II. The Employment Relationship

Types of Employment (Permanent, Probationary, Contract)

Employment in Sri Lankan companies generally falls into three main categories: permanent, probationary, and contract. Understanding these types is crucial for both employers and employees to ensure clarity in employment terms and conditions.

Permanent Employment: This type of employment is for an indefinite period and typically comes with a comprehensive benefits package. Permanent employees are entitled to job security, regular salary increments, and other long-term benefits as stipulated by company policies and Sri Lankan labor laws.

Probationary Employment: New hires often start as probationary employees. The probation period allows the employer to evaluate the employee’s performance and suitability for the role. Probation periods typically range from three to six months but can be extended. During this time, employees usually have limited job security and may not receive the full benefits available to permanent employees.

Contract Employment: Contract employees are hired for a specific duration or to complete a particular project. Their employment ends when the contract term expires or the project is completed. Contract employees often receive a fixed-term agreement that outlines their duties, compensation, and benefits. They may not receive the same level of job security or benefits as permanent employees.

Sri Lankan Labor Laws and Regulations (Brief Overview)

Sri Lanka's labor laws are designed to protect the rights of workers and ensure fair treatment in the workplace. Key regulations include the Shop and Office Employees Act, the Employment of Women, Young Persons, and Children Act, and the Wages Boards Ordinance. These laws cover various aspects of employment, including working hours, wages, leave entitlements, and occupational health and safety.

The Shop and Office Employees Act regulates the working conditions, hours of work, and holidays for employees in shops and offices. It ensures that employees receive adequate rest periods, overtime pay, and annual leave.

The Employment of Women, Young Persons, and Children Act prohibits the employment of children and regulates the employment conditions for young persons and women. It ensures that vulnerable groups are protected from exploitation and hazardous work conditions.

The Wages Boards Ordinance establishes minimum wage rates for various trades and industries. It ensures that employees receive fair compensation for their work.

Employers and employees are encouraged to familiarize themselves with these and other relevant labor laws to ensure compliance and protect their rights. The Ministry of Labour and Trade Union Relations provides resources and support for understanding and implementing labor regulations in Sri Lanka.

Employee Rights and Responsibilities

Employees in Sri Lanka have specific rights and responsibilities that are protected by labor laws and company policies. Understanding these rights and responsibilities is essential for maintaining a fair and productive work environment.

Employee Rights:

  • The right to a safe and healthy work environment free from discrimination and harassment.
  • The right to fair compensation, including regular payment of wages, overtime pay, and other benefits as stipulated by law and company policy.
  • The right to reasonable working hours, rest periods, and leave entitlements, including annual leave, sick leave, and maternity/paternity leave.
  • The right to join and participate in trade unions and engage in collective bargaining.
  • The right to access information regarding company policies, job expectations, and performance feedback.

Employee Responsibilities:

  • To perform job duties to the best of their abilities and adhere to company policies and procedures.
  • To maintain punctuality and regular attendance.
  • To respect colleagues, supervisors, and company property.
  • To comply with occupational health and safety regulations and report any hazards or incidents.
  • To engage in professional development opportunities and strive for continuous improvement.

By understanding and fulfilling their rights and responsibilities, employees can contribute to a positive and productive workplace, fostering mutual respect and cooperation between employers and employees.