September 20, Colombo (LNW): Sri Lanka’s employed population surpassed the eight-million mark in 2025, with the latest labour market figures also pointing to a continued shift towards services and a gradual reduction in unemployment.
Data released by the Department of Census and Statistics put the number of employed people at 8,079,040 last year. Men accounted for 5,299,777 of those in employment, while women made up 2,779,262. The overall employment rate was recorded at 96.1 per cent.
The population aged 15 and above was estimated at 17,034,109. Of this group, 8,408,251 people were part of the labour force, producing a labour force participation rate of 49.4 per cent.
There remained a substantial difference between male and female participation. The rate for men was 69.1 per cent, compared with 32.4 per cent for women. Some 8,625,859 people aged 15 and above were outside the labour force, of whom 6,185,730 were women.
The statistics indicate that household responsibilities remained the principal reason women were economically inactive. Household work accounted for 58.1 per cent of economically inactive women, followed by education at 17.8 per cent. Retirement or old age represented 16 per cent, while illness or disability accounted for 6.6 per cent.
Unemployment, meanwhile, showed an improvement compared with the previous year. The number of unemployed people fell to 329,211 in 2025, resulting in an unemployment rate of 3.9 per cent, down from 4.4% in 2024.
Women accounted for 179,280 of those without employment, compared with 149,931 men. The female unemployment rate was 6.1 per cent, while the corresponding figure for men was 2.8 per cent. Female unemployment had fallen from 7.1 per cent a year earlier.
Young people continued to face considerably higher levels of unemployment than the national average. Among those aged 15 to 24, the unemployment rate stood at 19.5 per cent. The figure was 16.5 per cent for young men and 24.5 per cent for young women. Women aged between 25 and 29 also recorded a relatively high unemployment rate of 17.1 per cent.
The composition of employment also continued to change. Services remained the country’s largest source of jobs, employing 4,026,037 people, or 49.8 per cent of the total workforce.
Industry accounted for 26.2 per cent of employment, while agriculture represented 23.9 per cent. The services sector increased its share from 48.5 per cent in 2024, whereas agriculture’s contribution fell from 26 per cent to 23.9 per cent over the same period.
Income figures showed differences between male and female workers. The estimated average gross monthly salary for monthly-paid employees was Rs. 65,325 in 2025. Male employees received an average of Rs. 70,942, compared with Rs. 57,867 for female employees.
Among daily-paid workers, estimated monthly earnings averaged Rs. 41,290 for men and Rs. 22,640 for women.
The data also suggests that a notable proportion of workers rely on more than one source of employment. Some 439,839 employed people, equivalent to 5.4 per cent of the workforce, reported having a second job. Taking both primary and secondary employment into account, the total number of jobs in the country was estimated at 8,518,878.
Beyond employment, the statistics provide an indication of Sri Lanka’s progress in education and digital access.
The literacy rate among people aged 10 and above reached 93.3 per cent in 2025. Literacy was highest in urban areas at 96.3 per cent, followed by rural areas at 93.2 per cent, while the rate in estate areas was 82.7 per cent.
Computer literacy also recorded an increase, rising from 35.9 per cent in 2024 to 39.2 per cent in 2025. The rate was 40.5 per cent among men and 38 per cent among women.
Digital literacy was recorded at 72 per cent, while 62.4 per cent of people aged between five and 69 had used the internet during 2025.
Internet use has expanded significantly over the past few years. The proportion of the population using the internet rose from 51.2 per cent in 2023 to 54.6 per cent in 2024, before reaching 62.4 per cent in 2025.
Taken together, the latest figures show a labour market in which overall unemployment has eased, services have strengthened their position as the country’s main source of employment, and access to digital technology has continued to broaden. At the same time, the data highlights persistent differences in labour force participation, unemployment and earnings between men and women.
