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Beyond traditional jobs: Why Sri Lanka needs to facilitate the gig economy

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Image courtesy Oxford University

by Kapila Chinthaka Premarathne
Head of the Department of Agricultural Systems and a Senior Lecturer in Agricultural Economics at the Faculty of Agriculture,
Rajarata University of Sri Lanka

Beyond the Graduate Unemployment Number

Sri Lanka’s economic recovery has improved macroeconomic stability, but youth unemployment remains a significant labour-market concern. Around 43% of Sri Lankan youth aged 15–24 with postsecondary education are unemployed, the highest among the Asian economies compared in the IMF analysis, compared with about 36% in Bangladesh and 13.2% in Thailand. This reflects a problem of skills mismatches and the difficulty of connecting higher education with changing labour-market demand. The concern goes beyond unemployment itself. Sri Lanka has invested heavily in educating its younger population, yet the conventional labour market is not creating enough opportunities to convert these qualifications into income. Many young people possess degrees, technical knowledge and growing digital familiarity, but remain outside formal employment because suitable jobs may not exist in the right place, at the right time or under conditions compatible with their circumstances. This makes it necessary to think beyond traditional employment models and explore new ways of connecting Sri Lanka’s educated youth with economic opportunities.

This is where Sri Lanka needs to reconsider how it understands employment

Employment has traditionally been viewed through the employer–employee relationship, with qualifications leading to a formal job and regular salary. While this model remains important, digital platforms are creating new ways to generate income, allowing individuals to work for multiple clients across geographical boundaries without permanent employment. Sri Lanka therefore needs to look beyond simply creating conventional jobs and consider whether it is building the conditions for its educated population to participate in the growing global market for digital services.

The Opportunity of the Gig Economy

The gig economy extends far beyond ride-hailing and delivery services. Digital platforms increasingly connect skilled individuals with opportunities in software development, design, accounting, data analysis, digital marketing, translation, online education, research and consultancy. This is particularly relevant to Sri Lanka, where a highly educated population faces a relatively limited domestic market for specialised skills. Digital platforms can overcome geographical constraints by connecting Sri Lankan workers directly with international clients.

As highlighted in my previous LSE South Asia article on women and the gig economy, such work should not replace formal employment but can create additional income opportunities when supported by appropriate skills, digital infrastructure, training and institutional support. A skilled person in Anuradhapura, Jaffna, Batticaloa or Monaragala could potentially serve clients in London, Melbourne or Dubai without first relocating to Colombo. This makes the gig economy relevant not only to employment but also to Sri Lanka’s emerging digital services-export strategy.

A Digitally Familiar Generation

Sri Lanka’s younger generation is growing up with smartphones, social media, online learning, digital applications and digital financial services, giving them a level of digital familiarity that previous generations did not have. However, digital familiarity does not automatically translate into digital employability. The challenge is to transform everyday digital use into productive skills such as data analysis, artificial intelligence, software development, digital marketing, financial analysis and online professional services.

Sri Lanka therefore needs to move young people from being consumers of digital services to producers of digital value. Universities, vocational institutions and training providers can play an important role in converting existing digital familiarity into marketable skills that connect young people with both domestic and international opportunities. This is increasingly important as technological change and AI reshape labour markets and intensify the need for skills that match emerging forms of work.

The Gender Dimension

The gig economy may be particularly relevant to women, who often face barriers to conventional employment arising from childcare, eldercare, mobility, social expectations and rigid working arrangements. For mothers and women living outside major urban centres, fixed working hours and daily commuting can make formal employment difficult even when suitable jobs exist.

Digital gig work can provide greater flexibility, allowing women to undertake professional assignments from home or their communities and potentially serve international clients without relocating. As discussed in my earlier LSE South Asia article, this opportunity is most meaningful when supported by digital infrastructure, skills training, virtual work hubs, mentorship and appropriate institutional support. However, flexibility should expand women’s economic choices rather than simply add paid work to existing unpaid household responsibilities.

Pressure on Labour-Market Opportunity

The value of a job cannot be judged by salary alone, as commuting, working hours and household responsibilities can significantly affect its real economic value. Flexible digital work can potentially reduce some of these costs by allowing people to work from home or nearby digital hubs and participate in employment on a part-time or project basis. While gig work cannot solve all household pressures, a more flexible organisation of work can create additional employment opportunities while helping households manage their limited time and resources more effectively.

