Direct Request (CEACR) - adopted 2020, published 109th ILC session (2021)

Employment Policy Convention, 1964 (No. 122) - Sri Lanka (Ratification: 2016)

COVID-19 pandemic. Socioeconomic impact. Response and recovery measures. The Committee notes the profound social and economic impacts of the COVID-19 pandemic at the national and global levels as well as the measures taken by the Government in the context of the pandemic. In particular, it notes the set of measures adopted by the Government to prevent and mitigate the negative economic and social consequences of the crisis on employers and workers, such as the establishment of a Tripartite Task Force chaired by the Minister of Skills Development, Employment and Labour, and the implementation of immediate socio-economic relief measures (cash transfers to persons in vulnerable situations and support to private businesses). In this context, the Committee recalls the comprehensive guidance provided by international labour standards. In particular, the Committee wishes to draw the Government’s attention to the Employment and Decent Work for Peace and Resilience Recommendation, 2017 (No. 205), which provides guidelines for developing and implementing effective, consensus-based and inclusive responses to the profound socio-economic impacts of the pandemic. The Committee invites the Government to provide updated information in its next report on the impacts of the global COVID-19 pandemic in the context of the application of the Convention and the measures taken or contemplated to respond to them.

Articles 1 and 2 of the Convention. Formulation and implementation of an active employment policy. The Committee notes with interest the broad range of measures adopted by the Government with a view to promoting full, productive and freely chosen employment. The Government indicates that, in 2013, it adopted the National Human Resources and Employment Policy for Sri Lanka (the “NHREP”), which has a 10-year horizon. Its main priorities include: promoting sustainable, inclusive and decent employment and better governance of the labour market; developing a highly competent, globally competitive, multi-skilled and productive workforce; and protecting the rights of workers in accordance with national labour laws and international labour standards. The Government indicates that the NHREP was reviewed in 2016 within the framework of a coordinated economic and social policy. In addition, an Action Plan has been formulated which will be submitted to the Cabinet of Ministers for adoption. The Government adds that a set of national policies have been developed that are aligned with the NHREP. In this context, the Government refers to the adoption in 2018 of the “ILO Decent Work Country Programme Sri Lanka 2018-2020” (the “DWCP”), which includes the creation of sustainable, inclusive and decent employment as a priority area of work. In September 2017, the Government launched the development strategy “Vision 2025”: Sri Lanka to become an upper-middle income country (“Vision 2025”), which contemplates the creation of one million jobs by 2020. Its main objectives include: increasing employment opportunities; enhancing working conditions by formalising the informal economy; and re- skilling the labour force to meet current and emerging socio-economic demands, with a special focus on women and youth. The Government also reports on the adoption of the National Human Rights Action Plan (2017-2020) (the “NHRAP”), which includes among its goals the achievement of full and productive employment and decent work for all. The Committee notes, however, that, according to the DWCP, the Sri Lankan labour market is characterized by high levels of unemployment, low labour participation rates of groups in disadvantaged situations (such as young people, women and persons with disabilities). In particular, the DWCP highlights the vulnerabilities of micro, small and medium enterprises (MSMEs) and the informal sector. The Committee requests the Government to provide updated detailed information on the nature and impact of the measures adopted within the framework of the Employment Policy for Sri Lanka (NHREP), the development strategy “Vision 2025”, and the National Human Rights Action Plan (2017-2020) (NHRAP), as well as of all other active labour market measures relevant to the creation of opportunities for decent, productive and sustainable employment. It also requests the Government to provide information on the development, implementation and impact of specific measures undertaken within the framework of the ILO Decent Work Country Programme for Sri Lanka 2018-2020 (DWCP). The Committee further requests the Government to provide information on the status of the latest revision of the NHREP as well as of the Action Plan formulated in the framework of the NHREP, and to provide copies once they have been adopted.

Article 2. Labour market statistics and information. The Government indicates that significant gaps exist in the collection of employment-related data in the country. The Committee notes that the NHREP contemplates the adoption of measures to strengthen data collection systems pertaining to labour, such as organizing mechanisms to collect and disseminate information on labour demand, and establishing a strong central body for coordinating labour market information, data production and dissemination functions. The DWCP also includes the improvement of data and knowledge generation relating to the labour market as an enabling priority to serve the achievement of the priority areas of work set out in the DWCP. The DWCP contemplates the implementation of a set of interventions to build the capacity of the national constituents to use available labour market information data to develop evidence-based policies and programmes. With regard to employment trends, the Committee notes that, according to the 2018 Annual Report of the Labour Force Survey of the Department of Census and Statistics (DCS), as of 2018, the labour force participation rate among those aged 15 and over was 51.8 per cent and the overall employment rate was 95.6 per cent. The overall unemployment rate was 4.4 per cent, while the underemployment rate was 2.6 per cent. The Committee requests the Government to provide updated detailed information on the nature and impact of measures taken to improve the labour market information system. It also requests the Government to indicate the manner in which the labour market information obtained is used, in collaboration with the social partners, for the formulation, implementation, evaluation and modification of active labour market measures. The Committee further requests the Government to continue to provide up-to-date information, including statistical data disaggregated by sex and age, on employment trends, including on employment, unemployment and visible underemployment.

