This is an article written in May,2020 about the impact of Covid 19 and what lies ahead post Covid 19 for the workforce in Sri Lanka. This article was a position paper written for the "Pen it down" position paper writing competition organised by Unilever, Sri Lanka.
Future of the Workforce in Sri Lanka - What lies ahead post COVID-19.pdf
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PEN IT DOWN
Position Paper Writing Competition
Future of the Workforce in Sri Lanka - What lies ahead
post COVID-19
Author 1
Lehindu Atapattu
23.05.2020
Author - 1
• Lehindu Atapattu
• lehinduatapattu@gmail.com
Author - 2
• Senali Wijesooriya
• senaliwijesuriya@gmail.com
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Introduction
After the 2007-08 financial crisis, Sri Lanka now faces another prolonged economic collapse due to
COVID-19 pandemic. It is the recent globally affected health hazard after SARS. Even though SARS
did insignificant damage to Sri Lanka, it is the contemporary experience of a pandemic situation for
the millennial world. Despite being a developing country, Sri Lanka controls the pandemic situation
along with considerable measures contrary to the developed countries. Nonetheless, it is a critical
situation for economically unstable Sri Lanka to accept this scenario without strengthening the
workforce. Sri Lanka misused all her ways for the development due to political instability, lack of
policies, non-stable international relationships, civil wars and environmental hazards. Unfortunately,
now it is barricaded by COVID-19. However, Sri Lankan workforce can confront prudently and
acquire the expected development. The labour force of Sri Lanka rose by 204252 to 8.592million in
2019 from 8.388 million reported 2018, recording a growth of 2.4%. In 2019 employed and
unemployed workforce remains to be 8.18 and 0.41 million respectively. (Annual Report, CBSL) In
the midst of this pandemic situation, it is plausible to swing workforce within employment and
unemployment diverting the aforementioned statistics. The local workforce spreads mainly within;
Agriculture, Industries, Services, Foreign Employment and Construction. When considering the
future of Sri Lankan workforce, the active workforce will undergo health-oriented changes that
paves the way towards challenges and reforms in relation with the sectoral employment.
Agriculture
During and after COVID-19, agriculture remains/will remain significant in keeping the nation alive.
The pandemic paved way for health-oriented changes such as; restriction of unnecessary imports,
encouraging the local farmers to increase their productivity and widening government attention
towards volatile food. The UN warns that this situation will lead to widespread famines of “biblical
proportions” (BBC news, Lyse Doucet) that result in a global food crisis. There is a slight opportunity
for the agricultural workforce to increase their productivity targeting the local and global exigency
for food. It will support to confront possible next waves of the pandemic. However, agriculture
related workforce may undergo several challenges on their way.25.3% of the total workforce
engages in agricultural activities. (Annual Report, CBSL) It denotes the inadequacy in workforce to
accelerate the productivity. Deficient supply of fertilizers, price fluctuations, debt dilemma, mental
unrest, insufficient knowledge on machineries, impracticalities in being health oriented in work and
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marketplaces and exploitation of labour utilizing the pandemic arena will curtail the productivity of
post pandemic Sri Lanka.
Industrial sector
27.6% of employers are in industrial workforce. (Annual Report, CBSL) The industrial sector must
divert their attention towards health-oriented policies in the post COVID-19 arena. Encouraging
remote working for potential workers, paying attention towards workers’ health and bringing
health-oriented cultures to the work field are some steps to promote health orientation. On the one
hand there is a growing trend towards manufacturing health related productions and innovations
which can be marketed globally. For instance, the Sevanagala Sugar Factory has manufactured a
disinfected using ethanol (Newsfirst, March 2020) and Brandix started exporting face masks to USA.
(Economy Next, May 2020) Additionally, mechanizing workload to ensure efficiency, adequate
equipping with technology and innovations are some other trends in industrial sector that the
workforce will undergo. On the other hand, post pandemic era will reduce the demand for typical
supplies, salary reductions, unrest within unemployed aspirants, profit reductions and inflation will
remain as challenges. Although COVID-19 slowed down tourism industry, the way Sri Lankans
confronted the pandemic will remain as a benchmark to elevate tourism in post COVID-19.
