According to the latest Labour Force Survey report by the Department of Census and Statistics, 8,625,859 people from Sri Lanka's population aged 15 and above are outside the labour force, not contributing to it. This represents 50.6 percent of the total population in the relevant age group.
Among those not employed or not participating in employment, 72 percent are women, totaling 6,185,730. The number of men outside the labour force is recorded as 2,440,129.According to these data, a serious gender disparity has emerged in the country's labour market. While the labour force participation of men aged 15 and above is recorded at 69.1 percent, female participation remains at a low level of 32.4 percent. In 2025, the overall unemployment rate was 3.9 percent, and the total number of unemployed was estimated at 329,211. The male unemployment rate was 2.8 percent, while the female unemployment rate was 6.1 percent, more than double the male figure. This situation persisted throughout the period from 2018 to 2025, and being engaged in household activities and unpaid care services has been identified as a major barrier for women to enter and remain in employment.
Considering at the regional level, the majority of those outside the labour force are reported from the rural sector, numbering 7,076,080. Only 1,549,778 such individuals are reported from urban areas. When classifying the overall unemployment percentage by sector, it is recorded as 3.4 percent in the urban sector, 4.0 percent in the rural sector, and 4.8 percent in the estate sector.
At the district level, the highest unemployment rate is reported from Hambantota, at 6.6 percent. Kegalle (6.0%), Matale (5.9%), and Kandy (5.9%) districts have also been identified as areas with high unemployment. Conversely, the lowest unemployment rate is reported from Trincomalee district (0.6%), and unemployment remains low in Mullaitivu (1.7%) and Mannar (1.8%) districts. Additionally, unemployment in Colombo district is recorded at 3.0 percent, Jaffna at 3.4 percent, Badulla at 4.1 percent, Batticaloa and Kurunegala at 4.3 percent each, and Matara at 4.8 percent.