF Board to such employee on the termination of his employment in University service. (However in terms of section 23 of the ETF Act No. 46 of 1980, a member of the fund cannot withdraw the ETF balance standing to his credit, more than once in a period of five years). Application for withdrawal of ETF benefits should be made by individual members, direct to the ETF Board.

21. Where an employee is terminated on disablement due to disease or accident, the sum standing to his credit shall be payable by the ETF Board, notwithstanding what is stated at previous paragraph.

22. On the death of an employee, the sum standing to his credit shall be paid by the ETF Board, to his nominee, or if there is no nominee, to the executor of the last will, administrator of the estate, or to the heirs of such employee.

23. A member of the ETF may at any time nominate any person or persons to whom the amount standing to his credit may be paid in the event of his death, and may also revoke such nominaiton at any time. The document of nomination or revocation should be in the form prescribed by the ETF Board, and should be forwarded to the Board through his employer whithin 30 days of the execution of the document. Any nomination made by a member prior to his marriage, shall be deemed to be revoked upon his marriage. Every nomination made by a member who is married should be in favour of one or more members of his family.

You are requested to bring to the attention of every employee the provisions in this circular relating to the withdrawal of benefits and nomination procedure.

Your cooperation in carefully following the guidelines given in this circular will be essential for the smooth implementation of the ETF scheme.



( Prof .A.P.R. ALUWIHARE - Chairman )

Cc:

  • Chairman/UGC
  • Vice-Chairman/UGC
  • Members of the UGC
  • Secretary/UGC
  • Deans of Faculties
  • Registrars of Universites
  • Financial Controller/UGC
  • Bursars of Universities
  • Librarians/SAL/AL of the Higher Educational Institutions/Institutes;
  • Snr. Asst.Registrars/Asst.Registrars of HEIs/Campuses
  • Snr. Asst.Bursars/Asst.Bursars of HEIs/Campuses
  • Chief Internal Auditor/UGC
  • Govt. Audit Superintendents of Universities
  • Snr. Asst.Int. Auditors/Asst.Int.Auditors of HEIs
  • Secretary/FUTA
  • Secretary/UEOA
  • Secretary/IUTUF
  • Auditor-General

File No: UGC/E/6/9/63

 

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