Contribution of the employment service to employment promotion. The Committee notes that, according to the NHERP, the national career guidance system is characterised by a high level of fragmentation and a lack of reliable data to enable an assessment of future job demand. The NHERP indicates that, as a result, the services provided are inconsistent in approach and fail to reach their target audiences, such as young persons, high-skilled workers and migrant workers. To address these challenges, the NHERP envisages, among other measures, the establishment of a national career guidance council as a public-private partnership responsible for planning, development and supervision of the national career guidance services. It also calls for the adoption of measures to promote the participation of employers in the development and delivery of career guidance services and the provision of formalised training for career guidance counsellors. The Committee notes that, according to the DWCP, job matching services and other public employment services suffer from limited resources, capacity, and awareness of the skills profiles demanded by the employers, especially in rural areas. The Committee requests the Government to provide updated detailed information describing the measures adopted to improve the capacity and quality of employment placement and guidance services and increase the coverage of the network of employment offices throughout the country, including in rural areas, as well as information disaggregated by age and sex on the impact of the measures implemented.

Education and training. The Government reports on a range of measures undertaken to improve the access to and quality of school education, including increasing the minimum age of compulsory education and making career guidance compulsory. The Government indicates that the completion rate in primary education is 99.5 per cent and 98.5 per cent in secondary education. The Committee notes that, according to the NHREP, tertiary vocational education and training (TVET) is facing a number of challenges, including lack of vocational education facilities at the secondary education level in parallel to formal school education; the absence of formal linkages between different educational and vocational qualifications; mismatches and shortages of skills imparted; and inadequate effectiveness and efficiency in the delivery of and access to TVET, especially for women and rural populations. Accordingly, the NHREP provides for the adoption of a set of measures to improve TVET systems, including introducing vocational and technical training components into secondary school curricula; linking secondary education, TVET and higher education institutions with the world of work; and improving apprenticeship schemes to meet the current and emerging needs of the labour market. In this framework, the Committee notes, that according to the NHREP, a national vocational qualification (NVQ) framework covering standards and competencies associated with vocational qualifications and the Sri Lanka Qualification Framework (SLQF) were developed. In addition, the DWCP envisages the implementation of measures to ensure the recognition of prior learning and certification of the skills and competencies of persons belonging to groups in disadvantaged situations (such as young persons, women and persons with disabilities). The NHREP also sets out a range of policy recommendations to revitalize the university sector and post-graduate institutions. “Vision 2025” envisages the adoption of measures to increase state university enrolment while ensuring a strong monitoring mechanism to ensure that standards are maintained in both state and non-state universities. The Government also refers to the medium-term Public Investment Program (2017-20), which envisages the implementation of measures to improve access, relevance and quality of vocational education. The Committee requests the Government to continue providing detailed updated information on the content of the programmes and measures adopted in the fields of education and training and their impact on access to quality jobs and lasting employment. In particular, the Committee requests the Government to provide information on the nature and impact of measures adopted to improve the employability of groups in disadvantaged situations.

Ethnic minorities. The Committee notes from the report of the UN Special Rapporteur on minority issues on her mission of 31 January 2017 to Sri Lanka, that large numbers of communities were still living in precarious situations of displacement seven years after the war. According to the Ministry of Resettlement, Reconstruction and Hindu Religious Affairs, as of 31 August 2016, 13,670 families (43,607 persons) had yet to be resettled. The UN Special Rapporteur pointed out that displacement in Sri Lanka has a distinctly ethnic dimension, with the majority of the internally displaced population being Tamils and Muslims displaced during the conflict in the Northern and Eastern Provinces and are facing significant challenges in accessing education, employment and public services. Moreover, the UN Special Rapporteur highlighted that Plantations Tamils are the most deprived group in the country. Landless and employed as daily labour, they have historically lived in complete isolation and are heavily dependent on the estates for their welfare and livelihood (document A/HRC/34/53/Add.3, paragraphs 42 and 55). The Committee requests the Government to provide updated detailed information on the employment situation of ethnic minorities, including statistical information disaggregated by age and sex, and on measures taken or envisaged to improve their position in the labour market.