A Possible Third Option Between Unemployment and Migration

Sri Lanka’s migration and brain-drain concerns highlight the need to explore employment opportunities beyond the domestic labour market. While overseas migration will remain an important individual and economic choice, digital work can provide another pathway by allowing skilled Sri Lankans to serve international clients without physically leaving the country. Software developers, designers, analysts, researchers, translators and consultants can potentially earn from global markets while remaining in Sri Lanka. Digital gig work cannot eliminate migration or reverse brain drain, but it can create an additional option between domestic unemployment and physical migration—working for the world while remaining in Sri Lanka.

Recognising and Making Digital Work Reputable

A major institutional gap is that conventional systems are designed around salaried employment, while a freelancer may earn from multiple clients without a single employer or salary certificate. This can make legitimate digital workers difficult to recognise when they seek loans, leasing, insurance or business finance. Sri Lanka could address this through a voluntary digital-worker or independent-professional registration mechanism, providing a recognised economic identity based on qualifications, verified skills, platform activity and documented income, without creating unnecessary bureaucracy.

Such recognition should also make digital income bankable. Banks could assess verified platform earnings, bank transactions, contracts, invoices, tax records, savings and repayment history alongside conventional employment documents. A standardised digital income statement could further help workers demonstrate their financial capacity. The key shift is from asking “Who is your employer?” to asking “Can your income be verified and is it sufficiently stable?”. This would allow successful digital workers to build financial credibility and use their earnings to access credit, acquire assets and develop their own businesses.

Digital Payments Are Part of the Labour Market

Access to reliable international payment systems is essential if Sri Lankans are to participate effectively in the global digital economy. Recent developments in PayPal’s local banking arrangements, including its partnerships with Sampath Bank and Commercial Bank, indicate progress in this direction. However, the broader priority should be a regulated and efficient digital-payment ecosystem that allows workers to receive international earnings, transfer them to Sri Lankan bank accounts, document their income and meet relevant financial and tax requirements with minimal friction. International payment infrastructure is therefore not simply a technology issue; it is an essential component of Sri Lanka’s emerging services-export economy.

Building Infrastructure Outside Colombo

Digital familiarity alone is insufficient without reliable internet, electricity, computers, software and suitable working environments, particularly in rural and underserved areas. To ensure that the gig economy supports regional development rather than becoming another Colombo-centred opportunity, Sri Lanka could establish regional digital-work hubs through universities, vocational institutions, libraries and public-private partnerships. These hubs could provide connectivity, equipment, training, mentoring and assistance with platform registration and international payments. If graduates must migrate to Colombo simply to access such infrastructure, the geographical advantage of digital work is significantly reduced.

From Freelancer to Entrepreneur

Gig work should not be viewed as an end in itself. A person may begin with small online assignments, develop regular clients and professional credibility, and eventually establish a small digital enterprise. This creates a potential pathway from graduate to freelancer, professional service provider and entrepreneur, allowing individuals to create markets around their own skills rather than waiting for conventional vacancies. Universities can support this transition by teaching students not only subject knowledge but also portfolio development, market identification, client communication, digital platforms and contract management. A degree demonstrates educational attainment, while a professional portfolio demonstrates what a graduate can offer to the market.

Facilitation Must Be Matched by Protection

Promoting the gig economy without appropriate safeguards could simply transfer employment risks from institutions to individuals. Digital workers may face uncertain incomes, weak bargaining power and limited social protection. Sri Lanka should therefore facilitate digital work while also ensuring opportunities for independent workers to build savings, access insurance and participate in portable social-protection mechanisms. Flexibility should create greater economic choice without compromising long-term financial security, particularly for women.

A regional Example from India: Think Globally and act Locally

India provides a useful regional example of how the gig economy can be approached as a policy issue rather than simply as informal or temporary work. NITI Aayog has estimated the size and future employment potential of India’s gig and platform economy and has developed recommendations covering employment generation, skills, financial inclusion and social protection. More importantly, India has begun creating institutional mechanisms around these workers. Its e-Shram portal provides a national database of unorganised workers, including gig and platform workers, creating a recognised identity through which workers can potentially access employment, skills development and social-security services. India has also explored platform-led skills development through skill certificates, skill passports and on-the-job training, while NITI Aayog has proposed cash-flow-based lending models that could allow platform workers to demonstrate creditworthiness through their earnings rather than conventional employment or collateral.

