🇱🇰Asia

Hire employees in Sri Lanka with an Employer of Record

Sri Lanka offers an English-fluent workforce with a growing IT and BPO industry, and well-established statutory savings schemes (EPF/ETF). Expand EOR makes it possible to hire in Sri Lanka compliantly — without setting up a local entity. Contracts, payroll, taxes, and benefits — all handled.

Starting from$299/ employee / month

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Strong English-fluent talent
Growing IT/BPO sector
EPF & ETF mandatory

Employment overview in Sri Lanka

Hiring in Sri Lanka requires a registered local employer to handle payroll, taxes, and statutory benefits. With Expand EOR, our local entity becomes the legal employer — so you can hire any candidate in Sri Lanka without setting up your own subsidiary.

The local currency is LKR and the standard payroll cycle is monthly. The official working language is Sinhala / Tamil / English, and contracts must comply with Sri Lanka employment law.

Key employment laws in Sri Lanka

  • Working hours
    45 hrs/week
  • Probation period
    Up to 6 months
  • Notice period
    1 month
  • Paid annual leave
    14 days
  • Public holidays
    25+
  • Minimum wage
    LKR 17,500/month

Payroll, taxes, and benefits in Sri Lanka

Payroll in Sri Lanka runs monthly. Employers are responsible for income tax withholding, social security contributions, and any mandatory benefits.

Estimated employer cost on top of gross salary: ~15% EPF + ETF. Expand EOR handles all calculations, deductions, and statutory filings on your behalf.

Estimated cost of hiring in Sri Lanka

Total cost = gross salary + employer contributions (~15% EPF + ETF) + EOR fee starting at $299/month. There are no setup fees, no hidden charges, and no per-country surprises.

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Why use an EOR in Sri Lanka?

  • Hire in Sri Lanka in days — without registering a local entity (which can take months and cost $15,000+).
  • Stay 100% compliant with Sri Lanka employment, tax, and labour law.
  • Pay employees in LKR on time, every cycle.
  • Provide compliant local benefits and a great employee experience.
  • Avoid permanent establishment risk and misclassification penalties.

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