Young persons. The Committee notes that, according to the 2018 Annual Report of the Labour Force Survey (LFS) of the DCS, as of 2018, the overall unemployment rate for young persons aged 15-24 was 21.4 per cent. Unemployment was particularly high in the Central (31.3 per cent), Southern (29.3 per cent) and Uva (28 per cent) provinces. The rate of young persons not in employment, education or training (NEET) was 21.8 per cent, with women’s rates being twice as high as men’s (14.4 per cent for men and 29 per cent for women). According to the DWCP, young people face school-to-work transition deficits, including shortfalls in the quality and accessibility of vocational training and related employment services. Against this backdrop, the NHREP contemplates a range of measures to enhance the employability of young persons, such as establishing a network of “one-stop-shop” career centres to provide career guidance, planning and counselling and information on training, active labour market programmes to enhance the employability of young persons and special programmes targeting disadvantaged and conflict-affected youth. To increase the participation of young persons in private sector employment, the NHERP envisages increasing pay at entry level in sectors and/or industries requiring high-skilled workers, including in high technology sectors. The Committee also notes that the Government refers to the adoption of the “National Youth Policy” (NYP) in 2014. The key strategies of the NYP include: education; skills development and vocational training; and youth employment. With regard to youth employment, the NYP highlights as critical concerns: underemployment among educated youth, high levels of unemployment among young persons in rural areas, societal attitudes that limit career options for young people, regional disparities in employment opportunities, and lack of protection in the informal economy, where a high proportion of young persons are concentrated. In this context, the NYP envisages the adoption of measures that include: creating the conditions for an effective transition of youth from education to work through tertiary education; eliminating barriers and evolving opportunities to meet higher educational aspirations equitably; enhancing employment opportunities with fairness and equity; as well as promoting an entrepreneurial culture and supportive resources for the economic advancement of young persons. The Committee requests the Government to provide detailed updated information, disaggregated by sex, age and region, on the scope, nature and impact of the measures adopted within the framework of the Employment Policy for Sri Lanka (NHREP) and the “National Youth Policy” (NYP), as well as of other measures adopted to promote opportunities for decent and lasting employment for young persons, including those in the Central, Southern and Uva regions.

Women. The Committee notes that the NHERP contemplates the adoption of measures to promote the participation of women in the labour market and their access to better-paid jobs. Measures include the provision of specially designed job search assistance to women graduates; investing in training for women in higher skilled occupations in sectors such as information technology, health, hospitality industry, and driving; and promoting women's entrepreneurship development by enhancing their access to credit, technology and business knowledge. The Committee further notes that “Vision 2025” envisages the adoption of measures to provide childcare facilities, encouraging more flexible working arrangements, and improving access to tertiary education and training. The Committee notes that the National Action Plan for the Protection and Promotion of Human Rights for 2017–21 also includes the adoption of measures in this regard, such as training women for higher skilled occupations and promoting men’s roles and responsibilities in childcare and family duties. The Committee notes, however, that according to the 2020 Global Gender Gap Report of the World Economic Forum (WEF), in 2018 the labour force participation rate was 77.1 per cent among men, compared to only 38.2 per cent among women, despite high literacy and educational levels among the latter. In addition, the unemployment rate stood at 7.03 per cent for women compared to 3.03 per cent for men. 32.29 per cent of female workers were part-time workers, while part-time workers represent 19.33 per cent among men. Moreover, the Committee recalls its 2018 Observation on the application of the Discrimination (Employment and Occupation) Convention, 1958 (No. 111), in which it noted the vertical and horizontal occupational gender segregation, with women being concentrated in the agriculture, manufacturing and education sectors, as well as in elementary school occupations (28.5 per cent) and clerical support (13 per cent), whereas few women are employed in managerial and senior official positions (3.3 per cent) or as technical and associate professionals (4.5 per cent). Furthermore, in its 2018 direct request on the application of Convention No. 111, the Committee noted that, despite the measures adopted by the Government to increase the participation of women in some non-traditional courses and IT courses, gender segregation in vocational training persists. The Committee requests the Government to provide updated detailed information on the impact of the measures adopted to increase women’s labour force participation rate, reduce the gender pay gap, and to combat vertical and horizontal occupational segregation in employment and vocational training, including updated statistical information, disaggregated by sex, age, occupation, sector of activity and professional category.