Social protection has also entered the policy framework. India’s Code on Social Security, 2020 formally recognises gig and platform workers and provides a basis for schemes covering areas such as accident insurance, health, maternity, disability and old-age protection. India is still developing and refining these arrangements, and Sri Lanka need not replicate the Indian model.

However, the experience demonstrates an important policy lesson: the gig economy can be supported through a system that identifies workers, develops their skills, makes their income more visible to financial institutions and extends appropriate social protection. Sri Lanka could develop its own simpler framework suited to its smaller economy, beginning with recognising digital workers and building the institutional conditions that allow their skills and earnings to become part of the formal economy.

Rethinking Employment and the Next Opportunity

The 43 percent figure for educated young Sri Lankans should encourage a wider discussion about the changing nature of work. Sri Lanka will continue to need conventional employment through firms, industries, farms, professional organisations and public institutions, but the changing labour market also requires new opportunities to connect educated Sri Lankans with global digital markets. The gig economy can provide an additional pathway to increase female labour-force participation, reduce the pressure for migration and brain drain, and connect Sri Lankan skills with markets beyond geographical boundaries.

This does not require a complicated bureaucracy. It requires recognising legitimate digital workers, facilitating access to international platforms and payment systems, allowing verified digital income to support credit assessment, developing portable social protection, and strengthening digital infrastructure and skills beyond major urban centres. Better data on digital workers would also help policymakers develop evidence-based interventions.

The future of work is therefore not only about creating more jobs, but about creating more ways for Sri Lankans to work, earn and build livelihoods while continuing to live and contribute in Sri Lanka. The gig economy should be recognised as part of an emerging digital labour market and services-export economy, where workers can build professional identities, earn internationally, access finance and eventually develop their own enterprises.



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Features

Eastern University and the making of a culture of peace

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by Jehan Perera

There is an important change in the way peace is being understood in Sri Lanka. The notion that peacebuilding is not simply the responsibility of governments, politicians and peace organisations, but is also a responsibility of educational institutions, appears to be permeating the consciousness of at least a section of the academic community. This was visible on International Peace Day at an event held at Eastern University by the Faculty of Health-Care Sciences. The event was unusual not least because the medical and nursing faculty of the university had decided that peacebuilding was relevant to its academic and professional responsibilities.

Peacebuilding has too often been treated as something undertaken after conflict, when the fighting has stopped and the immediate task is to rebuild relationships between communities. But peace cannot be sustained by governments and peace organisations alone. If it is to become long lasting, the values and practices of peace have to become part of the institutions through which a society educates its younger generations. Universities and other educational institutions are therefore important to peacebuilding. They are among the places where the foundations of a culture of peace can either be built or neglected.

The experience of the Faculty of Health-Care Sciences at Eastern University provides a practical example of what this can mean. Led by its Dean, Prof Thillainathan Sathaananthan, the faculty organised an event which went beyond the ordinary academic scope of a medical faculty. University academics are experts in writing project proposals and applying for research grants. On this occasion, the members of the Faculty of Health-Care Sciences used those skills to apply for a UNESCO grant that they won to conduct an International Peace Day event. The significance lies less in the Rs 200,000 grant than in the decision to use the university’s institutional capacity and resources to invest in peacebuilding. The event at Eastern University needs to be understood as more than a successful university programme. It represents a possible paradigm shift in peace thinking.

Institutional Commitment

The Peace Day event obtained the support of the university administration, including Vice Chancellor Prof P Peratheepan, and reached out to secondary schools in the vicinity to mobilise their attendance. The event itself was meticulously organised. There were cultural items including traditional and modern dance and song in the three languages, performed by combinations of solo, duet and multiple singers, dancers and actors drawn in part from nearby secondary schools. There was a panel discussion by senior academics on the general theme of peacebuilding and how to prepare for it. A discussion among the students followed, where each student spoke on behalf of a religion that was not theirs. This is significant because peacebuilding cannot remain an idea discussed by specialists at conferences. It has to become part of the way institutions educate and prepare people for life in a plural society.

