Sri Lanka’s economy is based on exports of processed commodities and garments. The rise in progressive technology adoption and growth in e-commerce will lead to the greater commercialisation of various industries especially agriculture, as well as potential displacement in entry-level and mid-skill jobs in the IT, Business Process Outsourcing (BPO), retail and financial sectors. Reforms in property rights, judicial effectiveness and government integrity are required to strive for greater economic freedom.
Employers need to follow the strict employment guidelines set forth by the local authorities before they could employ in Sri Lanka. This process can be time-consuming as the company first needs a legal entity in the country and it needs to manage payroll, tax, benefits and compliance.
Global payroll solutions make it easy to find and hire top talent in Sri Lanka. With one seamless integration and local legal entity, we take care of the compliance matters so that you can start your globelizing plan immediately.
Sri Lanka’s worker classification labour and tax laws distinguish between contractors and full timers. If the individual meets the legal definition of an employee but is classified as a contractor, your company will face penalties.
Sri Lankan employment laws do not distinguish between foreign or local employees, and fixed-term basis, casual or seasonal employment. The main provisions concerning employment are as follows:
Globelise will be able to help you navigate through the employment process and so that you will be able to offer a competitive and compliance offer to attract and retain your employees in Sri Lanka.
Sri Lanka does not have a national trade union centre as seen in many countries. Instead, it has several trade unions in a single trade or industry and in the same workplace. Many local trade unions are affiliated to the Global Union Federations (GUFs). And there are 4 unions that are affiliated to the International Trade Union Confederation (ITUC), including Ceylon Workers Congress (CWC), Sri Lanka Nidahas Sevaka Sangamaya (SLNSS), National Trade Union Federation (NTUF), and the National Workers Congress (NWC).
The Employers’ Federation of Ceylon (EFC) is the principal organisation of employers in Sri Lanka. It deals with labour and social issues, as well as promotes employer interests and safeguards employer rights.
Probation is optional in Sri Lanka. The maximum probation period is 1 year for supervisory or technical job roles, and 6 months for any other job roles.
Company or Individuals who are looking to hire talents and run payroll globally
Talents who wants to work compliantly from anywhere