Persons with disabilities. The Committee notes from the DWCP that as of 2012, 1.1 million persons with disabilities were economically active, 442,138 were in employment and 10,953 were unemployed. The Committee notes the information provided by the Government concerning the measures adopted to ensure and promote the access of persons with disabilities to education and employment opportunities. The Government refers to, among other provisions, the Protection of the Rights of the Persons with Disabilities Act No. 28 of 1996, which establishes the principle of non-discrimination on the ground of disability in access to employment and education. It also refers to the Circular on the Employment of Persons with Disabilities (1988) of the Ministry of Public Administration, which establishes a 3 per cent employment quota for persons with disabilities in the public sector. The NHERP indicates that, in 2004, the employment quota was extended to enterprises in the private and semi-governmental sectors. The NHERP contemplates the adoption of measures to promote entrepreneurship among persons with disabilities based on their skills, interests and knowledge; promoting their access to vocational education and training, including the removal of physical barriers to educational centres; and improving institutional responsiveness to the needs of persons with disabilities to create an adequate workplace environment for them. The NHREP further envisages the implementation of incentive schemes to encourage employers to hire persons with disabilities, including tax exemptions and financial support for the implementation of reasonable accommodation measures. In addition, NHRAP includes as key goals protecting the right to decent work of persons with disabilities and enhancing their access to mainstream vocational and professional training programmes as part of promoting their participation in the open labour market. Moreover, the Government refers to the development in 2000 by the Employers’ Federation of Ceylon (EFC), with financial support from the ILO, of the “Employers’ Network on Disability”. The Network establishes a link between the business community and organizations of persons with disabilities to provide employment and training opportunities in the private sector for job seekers with disabilities. The Committee notes, however, that, according to the DWCP, gaps in the implementation of 3 per cent employment quota persist and only a limited number of employers have applied the relevant infrastructure regulations requiring them to provide a barrier-free work environment. The DWCP therefore envisages the adoption of measures to: advocate for and provide advisory services to the Ministry of Public Administration to ensure the implementation of the employment quota in the public sector; ensure enforcement of infrastructure; and implement the revised action plan on job placement for persons with disabilities. The Committee requests the Government to continue providing detailed and updated information on the scope and the nature of the measures adopted to promote the access of persons with disabilities to quality education and job opportunities in the regular labour market. It also requests the Government to provide information on the impact of such measures, including statistical information on the total number of participants, disaggregated by age, sex, region and type of disability.

Migrant workers. The DWCP indicates that, in 2017, approximately 212,162 Sri Lankan nationals migrated overseas for work, a decrease from 242,816 in the previous year, with the majority headed to the Middle East in low-skilled jobs. The Committee notes that, according to the DCWP, factors such as exorbitant recruitment costs and fees imposed on Sri Lankans recruited to work abroad have reportedly resulted in instances of debt bondage and exploitative labour practices. The DWCP stresses that there are deficiencies in the implementation of the labour migration policy, which regulates the recruitment, in-service, return and reintegration of migrant workers, especially at the recruitment stage. In this context, the Committee recalls its 2019 Observation on the application of the Forced Labour Convention, 1930 (No. 29) by Sri Lanka, in which it noted the vulnerable situation of Sri Lankan migrant workers with regard to the exaction of forced labour. In this respect, the Committee noted the set of measures undertaken by the Government to safeguard the rights of Sri Lankan migrant workers. These include the implementation of programmes to raise awareness among migrant workers on their rights and obligations; the signing of 22 memoranda of understanding (MoUs) with key host countries on the protection of rights of migrant workers; the compulsory registration scheme requiring registration prior to departure for foreign employment and the development of standard approved contracts; the introduction of a Sub Policy and National Action Plan on Return and Reintegration of Migrant Workers; and the provision of consular assistance through diplomatic missions and temporary shelters for female migrant workers who are victims of abuse or exploitation. Referring to its 2019 observation on the application of Forced Labour Convention, 1930 (No. 29), the Committee requests the Government to provide updated detailed information on the impact of the measures undertaken to ensure that Sri Lankan nationals recruited to work abroad are protected from practices that might increase their vulnerability to the exaction of forced labour. It also requests the Government to provide information on all other measures taken or envisaged to enhance access to decent jobs and employment-related benefits and protections for both female and male migrant workers.