The Faculty of Health-Care Sciences at Eastern University has provided a model through its Peace Medicine course modules that were introduced to the curricular as a compulsory core course over 10 years ago. Two senior academics, Dr Kuveriel Eliyas Karunakaran and Dr Thillainathan Sathaananthan, have written a book on “Peace Medicine- A Health Care Concern” that was published five years ago. Its Peace Medicine Module integrates principles of medical ethics, compassion, equity, social justice and community engagement into health education and practice. In his introduction, former Vice Chancellor of Eastern University, Prof T Jayasingam noted “This book is an introduction to a theme which had already been operating in the Faculty of Health Care Sciences as a course.”

Doctors, nurses and health workers know better than anyone the harm that war and violence does. They are the people who treat the wounds and trauma that violence leaves behind. In a hospital, a patient is not asked what their religion or ethnicity is before they are treated. Health care is one of the places where peace is practised every day. The Faculty has therefore found a way of connecting its professional responsibilities with the wider social responsibility of peacebuilding. The question is whether this experience can be replicated throughout the country, at universities and at other educational institutions, so that peacebuilding becomes part of the consciousness of education itself. If that happens on a sufficient scale, it can begin to generate a culture of peace that becomes increasingly difficult to reverse.

Local Action

The Eastern University event corresponded closely to the United Nations theme for this year’s International Day of Peace, “Invest in Peace – For Everyone, Everywhere, Every Day”, which honours the “everyday architects of peace”, people driving local action, laying the groundwork for stability and building lasting peace from the ground up. The emphasis on investment is important. An investment means that something is put in: time, courage and resources. There is no more violent conflict in Sri Lanka today. But the absence of war does not automatically produce a culture of peace. The factors that fed the country’s conflict have not disappeared from the world. Racism, corruption and the violation of laws and human rights are the raw materials of conflict. So too are unresolved grievances, discrimination and the failure to recognise the suffering of others.

A country that does not deal with its past does not escape it. The past can return in the next generation. This is why the experience of Eastern University needs to be replicated countrywide, both at universities and at other educational institutions. The objective should not be to turn every academic discipline into peace studies. Rather, peacebuilding needs to become part of the consciousness of education itself. Eastern University shows that a medical faculty can develop Peace Medicine. A law faculty can examine the relationship between justice, rights and peace. Faculties of education can prepare teachers to work in diverse communities, while the humanities and social sciences can examine the different narratives through which communities understand their histories. Every institution can find its own way of making peacebuilding relevant to what it teaches.

Sri Lanka has had many declarations, pledges and programmes in the past. What matters is whether these produce changes in behaviour and institutional practice. Peacebuilding requires confronting difficult issues rather than avoiding them. It requires respect for different identities, but also engagement across those identities. It requires dealing with grievances in the present while also addressing unresolved issues from the past. It requires truth, accountability, reparations and guarantees of non-recurrence. It requires people to learn that the rights of another community do not diminish their own rights. The International Peace Day event at Eastern University was evidence of a change in the way at least some academics in a part of the country deeply affected by war are thinking about their responsibilities. Peace needs to be invested in and the most important investment will be in the minds of those who will inherit the future.

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Quality assured education commodities

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by Ahilan Kadirgamar

I have always noticed the little paper tags that are inside the packaging of some products that say quality assured or quality control. I often wonder who might have checked the product and stamped that tag, but I also forget the tag soon enough. Decades later, when I entered academia, I was taken aback by the emphasis placed on quality assurance in our universities. It is not something that could be forgotten and done away with; the entire university system is obsessed with quality assurance.

Beginning with the staff induction programme, quality assurance is drilled into the newly recruited lecturers. It is the norm, not seen as doing any harm and only trying to improve quality. It is accepted as given, and not questioned. Quality Assurance Cells and Committees are omnipresent and hover above the Departments and, at times, even the Faculty Boards. Quality Assurance reviews are feared by the Deans and Vice Chancellors. University life itself seems secondary to the rule of quality assurance. What do we make of this system of quality assurance and what are its implications for our university system?

