The Hon. Vijitha Herath - Minister of Foreign Affairs, Foreign Employment and Tourism

¶ 01 Hon. Deputy Chair, the National People’s Power took over a bankrupt economy. In a short time, we restructured our international sovereign bonds and are concluding bilateral debt restructuring. The IMF program that had been underway before we assumed office has been progressed after we took office, and we are moving successfully towards achieving our economic targets.

¶ 02 Tourist arrivals have increased significantly, helping us meet foreign exchange targets. Remittances from overseas Sri Lankans average around USD 650 million per month and are rising. Thus, remittances and tourism are strengthening our external sector. Export earnings have also increased in the past two quarters, bolstering the productive economy. Due to economic and political stability, foreign investors are coming in greater numbers. In the first seven months of last year, FDI was about USD 250 million; now, in a shorter period, we have received about USD 507 million—nearly double.

¶ 03 Despite inheriting bankruptcy, in our first Budget we increased salaries and allowances of those who work in this country—public servants, private sector workers, and plantation workers. This was difficult, but we did it.

¶ 04 For the private sector, we must legislate wage floors. That is what we are doing today. There was delay due to Supreme Court challenges to the Bills, but today we will pass the law. The increases were due from 01 April 2025. The former minimum monthly wage was Rs. 17,500 plus two budgetary relief allowances of Rs. 1,000 and Rs. 2,500, totaling Rs. 3,500, making Rs. 21,000. We added Rs. 6,000 to the basic from April 1, making the basic Rs. 27,000; the daily minimum rises from Rs. 700 to Rs. 1,080.

¶ 05 All private sector workers must receive this from 01.04.2025; where not yet paid, arrears must be paid once the law passes. From 01.01.2026, the minimum becomes Rs. 30,000. EPF and ETF contributions are calculated on the basic, so lump-sum benefits will also rise.

¶ 06 From January 2026, the daily minimum will be Rs. 1,200 (Rs. 1,080 in 2025), translating to Rs. 30,000 for 25 days. This is a substantial increase and will double EPF on the basic. The new Government has the mandate to deliver this right to private sector workers.

¶ 07 As for plantation workers, we have set the daily wage at Rs. 1,700, and we accept it must rise further. That is addressed not through these Bills but via relevant wage-board and sectoral laws, with tripartite agreement. Many estate owners have begun paying Rs. 1,700. We also recognize the need to move from daily to monthly remuneration where feasible.

¶ 08 As a Government, we stand to ensure the lawful rights of working people. These Bills give all private sector workers a legal right to the increases, including arrears where unpaid. This is a major achievement for private sector employees.