Informal economy. The Committee notes that, according to the DWCP, two-thirds of the labour force is engaged in informal employment, with private sector formal employment accounting for only one-fifth of the employed work force. A majority of those working in the informal economy are own account workers (49.6 per cent). Of the total number of workers employed in agriculture, 87.5 per cent are in informal employment. The DWCP emphasizes that recent environmental disasters (floods and landslides in 2016 and 2017) have caused tremendous damage and losses in the informal sector, with major, long-term impacts on livelihoods and employment security. The NHERP indicates that men are more likely to be in informal employment than women. Many informal workers are low-skilled, are poorly remunerated and lack access to social protection benefits. The NHERP envisages the adoption of measures to enhance the employability of informal economy workers in higher skilled and better-paid occupations, including measures to provide opportunities for continuing education, training and re-training through subsidized vocational training and informal education. The Committee draws the Government’s attention to the comprehensive guidance provided in the Transition from the Informal to the Formal Economy Recommendation, 2015 (No. 204). It requests the Government to provide detailed and updated information on the size and composition of the informal economy and the measures taken or envisaged to facilitate the transition to the formal economy, particularly in rural areas of the country.

Micro, small and medium enterprises (MSMEs). The Committee notes that, according to the DWCP, MSMEs represent 52 per cent of the country’s Gross Domestic Product (GDP), 45 per cent of all employment, and 90 per cent of total enterprises. The DWCP highlights that MSMEs are affected by climate-related disasters, high levels of informality, a limited skills base, lack of assets and access to financing. In addition, the NHREP points out that SME entrepreneurs do not have adequately trained workers, the quality of employment offered by SMEs is very low, and legislation and practices regulating recruitment deter investments for expansion of SMEs. The NHREP contemplates the adoption of a broad range of measures, including encouraging decent work practices and social protection of employees among SMEs to enable them to recruit works with the right skills and attitudes; simplifying the SME regulatory framework; reducing the red tape and administrative burdens on SMEs; and implementing entrepreneurship education and training programs tailored to their needs. The Committee also notes that the DWCP envisages a number of interventions. These include interventions to: strengthen the productivity and competitiveness of MSMEs through provision of high-quality business development services, such as management skills upgrading, financial services or technical assistance to ensure decent working conditions and improve productivity; enhance the climate-resilience of MSMEs through business contingency planning, climate-linked insurance products; and stimulate entrepreneurship and start-ups in green sectors. The Committee further notes the adoption of the National Policy Framework for SME Development in October 2017, which envisages the adoption of measures to promote export-oriented and innovative SMEs and update vocational training curricula to meet the current needs of the labour market. Finally, the Committee notes the “Jobs for Peace and Resilience project: Strengthening natural disaster resilience of rural communities and micro and small enterprises in the North and South West of Sri Lanka”. The project, which ran through March 2020, supported the implementation of measures envisaged in the National Policy on building resilience and disaster mitigation. It developed and demonstrated effective models in rural communities, placing special focus on the North and the South West of Sri Lanka, where the recurrence of natural disasters is high. The Committee requests the Government to continue to provide detailed updated information on the measures taken to promote and support MSMEs for job creation, as well as on their impact, including statistical information on the number and type of enterprises established and the number of jobs created by such enterprises. It also requests the Government to communicate updated information describing the nature and impact of measures to strengthen the resilience of MSMEs and rural communities in vulnerable areas of the country to natural disasters.

Article 3. Consultations with the social partners. The Committee notes that the NHREP was formulated following a wide consultation process with a broad spectrum of stakeholders at the central and regional levels, including employers’ and workers’ organizations, professional institutions and academia. The Government indicates that consultations were also held with representatives of the persons affected by the employment measures, such as rural and self-employed women. In addition, the draft policy was made available in the government’s website and national newspapers in three languages (Sinhala, Tamil and English) to allow the general public to submit observations or proposals. The NHREP is implemented under the overall guidance of a National Steering Committee, which includes representatives of the social partners. The Committee welcomes the memorandum of understanding signed on 16 May 2018 between the ILO, the Government and the social partners, in which the parties committed themselves to collaborate to promote and advance decent work in Sri Lanka. The DWCP was also developed following an intensive and inclusive process with a broad range of actors, including workers’ and employers’ organizations, local government officials, youth, and women’s cooperative society members. Moreover, a tripartite DWCP Task Force consisting of the signatories to the DWCP was established to monitor and provide advice to assist with challenges faced by implementers of DWCP-related programmes or projects. The Government also indicates that regular tripartite consultations are held within the National Labour Advisory Council (NLAC) with regard to matters concerning labour policies and their implementation. The Committee requests the Government to continue to provide detailed information on the manner in which the experience and views of the social partners have been taken into account in the formulation and implementation of employment policy measures, and the outcome of this process. It further requests the Government to indicate the nature and scope of consultations held with representatives of the persons affected by the measures taken, such as women, young people, persons with disabilities, rural workers, ethnic minorities, and other concerned groups, in relation to the formulation and implementation of active employment policies and programmes.