The payment of a minimum monthly wage or daily wage to all workers in any private sector industry or service in Sri Lanka was made mandatory and given statutory effect by the passing of the National Minimum Wage of Workers Act No. 03 of 2016. With the passing of this Act, it became mandatory for all employers to pay workers a minimum monthly wage of Rs.10,000/- or a minimum daily wage of Rs.400/-.
However, with the recent passing of the National Minimum Wage of Workers (Amendment) Act No.16 of 2021, the national minimum monthly wage payable to a worker increased to Rs.12,500/- and the national minimum daily wage payable increased to Rs.500/-. These revisions took effect from 16th August 2021.
Accordingly, the minimum computation of earnings of any employee should be as follows:
|Relevant Law||Monthly Wage (LKR)||Daily Wage (LKR)|
|Minimum Wages Act||12,500.00||500.00|
|Budgetary Relief 2005||1,000.00||40.00|
|Budgetary Relief 2016||2500.00||100.00|