Minimum Salary and Minimum Wage in Sri Lanka 2026
The legal minimum and basic salary for private sector, government and estate workers, with the law behind each figure
Quick Answer
The minimum salary in Sri Lanka in 2026 is LKR 30,000 a month or LKR 1,200 a day for private sector workers in any industry or service, effective 1 January 2026 under the National Minimum Wage of Workers (Amendment) Act, No. 11 of 2025.
Former budgetary relief allowances are now part of this minimum. Government employees have a separate minimum basic salary that is rising to LKR 40,000 by January 2027, and estate workers receive LKR 1,750 a day.
What Is the Minimum Salary in Sri Lanka?
Sri Lanka has had a single national minimum wage since the National Minimum Wage of Workers Act, No. 3 of 2016. Parliament amended it in July 2025 with Act No. 11 of 2025 (certified 23 July 2025, deemed to operate from 1 April 2025). The amendment set two steps:
| Period | Monthly minimum (LKR) | Daily minimum (LKR) |
|---|---|---|
| 1 April 2025 - 31 December 2025 | 27,000 | 1,080 |
| From 1 January 2026 | 30,000 | 1,200 |
The minimum applies to "all workers in any industry or service", including staff supplied by manpower agencies. It is a floor, not a typical salary: the median monthly salary in Sri Lanka was LKR 55,000 in 2025 (see average salary in Sri Lanka). Use the salary tax calculator to see take-home pay at any salary.
Basic Salary in Sri Lanka Explained
Your basic salary is the fixed pay in your contract before overtime, bonuses, transport or attendance allowances. It matters because overtime rates, gratuity and many allowances are calculated from it. Since April 2025 the national minimum wage law compares the worker's monthly wage, including the old relief allowances, against the LKR 30,000 floor.
EPF and ETF are calculated on total earnings. A worker on exactly LKR 30,000 contributes LKR 2,400 (8%) to EPF, and the employer pays LKR 3,600 (12%) EPF plus LKR 900 (3%) ETF. Use the EPF and ETF calculator for other amounts.
Budgetary Relief Allowance (BRA)
Before April 2025 lower-paid private sector workers received two statutory top-ups on top of their basic wage: LKR 1,000 under the Budgetary Relief Allowance of Workers Act, No. 36 of 2005 and LKR 2,500 under the Budgetary Relief Allowance of Workers Act, No. 4 of 2016. Together with the LKR 17,500 minimum this gave a total floor of about LKR 21,000 a month (LKR 840 a day).
Section 3 of Act No. 11 of 2025 declares that these allowances, as payable on 31 March 2025, now form part of the national minimum wage, and that a worker's wage that included them is consolidated. Section 4 bars employers from reducing wages or allowances in a way that cancels out the increase. Trade unions raised concerns that consolidation could be used to hold back take-home pay, so check that your payslip reflects the full increase.
Minimum Wage History
| Law | From | Monthly (LKR) | Daily (LKR) |
|---|---|---|---|
| National Minimum Wage of Workers Act, No. 3 of 2016 | 2016 | 10,000 | 400 |
| Revision under the 2016 Act | Before 2024 | 12,500 | 500 |
| Amendment Act, No. 48 of 2024 | 2024 | 17,500 (+ up to 3,500 BRA) | 700 |
| Amendment Act, No. 11 of 2025 | 1 Apr 2025 | 27,000 | 1,080 |
| Amendment Act, No. 11 of 2025 | 1 Jan 2026 | 30,000 | 1,200 |
Wages Boards and Sector Minimums
Under the Wages Boards Ordinance, separate Wages Boards for individual trades and industries set minimum wages and allowances for workers in that trade. Where a Wages Board rate is higher than the national minimum, the higher rate applies. The current decisions are published in the Gazette and by the Department of Labour.
Plantation workers are the most visible example. After the Budget 2026 proposal, the government and Regional Plantation Companies agreed a tea and rubber estate daily wage of LKR 1,750 from 1 January 2026: the previous LKR 1,350, plus LKR 200 from the companies and LKR 200 paid directly by the government. See typical pay for garment workers, security guards and general workers.
Public Sector Minimum Salary
Government employees are not covered by the national minimum wage; their pay follows Public Administration salary scales. Budget 2025 raised the lowest public sector basic salary from LKR 24,250 to LKR 40,000, an increase of LKR 15,750. Because of fiscal limits it is paid in phases:
- 1. April 2025: LKR 5,000 plus 30% of the remaining increase.
- 2. January 2026: a further 35% of the remaining increase.
- 3. January 2027: the final 35%, reaching LKR 40,000.
The revision covers public servants, public corporations, statutory boards, universities and the armed forces. See government clerk salary for an example of a full scale.
If You Are Paid Less Than the Minimum
- + Keep your payslips, appointment letter and attendance records.
