COLOMBO, Sri Lanka – 30 August 2026 – In a move set to provide substantial relief to a vital segment of Sri Lanka’s agricultural workforce, the Department of Labour has officially announced a new special allowance for workers engaged in the cocoa, cardamom, and pepper growing and manufacturing trades. This decision, formalized through Gazette Extraordinary No. 2502/54 dated August 21, 2026, mandates a daily special allowance of Rs. 2080.94 for daily-paid employees in these sectors.
Addressing Cost of Living Pressures
The announcement, published by authority of the Commissioner General of Labour, H. M. D. N. K. Wataliyadda, comes under Section 20(2)(b) of the Wages Boards Ordinance (Chapter 136). It explicitly links the increase to the prevailing economic conditions and the Cost of Living Index Number.
According to the gazette, the Cost of Living Index Number for the aforementioned trades for June 2026 stood at 227.0. This index has been the basis for determining the special allowance payable for a normal working day in July, underscoring the government’s commitment to adjust wages in response to inflationary pressures and ensure a fair living wage for these essential workers.
Details of the Special Allowance
The Gazette Extraordinary details the specific provision:
- Trade Covered: The Cocoa, Cardamom, and Pepper Growing and Manufacturing Trade
- Class of Workers: Daily Paid Employees
- Special Allowance for a Normal Working Day: Rs. 2080.94
This significant daily allowance is expected to directly benefit thousands of workers whose livelihoods depend on these key spice and cash crop industries. The Department of Labour, based in Colombo 05, issued the notification, with the Commissioner General of Labour’s directive dated August 18, 2026, preceding the gazette’s publication.
Impact on the Plantation Sector
The introduction of this enhanced special allowance is a crucial step towards improving the socio-economic conditions of plantation workers in these specific trades. It reflects ongoing efforts to ensure that the dedication and hard work of those contributing to Sri Lanka’s agricultural exports are adequately compensated, particularly in the face of fluctuating market conditions and the rising cost of living.
Stakeholders in the cocoa, cardamom, and pepper industries will now need to ensure strict compliance with this new directive, which is effective for the month of July and subsequent periods as determined by the Wages Boards Ordinance.
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