Proposed Revision of the National Minimum Wage – Updates for 2025
In line with the announcement made during the President’s Budget Speech in February 2025, a proposal has been introduced to revise the National Minimum Wage in Sri Lanka. This revision is planned to take effect in two stages, aiming to enhance the minimum income levels of workers across various sectors.
Stage One – Effective from April 2025
The national minimum monthly wage is proposed to increase to Rs. 27,000 (Rupees Twenty-Seven Thousand), and the national minimum daily wage to Rs. 1,080 (Rupees One Thousand and Eighty). These amounts are inclusive of the Budgetary Relief Allowance provided under the Workers Acts No. 36 of 2005 and No. 4 of 2016.
Stage Two – Effective from 2026
A further increase is proposed, raising the national minimum monthly wage to Rs. 30,000 (Rupees Thirty Thousand) and the national minimum daily wage to Rs. 1,200 (Rupees One Thousand Two Hundred), again inclusive of the relevant budgetary relief allowances.
Important Considerations
It is important to note that as of now, the necessary amendments to the applicable laws have not yet been passed by Parliament. Members are therefore advised to make the necessary financial provisions to implement the proposed revisions once the applicable laws are amended by parliament.
Furthermore, the proposed wage revisions will not apply to Regional Plantation Companies engaged in Tea Growing and Manufacturing, Rubber Cultivation, and Raw Rubber Processing Trade, as their applicable minimum wages under the Wages Boards are already higher than the newly proposed national minimum wage.
The Employers’ Federation of Ceylon will continue to keep members informed of all relevant developments.
For further information, please contact the Employers’ Federation of Ceylon via email at efc@empfed.lk or visit www.employers.lk.