Who is covered by the Shop and Office Employees Act?

Employees in or about the business of a shop or office: retail staff, clerical and administrative staff, hotel and restaurant staff, bank staff and most private-sector office employees. Factory production workers are usually under a Wages Board instead.

What are the maximum working hours under the Act?

Eight hours a day and 45 hours a week, exclusive of meal intervals, with a maximum of 12 hours of overtime a week paid at one and a half times the hourly rate.

What records must a shop or office employer keep?

A register of employees with hours worked, overtime, leave and holidays, and remuneration paid, in the prescribed forms, kept at the workplace and available to Labour officers.

Can women work at night in an office?

Only under the conditions set by the amending Acts: with consent, not more than a set number of nights a month, with transport and other safeguards, and subject to the Commissioner's requirements.

Shop and Office Employees Act: hours, overtime, leave, holidays and records explained (2026)

A working summary of the Shop and Office Employees (Regulation of Employment and Remuneration) Act No. 19 of 1954 for employers: who it covers, hours of work, overtime, weekly and statutory holidays, leave, the payment of remuneration and the records you must keep.

Last updated 16 September 2026 by HR Community Editorial

Key facts

Act: Shop and Office Employees (Regulation of Employment and Remuneration) Act No. 19 of 1954, as amended
Covers: Employees of shops and offices: clerical, administrative, retail, hotels, restaurants, banks, and most private-sector office staff
Normal hours: 8 a day, 45 a week, excluding meal intervals
Overtime: 1.5 times the hourly rate; maximum 12 hours a week
Weekly holiday: 1.5 days with pay after 28 hours worked in the week
Annual leave: 14 days from the second year; pro-rated by quarter in the first
Casual leave: 7 days a year
Payment of salary: Within 10 days of the end of the wage period
Night work by women: Restricted between 6 p.m. and 6 a.m. except as permitted, with conditions

The Shop and Office Employees Act is the statute most Sri Lankan private-sector employers live under. It governs hours, overtime, holidays, leave, the timing of salary payments and the records an employer must keep for anyone employed in a shop or office. This guide is a working summary; the Act and its regulations are the authority.

Who is covered

Any person employed in or about the business of a shop or an office. "Shop" includes retail and wholesale premises, hotels, restaurants, hairdressers and similar. "Office" includes the administrative, clerical and professional premises of any business, bank or institution. Managers and executives are covered too; there is no salary ceiling.

Not covered: employees whose trade has a Wages Board decision (they fall under the Wages Boards Ordinance), factory production staff (Factories Ordinance and Wages Boards), and public servants.

Hours of work

Rule	Limit
Normal hours	8 a day, 45 a week
Meal interval	At least 1 hour after 4 hours' work (half an hour for a shorter shift, per regulations)
Overtime	Up to 12 hours a week
Overtime rate	Not less than 1.5 times the hourly rate
Spread of hours	Work must fall within the hours prescribed for the class of shop or office

The hourly rate is the monthly remuneration divided by 240 in accepted practice. See the overtime guide.

Holidays

Every employee who has worked at least 28 hours in a week is entitled to one and a half days' holiday with full pay in that week. Every Full Moon Poya day and every gazetted public holiday is a paid statutory holiday. An employee required to work on a statutory holiday is entitled to double pay for the day, or ordinary pay plus a paid holiday on another day within six months.

Leave

Type	Entitlement
Annual leave	14 days from the second year; 14, 10, 7 or 4 days in the first year by quarter of joining
Casual leave	7 days a year; half a day per month in the first year
Maternity leave	84 working days (first and second child), 42 (third and subsequent), per the amendments

Full details are in the leave entitlements guide.

Payment of remuneration

Remuneration must be paid within ten days after the end of the wage period, in legal tender or by bank transfer with the employee's consent. The employer must give a written statement of the remuneration and every deduction. Deductions are limited to those authorised by law (EPF, APIT, court orders) and those the employee has agreed to in writing for specific purposes; the total of authorised deductions other than statutory ones may not exceed a set proportion of remuneration.

Employment of women and young persons

The Act restricts night work by women between 6 p.m. and 6 a.m. except under the conditions in the amending Acts: written consent, a cap on nights per month, transport and welfare arrangements, and notice to the Commissioner. Young persons under 18 have separate restrictions on hours and night work. Employment of children under 16 is prohibited.

Records and notices

Employers must keep, in the prescribed forms:

A register of employees with names, dates of joining, designation and remuneration
Daily records of hours of work, overtime, meal intervals and holidays
Leave records showing entitlement, leave taken and balance
A record of remuneration paid and deductions made

Records must be kept at the workplace, retained for the prescribed period and produced on demand to Labour officers. A notice of the hours of work and holidays must be displayed at the workplace. Most payroll and attendance software produces these registers; check that the format matches what the Labour Department accepts.

Termination

The Act itself does not govern dismissal; that is the Termination of Employment of Workmen (Special Provisions) Act for employers with 15 or more workers, and the Industrial Disputes Act. On termination for any reason the employee is entitled to accrued annual leave pay and, if eligible, gratuity.

Penalties

Contravention of the Act is an offence punishable by fine, with continuing offences attracting daily penalties. Labour officers inspect shops and offices and can require production of records and payment of arrears of remuneration or overtime.

Employer checklist

Rosters keep within 8 hours a day, 45 a week and 12 overtime hours a week.
Weekly holiday of 1.5 days after 28 hours worked.
Holiday work paid double or compensated with a paid day off within six months.
Annual leave pro-rated correctly in year one.
Salaries paid within 10 days of period end with a written payslip.
Registers of hours, leave and remuneration kept at the premises.

Frequently asked questions

Who is covered by the Shop and Office Employees Act?: Employees in or about the business of a shop or office: retail staff, clerical and administrative staff, hotel and restaurant staff, bank staff and most private-sector office employees. Factory production workers are usually under a Wages Board instead.
What are the maximum working hours under the Act?: Eight hours a day and 45 hours a week, exclusive of meal intervals, with a maximum of 12 hours of overtime a week paid at one and a half times the hourly rate.
When must salaries be paid under the Act?: Within ten days after the end of the wage period, in legal tender or by bank transfer with the employee's consent, with a written statement of remuneration and deductions.
What records must a shop or office employer keep?: A register of employees with hours worked, overtime, leave and holidays, and remuneration paid, in the prescribed forms, kept at the workplace and available to Labour officers.
Can women work at night in an office?: Only under the conditions set by the amending Acts: with consent, not more than a set number of nights a month, with transport and other safeguards, and subject to the Commissioner's requirements.