ExroAsia consultants would take care of your organisation’s Employer of Record Services entirely with a fast track approach. The client does not require to establish a subsidiary or a branch in Sri Lanka, ExroAsia would hire employees and run the complete payroll in accordance to compliance and statutory requirements in Sri Lanka. You can hand over the hassle of hiring an employee, while ExroAsia would hire, do background verification and offer employment on your behalf. This will take place in accordance with labor laws and other local requirements within days, and you can welcome a new member whose complete responsibility is taken care of by your Expansion Partner, ExroAsia.

Overview of Sri Lanka

Sri Lanka is an island with many assets and beautiful surroundings, speaking for itself Sri Lanka has steady economy growth during past five years with economic transformations taking place, building the nation towards a long term development relying on its major exports, tea, tourism, apparel and other agricultural products, also a booming IT & BPO sector.

Employment in Sri Lanka

The Shop and Office Employees (Regulation of Employment and Remuneration) Act No. 19 of 1954, as amended (SOEA) is a key labor law that regulates work schedules, holidays, and leave entitlement. There is no clear guideline or provision for probation period in labor laws, the standard probation period is 6 months in Sri Lanka.

Work Time

The standard weekly work hours comprise of 45 hours with 8 hours per day, if an employee works beyond these hours it qualifies for overtime which is generally compensated by not less than 125% of the regular pay. Employees are not allowed to perform overtime more than 12 hours per week and overtime does not apply to employees in an executive capacity.

Holidays & Leaves

The following days are considered as public, bank and mercantile holidays in Sri Lanka

  • Tamil Thai-Pongal
  • National Day
  • Milad-Un-Nabi (Holy Prophet’s Birthday)
  • Day preceding the Sinhala and Tamil New Year
  • Sinhala and Tamil New Year Day
  • May Day
  • Day after the Vesak Full Moon Poya Day
  • Christmas Day
  • All Poya Days

Annual Leave
Employees are entitled to 14 days’ annual leave after completing 1 year of employment. Out of these 14 days, 7 days must be taken on consecutive days.

Maternity Leave
Female employees are entitled to 84 days’ maternity leave for the birth of their 1st or 2nd child. The leave can be taken for 14 days before the expected date of delivery and 70 days after that. For the birth of the 3rd child, employees are entitled to 42 days’ maternity leave out of which 14 days can be taken before the expected date of delivery and 28 days after that.

Casual Leave
Employees are entitled to 7 days’ casual leave.

Medical Leave

Employees are entitled to 7 days’ medical leave.

How ExroAsia can help:

With our Global PEO Services, organisations can expand to any country in Asia and hire employees through ExroAsia without establishing a branch or subsidiary within the country.

  • A candidate can be vetted, interviewed and hired via our PEO
  • We would manage the employment contracts, statutory and non-statutory benefits, and paying their salaries on time in full compliance with Sri Lanka laws.
  • We would take care of day to day operations including all HR tasks including employee termination

Speak to our consultants when you are ready to grow, you can always schedule an appointment to have a casual chat with us.

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