Sri Lanka raises private sector minimum wage to Rs. 30,000

Private sector employees working in an office environment in Sri Lanka

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The minimum wage of private sector employees in Sri Lanka has been increased by Rs. 3,000 to Rs. 30,000 with effect from January 01, 2026.

The Commissioner General of Labour, H. M. D. K. Nadeeka Wataliyadda, announced that the monthly minimum wage has been raised from Rs. 27,000 to Rs. 30,000. Along with this revision, the daily minimum wage has also been increased from Rs. 1,080 to Rs. 1,200.

The wage increase has been implemented under the provisions of the National Minimum Wage of Employees (Amendment) Act No. 11 of 2025.

The Commissioner General stated that when the Act is properly enforced, all employers are legally bound by its provisions. This includes both immediate employers and principal employers who engage employees through intermediaries or contractors in any industry or service.

It was further noted that under Section 4 of the Act, no allowance other than budgetary relief allowances received by an employee as at March 31, 2025 can be used to reduce or replace the minimum wage.

Employers are also responsible for applying the revised minimum wage when calculating all statutory payments. These include the Employees’ Provident Fund, Employees’ Trust Fund, overtime payments, gratuity, maternity benefits and leave payments.

The Commissioner General of Labour added that if any employer fails to make the required payments correctly, complaints can be submitted through the Labour Department’s Complaint Management System at cms.labourdept.gov.lk or in writing to the nearest Labour Office.