Sri Lanka’s women shoulder the equivalent of 8.5 months of unpaid care work annually, locking them out of the formal economy and costing the nation vital growth potential amid ongoing recovery efforts.
In Sri Lanka today, fewer than three in ten women participate in the formal labour force, compared to roughly two-thirds of men. This persistent gap, with female labour force participation (FLFP) declining from 34.6 per cent in 2014 to 29.8 per cent in 2024, represents far more than a statistical anomaly. It signals untapped economic potential in a country still navigating the aftermath of its severe 2022 economic crisis and striving for inclusive recovery under the National People’s Power (NPP) government led by President Anura Kumara Dissanayake.
Professor Dileni Gunewardena, Chair of Economics at the University of Peradeniya and author of an Asian Development Bank (ADB) study on FLFP, highlights these challenges. Demographic shifts, such as young women staying longer in education, and structural changes away from agriculture explain part of the decline. However, rising household incomes allowing women to opt out of paid work, combined with heavy unpaid responsibilities, form the core issue.
The Hidden “Full-Time Job” of Unpaid Care Work
A 2017 Time Use Survey by Sri Lanka’s Department of Census and Statistics revealed that women spend an average of 4.1 hours more per day than men on unpaid domestic and care work – cooking, cleaning, childcare, eldercare, and more. Extrapolated over a year and measured against a standard working day, this equates to approximately 187 working days, or about 8.5 months of unpaid labour annually.
Valuation studies, including work by Gunewardena and Verité Research, estimate that unpaid care work by both genders contributes around 14 per cent of GDP, with women accounting for roughly 12 per cent and men just 2 per cent. This “hidden sector” rivals or exceeds the contribution of agriculture to the economy. If monetised at replacement costs (e.g., domestic cleaners or Montessori teachers), the figures underscore how women’s invisible labour subsidises the formal economy.
This burden intensifies for the “sandwich generation” – women caring simultaneously for children and elderly relatives in an ageing society. Early findings from ongoing surveys indicate many households manage complex, multi-generational care needs, often falling disproportionately on young women.
Barriers: Childcare, Culture, and Employer Bias
Childcare emerges as the single largest measurable deterrent to FLFP. Having a child under six reduces a woman’s likelihood of joining the labour force by 54-67 per cent. Cultural norms reinforcing women’s primary role in the home compound this, though the exact interplay between preference and lack of alternatives remains under study.
Employers often exhibit bias, viewing women as likely to exit for family reasons, leading to gendered job segregation. Female unemployment consistently runs nearly double that of men. Highly educated women, who outnumber men in universities, frequently hold out for formal sector roles rather than accepting mismatched or informal work, inflating youth unemployment rates (around 20 per cent overall, higher for young women).
The COVID-19 pandemic and subsequent economic shocks disproportionately affected women, particularly in export-oriented and informal sectors sensitive to global disruptions. While recovery picked up in 2025 with improved global conditions, structural vulnerabilities persist.
Policy Shortfalls and Counterproductive Measures
Existing government initiatives – microfinance, maternity benefits, and skills programmes – fall short. Generous maternity leave (with minimal paternity leave of just three days) inadvertently discourages hiring women, as employers face higher perceived costs. Policies sometimes reinforce withdrawal from the workforce rather than supporting re-entry.
Broader recommendations from ADB and ILO studies emphasise investing in care infrastructure (affordable childcare and eldercare), flexible work arrangements, skills development aligned with service sector growth, workplace safety, and closing pay gaps. Recognising unpaid work in national accounts and shifting some care responsibilities to the state or shared parental models could yield dividends.
Public investment in social infrastructure – akin to roads or electricity – is crucial. Without it, an ageing population and stagnant FLFP risk undermining long-term growth and social resilience.
Economic Imperative in Sri Lanka’s Recovery Context
Sri Lanka’s post-2022 recovery, supported by the IMF programme, has stabilised the economy with GDP rebounding and inflation easing. However, sustaining growth requires harnessing the full labour force. Low FLFP constrains productivity, exacerbates skills mismatches, and limits women’s economic agency in a nation where they comprise over half the population.
Empowering women economically could boost GDP, reduce poverty (still affecting over a quarter of the population in recent data), and build resilience against future shocks, including global conflicts impacting remittances and trade.
The NPP government’s development plans acknowledge human capital priorities, including skills and inclusive employment. Translating this into gender-responsive action – such as expanded public childcare, incentives for paternity leave in the private sector, and targeted entrepreneurship support – will be key.
Path Forward: From Recognition to Transformation
Experts advocate treating care as essential social infrastructure. Expanding services, redistributing unpaid work through policy, and challenging norms that sideline educated women could unlock significant gains. Digital skills training, safe transport, and anti-discrimination measures in hiring would further support participation, especially in expanding services sectors.
As Sri Lanka aims for sustainable development beyond crisis recovery, addressing the unpaid work burden is not merely a women’s issue but a national economic imperative, Dileni Gunewardena says, adding that failure to act risks perpetuating inequality and capping growth potential in an already challenged economy.
Image: Flickr