Eventually, it will empower the workforce related to tourism in limbo.
Service sector
Service sector provides the highest rate of employment opportunities which is 47.1%. (Annual
Report, CBSL) In post COVID-19, service sector will encourage remote service providing. The
employer-based circulars will have to be more flexible upon the employee. On the contrary, service
sector will face challenges based on reducing exigency in post pandemic ambience. However, the
higher rate of workforce in service sector is unfavorable for a developing country owing to its less
ability to escalate national income. It is important to encourage unemployed workforce to divide
among other sectors. Additionally, that report indicates that female, youth and educationally
qualified persons continued to remain unemployed despite the concerns of labour shortages across
many sectors. (Annual Report, CBSL) It is obvious that they are seeking white collar jobs. This system
must be uprooted to empower workforce to face any upcoming crisis in post COVID-19 arena. It will
remain as a precaution to minimize mismatch within labour force and workload to take maximum
advantage.
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Foreign Employment
Worker remittances play a significant role in upgrading the economy. The Annual Report confirms
that declining of departures has been observed since 2015 and it will continue in post COVID-19.
Additionally, in 2019, 85% of departures are for Middle East countries and it will decline due to
travel restrictions amidst the threat (Annual Report, CBSL,159 page) It is important to pay attention
on providing quality labour force for less affected countries. Similarly, the post pandemic workforce
will have to be prepared to cater for international labour demand by promoting professional and
semi-skilled labour.
Construction sector
Infrastructure oriented constructions have become an important interest in the country. It had been
ceased due to pandemic situation and now starting gradually with health-oriented measures.
Questionably, it is comprised with imported labour creating possible risk of arousing the controlled
hazard in post COVID arena. Local labour force lags behind due to inadequate vocational
qualifications. Simultaneously, the eligible workers had not been directed towards opportunities
which emerge the compulsion to import labour. Post pandemic era must accumulate solutions to
include the unemployed local workforce to the construction sector. It will reduce unemployment
and any other possible wave of pandemic within the country.
Conclusion
In conclusion, it is obvious that the recession’s socio-economic impact on behalf of workforce is high.
Sri Lankan workforce ahead COVID-19 hinges on the way they react to the new trends and
challenges amidst the health orientations. Agriculture, industries, services, foreign employment and
construction based labour force must be empowered with knowledge, awareness and opportunities.
It will support Sri Lanka to attain rapid financial recovery.
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References
Cbsl.gov.lk. 2020. Annual Report 2019|Central Bank Of Sri Lanka. [online] Available at:
<https://www.cbsl.gov.lk/en/publications/economic-and-financial-reports/annual-reports/annual-
report-2019> [Accessed 23 May 2020].
BBC News. 2020.Coronavirus: World Risks 'Biblical' Famines Due To Pandemic-UN. [online] Available
at: <https://www.bbc.com/news/amp/world-52373888> [Accessed 23 May 2020].
Sri Lanka News-Newsfirst.2020. Sevenagala Factory Of The Lanka Sugar Company Manufactures
Disinfectant. [online] Available at: <https://www.newsfirst.lk/2020/03/29/sevenagala-factory-of-
the-lanka-sugar-company-manufactures-disinfectant/> [Accessed 23 May 2020].
EconomyNext.2020. Sri Lanka Starts Shipping 200Mn Face Mask Made By Brandix To The United
States| Economynext. [online] Available at: <https://economynext.com/sri-lanka-starts-shipping-
200mn-face-mask-made-by-brandix-to-the-united-states-69968/> [Accessed 23 May 2020].
Appendix
Annual report of Central Bank Sri Lanka 2019
Sources: Department of Census and Statistics, Sri Lanka Bureau of Foreign Employment