Why Hire in Sri Lanka?

Looking to hire remote workers for your team? With Interloop, you can easily hire, pay, and support employees from anywhere in the world, making the entire process smooth and worry-free.

Capital City

Colombo

Currencies

Sri Lankan Rupee

(LKR)

Population size

23,140,468

(est. 2024)

Languages spoken

Sinhala and Tamil

Why hire staff in Sri Lanka?

Our Services

Recruit Talent

Our recruitment service manages the entire process: planning, searching, screening, and evaluation, ensuring a seamless hiring experience.

Onboard Contractors

We handle hiring, onboarding, compliance, and payroll for contractors, letting your business tap into global talent for growth.

Run Global Payroll

Managing payroll across jurisdictions is complex and costly. We ensure timely, reliable payments for your employees and contractors worldwide.

Labor laws in Sri Lanka

Working Hours

Overtime

Overtime Compensation

Rest Breaks

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Benefits and Leave in Sri Lanka

Annual Leave

Time period the employee was hired on their first year Number of annual leave they’ll be entitled to on their second year
Between January 1 and March 31 14 Days
Between April 1 and June 30 10 Days
Between July 1 and September 30 of the previous year 7 Days
Between October 1 and December 31  4 Days

Note: This is paid leave meaning the company pays for these types of leave.  Also, if you terminate your employee, and they still have some of their annual leave left, they can utilize that as paid leave before the date of termination. 

Sick Leave

Maternity Benefit Leave

For the first and second child, they will be entitled to 84 days of paid leave. These 84 days include 14 days of pre-confinement leave as well. This means that your pregnant employee can begin their maternity leave 14 days before their due date.

After the second child, they’re entitled to 42 days of paid maternity leave, with 14 days of pre-confinement leave. The employer also can’t terminate her employment because of her pregnancy, or any complications due to the pregnancy. 

Bonus

VAT

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Termination in Sri Lanka

  • Persistent and unauthorized absence, or late arrival, or early departure.
  • Gross negligence in the discharge of duties. 
  • Insubordination. Abusive/unruly behavior. Dishonesty.
  • Theft.
  • Intoxication whilst at work. 

An employer’s loss of confidence in an employee has also been held to be a sufficient ground for dismissal, provided that it is coupled with a specific ground of misconduct as set out above.  

Even where a loss of confidence cannot be linked to a specific ground of misconduct, it is often pleaded by employers to persuade adjudicating forums that reinstatement is not a suitable remedy.  

Notice periods, or payments in lieu of notice, for dismissal are typically stipulated in the contract of employment.  

However, where the provisions concerning notice periods, or payments in lieu of notice, are exercised by the employer during the course of an unjust dismissal, the employee can challenge that termination on the basis of unjust dismissal.

In the case of a dismissal on disciplinary grounds, the Termination of Employment of Workmen (Special Provisions) Act No 45 of 1971 (TEWA) makes it mandatory for the employer to inform the employee, in writing, of the reasons for the dismissal before the expiry of the second working day after the dismissal has taken place.  

Severance Payment

  • 2.5-month pay per year of service for 1st to 5th year of service (maximum compensation: 12.5 months)
  • 2-month pay per year of service for 6th to 14th year of service (maximum compensation: 30.5 months)
  • 1.5-month pay per year of service for 15th to 19th year of service (maximum compensation: 38 months)
  • 1-month pay per year of service for 20th to 24th year of service (maximum compensation: 40 months)
  • 0.5-month pay per year of service for the 25th-34th year of service (maximum compensation: 48 months) 

Probation Period

Social Security

Employees Trust Fund (ETF) are also required to contribute a specified percentage (currently 3%) of each employee’s monthly emoluments/salary to the Employees Trust Fund established by the government. 

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Brand Experience​​

NO JOB IS TOO SMALL OR TOO BIG FOR US​​
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Thailand Office
Singapore Office

Get in touch

ThailanD

Level 3, Prasert Sutt Building 360 Sanambinnam Nonthaburi Road,
Bang Krasor, Mueang Nonthaburi,
Nonthaburi 11000 Thailand

Singapore

#23-05. International Plaza, 10 Anson Rd, Singapore 079903

Contact Us

TH Phone : +66 (0) 97 106 9113
SG Phone : +65 9102 0303
Office Phone : +66 (0) 2 007 0971
Email : enquiry@inlps.com
Line@ ID : @inlps

Our Hours

MON-FRI : 09:00 – 18:00

Our Affiliations

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