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(Karunatilake, 2006) has found that Labour is the basic but most complex factor of production. It is basic, because at least a minimum level of labour is at the foundation of economic growth. It is complex, because, unlike other factors of production, it responds to changes in the surrounding working environment. Population growth is slowing down and will reach zero level before long. Consequently, the population is aging and the labour force is shrinking resulting in a rising elderly dependency ratio that would pose increasing strains on limited resources including active labour available for long term development projects. The incidence of low labour force participation rates and wide spread underemployment rates at high levels indicate the lack of opportunities, infrastructure and facilities for people to offer their maximum possible contribution to economic progress. Delays in structural implementation of infrastructure projects and required institutional changes have resulted in this grave situation, which the nation cannot afford to continue with.


Sri Lanka Labour Force Survey (2016) was designed to measure the levels and trends of employment, unemployment and labour force in Sri Lanka. This sur vey is being conducted quarterly, since the first quarter of 1990. This quarterly survey of households is conducted through a scientifically selected sample designed to represent the civilian non-institutional population. Respondents are interviewed to obtain information about the employment status etc. of each member of the household 15 years of age and older. The field work of the survey is done during the third week of each month, Monday through Sunday. This is known as the “survey week”. The inquiry relates to activity or status are referred in the preceding week of the survey week; referred

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to as the “reference week. This  article  provides  the methodology  and  the  summery  of  annual  and  quarterly  aggregates  of  LFS  for  the  period  from  2011 onward. Further, the  report comprises  the  reweighted estimates for  age 15 years and above  household population  (the  working  age  population),  labour  force,  employment  and  unemployment  for  the  study



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