Sri Lanka, renowned for its achievements in education and health care, still faces significant gender inequality, particularly in wages. According to the United Nations Development Programme (UNDP) report, “Making Our Future: New Directions for Human Development in Asia and the Pacific,” social disparity remains prevalent, with a persistent gender wage gap limiting economic opportunities and exacerbating poverty in Sri Lanka. Closing this gap is crucial not only for gender equity but also for fostering economic growth and reducing poverty.

Current Status of the Gender Wage Gap in Sri Lanka

The gender wage gap in Sri Lanka remains significant. A recent International Labour Organization (ILO) report shows that women earn, on average, 30-36% less than their male counterparts. This gap is even wider in the informal sector, where many women are employed. They are often concentrated in low-wage sectors like agriculture, textiles and services. In contrast, high-paying sectors such as IT, engineering and finance remain male-dominated, widening the income divide.

While Sri Lanka performs well on global gender indices, particularly in education, the wage disparity highlights a deeper issue: economic progress has not translated into pay equity. Women still face wage discrimination and are often steered into lower-paying jobs, pointing to systemic barriers that need addressing.

Key Factors Contributing to the Gender Wage Gap

Occupational segregation remains a key issue. Despite women’s critical economic contributions, they are concentrated in lower-wage industries. Sectors like agriculture and textiles, where women predominate, tend to be undervalued. Cultural norms further compound the issue, with societal expectations often prioritizing women’s roles as caregivers, pushing them toward part-time or informal work. This “double burden” limits their full-time employment and career progression opportunities, constraining their earning potential.

Education and skills gaps also play a role. Although Sri Lanka has made strides in female education, women remain underrepresented in high-paying fields like science, technology, engineering and mathematics (STEM). Without targeted initiatives to encourage women’s participation in these fields, wage disparities will likely persist. Workplace discrimination and unconscious bias further entrench wage inequality. Women face obstacles in promotions, salary negotiations and leadership roles. Although legal frameworks exist to promote gender equality, weak enforcement leaves many women vulnerable to wage discrimination.

The Impact of COVID-19

The COVID-19 pandemic has widened Sri Lanka’s gender wage gap. The economic downturn disproportionately affected Women, particularly those in low-paying, informal jobs. Sectors such as hospitality, textiles and domestic services—where women are heavily represented—suffered severe losses during lockdowns.

The burden of unpaid caregiving also increased during the pandemic, with many women leaving the workforce to care for children or elderly relatives. This prolonged absence from the labor market has long-term repercussions on their earning potential, threatening to reverse years of progress toward wage equality.

Addressing the Gender Wage Gap in Sri Lanka

To close the gender wage gap in Sri Lanka, a comprehensive approach involving government intervention and support from nongovernmental organizations (NGOs) is essential. Enforcing existing equal pay laws and conducting regular wage audits are necessary first steps. According to U.N. Women, strengthening labor laws to ensure equal pay for equal work across all sectors is crucial for narrowing the gap.

NGOs play a pivotal role in advocating for women’s economic empowerment. For example, the Women’s Development Federation (WDF) in Sri Lanka has been actively working to empower women through skills training, entrepreneurship programs and advocacy for fair wages. Its initiatives have enabled thousands of women to gain financial independence by entering nontraditional sectors or starting small businesses. This has helped to bridge the wage gap in local communities.

Another notable organization, CARE International, has launched initiatives like the Made by Women movement, which focuses on improving working conditions and wages for women in the textile industry. Its advocacy has led to partnerships with local businesses to ensure better pay and opportunities for women workers, serving as a model for other industries.

The government can also expand women’s access to high-paying fields through targeted education and vocational training programs. According to recommendations from the UNDP, providing scholarships and incentives for women to pursue careers in traditionally male-dominated fields like STEM can help bridge the skills gap and diversify the workforce.

Addressing the caregiving burden through policies like affordable childcare and family-friendly work environments would enable more women to participate fully in the workforce. Such measures would encourage women to return to work after caregiving responsibilities, reducing career interruptions and ensuring better career progression.

A Path Forward: Economic Growth and Gender Equality

Addressing the gender wage gap is not just an issue of fairness—it’s crucial for Sri Lanka’s economic growth. Studies indicate that closing the wage gap could significantly boost the country’s gross domestic product (GDP) by increasing women’s labor force participation and productivity. Reducing gender wage inequality could lift many families from poverty, contributing to national economic resilience.

While Sri Lanka has progressed in some areas of gender equality, the wage gap remains a substantial barrier to true economic equity. A coordinated effort from the government, private sector and civil society is necessary to dismantle the barriers that keep women in low-wage roles and ensure equal opportunities.

– Nandini Bhatia

Nandini is based in the United Kingdom and focuses on Politics for The Borgen Project.

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