Govt. seeks to reassure unions over labour law reforms

Saturday, 31 October 2026 00:05 -     - {{hitsCtrl.values.hits}}

Labour Deputy Minister Mahinda Jayasinghe

Labour Deputy Minister Mahinda Jayasinghe has sought to reassure trade unions that the proposed labour law reforms are aimed at strengthening workers’ rights rather than weakening existing protections. He said the draft contains several provisions more progressive than existing laws.

Speaking at a consultation on the proposed amendments for the Western Province, held at the Department of Labour auditorium at Mehewara Piyasa, Narahenpita, on Wednesday, Jayasinghe said the Government was prepared to discuss areas requiring further amendment. He asked trade unions to submit any additional proposals or observations in writing before 30 November.

Jayasinghe rejected claims that the reforms were being expedited to meet International Monetary Fund (IMF) requirements, saying the Government was under no obligation to accelerate the process on that basis.

The Government intends to establish a progressive labour law framework suited to the country’s needs and aligned with modern workplace requirements and international labour standards, he said.

Jayasinghe said the process was being conducted transparently with the participation of all stakeholders. An independent 17-member committee appointed to oversee it had held nearly 40 meetings, with no interference in its independence, he said. Trade unions and employers had been given the same draft.

The National Labour Advisory Council (NLAC) had been convened more than 11 times since the present Government took office, and completed sections of the draft were presented to it on 7 August, Jayasinghe said.

The consultation was one of a series of provincial meetings to gather views from the public, trade unions, employers and other stakeholders.

The reforms would consolidate 14 existing labour laws into four Bills covering trade unions, labour relations, occupational safety and termination of employment, the Daily FT reported in October 2025. Labour Minister Dr. Anil Jayantha Fernando said in June that a unified labour code was planned by the end of 2026.

Proposals reported in February included flexible working arrangements with shifts of up to 16 hours inclusive of breaks, compulsory overtime in certain situations, a minimum membership of 100 for union recognition, mandatory secret ballots before industrial action, legal status for manpower agencies and contract labour, and relaxed restrictions on night work for women. 

The Free Trade Zones and General Services Employees Union had warned that the proposals could restrict strikes, side-line smaller unions, weaken protection against unfair dismissal, reduce leave entitlements and extend shifts beyond eight hours. The Free Trade Zone Workers’ Collective has called for a worker-centred framework, including retaining the eight-hour day and 40-hour week, union recognition at 25% of eligible workers, longer maternity leave and minimum wages based on a living wage formula.

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