Corporate speak

Universities globally have been going through major changes with neoliberal education policies. In many countries, universities increasingly became corporatised to be run like businesses in the 1980s. As state support for universities declined, cost cutting became the norm. They started hiring adjunct or part-time staff. Many public non-fee levying universities around the world began to charge fees. Decade by decade, tuition fees became more and more exorbitant, forcing students to take student loans. The total student debt in the United States now stands at close to US$ 2 trillion; which is about 20 times the GDP of Sri Lanka. As the higher education landscape transformed in the West, university administrations began to recruit Presidents, Vice Chancellors and administrative officials with corporate backgrounds and experience.

Such corporatisation of universities in the West has since been imported into countries like Sri Lanka, introducing a new corporate vocabulary, including quality assurance, graduate competencies, programme outcomes, intended learning outcomes, etc. University teaching has become secondary to documenting so-called outcomes. The teacher-student relationship, the environment of the lecture hall and even administering the university have been over-determined by the processes of ensuring quality. How did such major changes come about in such a short time? Indeed, academics of just two generation ago, would never have heard of these terms and processes in the Sri Lankan university system.

World Bank Trojan horse

Since the early 2000s there have been a number of World Bank projects that have drastically changed the character of Sri Lankan universities. Quality assurance as a central agenda within universities, and many other changes to the working of our universities, came through these World Bank initiatives. The Improving Relevance and Quality of Undergraduate Education (IRQUE) project and Higher Education for the 21st Century (HETC) project were two such earlier projects that set up the Quality Assurance and Accreditation Unit (QAAU) under the University Grants Commission (UGC) and established systematic quality assurance reviews for state universities. The public often thinks these are grants from the World Bank to modernise our universities. However, they are not grants but loans.

The most recent such project, Accelerating Higher Education Expansion and Development (AHEAD) is a US$ 100 million loan from the World Bank implemented from 2018 to 2023, which consolidated the quality assurance structures from the earlier projects. Furthermore, these projects are implemented with tremendous arrogance, prioritising their implementation over all other concerns in the universities, when the project over six years for example accounts for just one fourth of our budget allocation for universities this year.

The AHEAD project drastically changed course curricula, sought to increase student enrolment in science, technology, engineering, mathematics (STEM) disciplines, commercialise the university research agenda and create university-business linkages. All of this was pushed to supposedly help us face development challenges. We have heard the ideological attack on our universities and even students claiming they are “unemployable graduates”. These changes to our higher education system were supposedly going to create jobs and increase employment.

The irony of the AHEAD project is that just as it was ending in 2023, apparently after having reached its targets, the Sri Lankan economy was collapsing. The World Bank often gets the direction of causality wrong. It is the economy that creates jobs for graduates, and not the training or kind of graduates that create jobs. It is decades of World Bank policies, and those of its ideological twin the IMF, that have led to such high youth unemployment, not only in Sri Lanka but also in many other countries in the global South.

Sri Lanka entered an IMF agreement in March 2023 and started a new Country Partnership Framework with the World Bank in June 2023. These programmes have little to say about, and actively discourage, government initiatives that aim to create an industrial policy or an employment creation policy. Instead, they push for austerity measures, which not only restrict the allocation for education among other sectors, but also end up contracting the economy to the detriment of increasing employment. Their goal is the commercialisation of higher education, to make universities into businesses and run them like factories.

In this context, the ideology of quality assurance is powerful. The International Organisation for Standardisation (ISO), whose different standards are necessary for marketing, is the institution that came up with the concept of “quality assurance”. It promoted quality assurance as a process of identifying defected products. Therefore, when the World Bank promotes this conceptual framing, our students are, in fact, seen as products on the assembly line, with quality assurance processes aiming to prevent the release of defected products from the university system. For the US$ 100 million we borrowed for the AHEAD project and the many more million dollars in similar World Bank projects, there is no evidence of increased employment of graduates.

Commodity fetishism

Over a century and a half ago, Karl Marx critiqued the economic analysis prevalent at that time that associated some inherent or monetary value for commodities without considering the social relations that underlie the production of those commodities. Marx called this commodity fetishism. Furthermore, he theorised that such commodity fetishism was also a reason for the alienation of human beings from the world. If our labour and what we produce is seen devoid of the social relations that underlie them, we lose our connection with the people and the world. In this process we become alienated from what we produce and the world.