- + Raise it with your employer or HR in writing first.
- + Complain to your District Labour Office or the Department of Labour, which can order payment of arrears.
- + If you work through a contractor, the final employer can also be directed to pay under the 2025 amendment.
Frequently Asked Questions
What is the minimum salary in Sri Lanka in 2026?
From 1 January 2026 the national minimum wage for private sector workers is LKR 30,000 a month or LKR 1,200 a day. It is set by the National Minimum Wage of Workers (Amendment) Act, No. 11 of 2025, and applies to all workers in any industry or service.
What is the basic salary in Sri Lanka?
Basic salary is the fixed monthly pay before allowances, overtime and bonuses. By law a private sector worker's monthly wage cannot be below LKR 30,000 in 2026. In the public sector, Budget 2025 is raising the minimum basic salary from LKR 24,250 to LKR 40,000 in phases between April 2025 and January 2027.
What is the minimum daily wage in Sri Lanka?
The national minimum daily wage is LKR 1,200 from 1 January 2026, up from LKR 1,080 between April and December 2025. Plantation workers on tea and rubber estates are covered by separate arrangements; their daily wage was raised to LKR 1,750 from 1 January 2026.
Does the minimum wage include the budgetary relief allowance?
Yes, from 1 April 2025. Act No. 11 of 2025 declares that budgetary relief allowances payable under Act No. 36 of 2005 and Act No. 4 of 2016 form part of the national minimum wage. Employers cannot cut a worker's wage or allowances in a way that cancels out the increase.
Is EPF calculated on the minimum wage?
Yes. EPF and ETF are calculated on total earnings. On a LKR 30,000 salary the worker contributes 8% (LKR 2,400), and the employer adds 12% EPF (LKR 3,600) and 3% ETF (LKR 900). Take-home pay is about LKR 27,600. No APIT applies because income is well below LKR 150,000 a month.
What was the minimum wage in Sri Lanka in 2025?
From 1 April 2025 to 31 December 2025 the national minimum wage was LKR 27,000 a month or LKR 1,080 a day. Before that it was LKR 17,500 a month (LKR 700 a day) under Act No. 48 of 2024, plus up to LKR 3,500 in budgetary relief allowances, giving about LKR 21,000 in total.
Who does the minimum wage apply to?
The National Minimum Wage of Workers Act, No. 3 of 2016 (as amended) applies to workers in any industry or service in the private sector, including those hired through manpower agencies or contractors. Many trades also have higher minimums set by Wages Boards. Government employees are paid under public sector salary scales instead.
What is the minimum salary for government employees in Sri Lanka?
The lowest public sector basic salary was LKR 24,250. Budget 2025 raised it to LKR 40,000, implemented in three steps: LKR 5,000 plus 30% of the remaining increase from April 2025, a further 35% from January 2026, and the final 35% from January 2027.
What happens if an employer pays less than the minimum wage?
Paying below the statutory minimum is an offence. Workers can complain to the nearest District Labour Office or the Department of Labour, which can direct the employer to pay arrears. The 2025 amendment also lets the Commissioner-General issue directives to the final employer when workers are supplied by a contractor.
What is the minimum salary for estate workers in 2026?
Estate workers in the tea and rubber sector receive LKR 1,750 a day from 1 January 2026, made up of the previous LKR 1,350, a LKR 200 increase from Regional Plantation Companies and a LKR 200 government contribution paid directly to workers.
Sources
- National Minimum Wage of Workers (Amendment) Act, No. 11 of 2025 (Gazette supplement, 25 July 2025)
- Department of Labour, Sri Lanka
- Varners: Revised national minimum wages (Act No. 11 of 2025)
- D. L. & F. De Saram: Minimum wages increased (Act No. 48 of 2024)
- EconomyNext: Budget 2025 public sector salary increase
- Colombo Gazette: Estate workers' daily wage raised to LKR 1,750
- Sunday Times: Minimum wage and budgetary relief allowance
Minimum Wage Worker: take-home pay after EPF and tax
Monthly figures at the middle of each range above, using the 2025/26 and 2026/27 APIT rates (first LKR 150,000 a month tax-free) and the 8% employee EPF deduction. At these salary levels no APIT is due, so take-home pay is gross pay minus EPF. The employer also pays 12% EPF and 3% ETF on top, so a LKR 31,200 salary costs the employer about LKR 35,880 a month.
| Level | Gross | EPF 8% | APIT | Take-home |
|---|---|---|---|---|
| Monthly minimum wage | LKR 30,000 | LKR 2,400 | LKR 0 | LKR 27,600 |
| Daily minimum x 26 days | LKR 31,200 | LKR 2,496 | LKR 0 | LKR 28,704 |
Estimate for a resident with one employer. Work out your own figure with the salary tax calculator.
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