January 20, Colombo (LNW): The statutory minimum wage for private sector employees has been revised upwards by Rs. 3,000 with effect from January 01, bringing the new monthly floor to Rs. 30,000.
In a statement, Commissioner General of Labour H. M. D. K. Nadeeka Wataliyadda said the adjustment was implemented under the National Minimum Wage of Employees (Amendment) Act No. 11 of 2025, and is now legally binding on all relevant employers.
She emphasised that the law applies not only to direct employers but also to principal employers in cases where workers are engaged through contractors or intermediaries. The Commissioner General further clarified that, in terms of the Act, existing allowances — apart from approved budgetary relief payments in place as at March 31, 2025 — cannot be used to replace or absorb the revised minimum wage.
Employers are also required to reflect the increased wage when calculating all statutory and employment-related payments, including contributions to the Employees’ Provident Fund and Employees’ Trust Fund, overtime, gratuity, maternity benefits and leave entitlements.
The Labour Department has urged workers to report any non-compliance. Complaints can be lodged through the department’s online Complaint Management System or submitted in writing to the nearest Labour Office if employers fail to meet their legal obligations.