We are now in a world where our students themselves are fetishised as commodities for the market. Universities are no longer communities concerned about knowledge and human growth, but mere factories producing commodities, which have to be produced without defects to be marketed. In this way, quality assurance has become the cause for the alienation of students, academics and our universities themselves, from the larger relationship with our economy and society.

Our university system does need reform. It is grossly underfunded and not providing the financial support and facilities for our students. Universities have become hierarchical spaces without the academic freedom and democratic ethos necessary for producing knowledge. Academics and students need to engage more with their communities to make their learning and research meaningful, not to mention their contribution to and integration with society. However, when it comes to even questions of governance and regulation of the universities, such concerns are merely reduced to improving quality. In our contemporary times, this singular focus on quality assurance, as opposed to addressing the larger structural issues, is crippling our universities. There may be no way out, but to put back quality assurance where it started, those little tags on goods, to perhaps be noticed but quickly forgotten.

Ahilan Kadirgamar is a political economist and Senior Lecturer, University of Jaffna.

(Kuppi is a politics and pedagogy happening on the margins of the lecture hall that parodies, subverts, and simultaneously reaffirms social hierarchies)

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Thailand’s biggest new global star …

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The entertainment scene, globally, is agog with excitement, and, why not!

Yes, a new global star has emerged … from Thailand, and she hit the headlines by winning America’s Got Talent.

Rattikarn Amloy, known to millions by her stage name Nene Royal, was crowned the winner of America’s Got Talent (AGT) Season 21 at the live finale at Pasadena Civic Auditorium, California, taking home the USD 1 million grand prize.

The 16-year-old rocker, from the holiday island of Phuket (I’ve been to Phuket, courtesy Tourism Authority of Thailand), has struck a power chord around the world, and is the first Thai national ever to win the hit NBC show.

She beat nine other finalists, including runner-up magician Geno Ploeger, after a blistering final performance.

Nene’s story is pure rock and roll fairy-tale. She says she picked up a guitar at age seven, fell in love at the first chord, and taught herself mostly by watching videos online. That dedication earned her a music scholarship to Kajonkiet International School Phuket.

Her audition at America’s Got Talent — a swaggering, shredding rendition of The Cranberries’ classic ‘Zombie’ — exploded online, amassing over 200 million views across AGT’s platforms, more than any act this season.

She kept wowing: ‘Hysteria’ by Muse, then ‘Black Hole Sun’ by Soundgarden which earned her Spice Girl Mel B’s Golden Buzzer, sending her straight to the live shows.

For the final, she unleashed ‘Seven Nation Army’ by The White Stripes. Judge Howie Mandel shouted: “You should win. Give her the million, America.” Mel B praised her “mysterious, mystical stage presence”.

And for the grand finale, she lived every teen rocker’s dream — performing on stage, alongside US rock giants Linkin Park.

When host Terry Crews announced her as winner, the teenager collapsed to the stage floor in tears. “I’m very happy and you know I’m emotional right now,” she said.

And Thailand erupted. Her school held watch parties, posting: “You did it, congratulations, champion. We are so proud of you.”

Even Prime Minister Anutin Charnvirakul sent a personal congratulation. He had earlier hosted Nene at Government House in July, where she played guitar while he sang a Thai rock song. His office said her talent “brought pride to Thai people.”

Corporate Thailand also rallied behind her — Charoen Pokphand Foods, owned by billionaire Dhanin Chearavanont, even rented a giant billboard in Times Square, New York, to cheer her on.

With her blistering guitar solos, rock-ballad shrieks and fearless spirit, little Nene Royal has just become Thailand’s biggest new global star.

What’s more, this amazing teenager will be bringing her powerful vocals, guitar skills and signature rock-metal style to the stage, as opening act, before one of the world’s biggest rock bands, America’s Avenged Sevenfold, in Singapore, on 13 October.

Unfortunately, we are still to see a local artiste, grab the spotlight, on a global scale … like Thailand’s Nene.

Yes, they do shine, but mostly on social media, and that, too, with the aid of AI (Artificial Intellegence).

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