The Hon. (Mrs.) Nilusha Lakmali Gamage, Attorney-at-Law

¶ 01 Hon. Deputy Chair, I am pleased to speak at Second Reading on the Budgetary Relief Allowance of Workers (Amendment) Bills to amend Acts No. 36 of 2005 and No. 4 of 2016, and the National Minimum Wage of Workers (Amendment) Bill to amend Act No. 3 of 2016. As a Member of the National People’s Power, a party that consistently stands for working people and their rights, I am grateful for the opportunity.

¶ 02 The ILO in 1928 introduced the minimum wage mechanism; Sri Lanka ratified it in 1971. The minimum wage is the lowest amount payable for specified work/time/services, to be set—considering socio-economic conditions—at a level adequate for a worker and family, guaranteed by law. Sri Lanka has three statutes in this area: the National Minimum Wage of Workers Act, No. 3 of 2016; and the Budgetary Relief Allowance of Workers Acts, Nos. 36 of 2005 and 4 of 2016.

¶ 03 Under ILO guidance, minimum wages cannot be reduced by collective or individual agreements, safeguarding stability and protection for private-sector workers.

¶ 04 From September 2024, the national monthly minimum was Rs. 17,500, with Rs. 3,500 in allowances (under Acts 36/2005 and 4/2016), totaling Rs. 21,000.

¶ 05 In Budget 2025, after increasing public sector salaries, the Government proposed to raise private sector wages as follows: from 01.04.2025, raise the national monthly minimum from Rs. 17,500 to Rs. 27,000 (up Rs. 9,500), and the daily minimum from Rs. 700 to Rs. 1,080 (up Rs. 380); then from 01.01.2026, raise the monthly minimum from Rs. 27,000 to Rs. 30,000 (up Rs. 3,000) and the daily minimum from Rs. 1,080 to Rs. 1,200 (up Rs. 120). The Bills before Parliament implement these changes and specify that these increases form part of the basic wage, applicable for EPF, ETF and pensionable contributions where relevant.

¶ 06 These reforms will help attract workers with confidence to private sector employment and draw new entrants to private sector jobs. To young people entering the workforce, I say: consider private sector opportunities alongside government jobs; do not remain idle waiting for limited state appointments. Skills programs and job placement initiatives are ongoing; many opportunities exist matching varied abilities. This will also reduce unemployment queues.

¶ 07 The National People’s Power Government will continue to focus on and deliver for the private sector. Thank you.