Abstract:
Sri Lanka is experiencing a significant increase of ageing population. Old age economic insecurity is one of
the main social and economic challenges in Sri Lanka. Elderly persons have been facing difficulties of paying
their expenses in their old age such as medical expenses, utility bills, foods, housing, transportation costs and
etc. The pension fund is a one of the social security systems which save the future of elderly after
retirement from the public sector workforce. As a result of the increasing cost of living, pension entitlements
are much less generous today and majority of elders face a serious risk of pensioner poverty.
The main objective of this study is to identify the contribution of the pension fund to uplift the quality of life
of the pensioners’ community. The methodology of this study; conduct a survey of 50 pensioners and 10
case studies with pensioners in Mahara Divisional Secretariat in Gampaha District. The findings revealed
that the pensioners spend their retirement benefit for their own requirements and also that their family
member’s requirements. The pension fund is not sufficient to overcome their economic hardship later in life.
The socio economic wellbeing is at a low level in pensioners except for the executive level and high rank
positions. Pensioners continuing saving in financial institutions engage in extra livelihood activities to fulfill
their needs.
