Earnings inequality in sri lanka

This paper addresses the question of how greater equality by gender and race/ethnicity in the distribution of earnings would affect earnings inequality in Sri Lanka. The decomposition exercise of male-female earnings indicates the significant extent to which the gender disparity in earnings represents ‘discrimination’ against women. The findings showed that men had higher average earnings that attributed fully to discrimination in favour of male earners. Despite commendable achievements in social indicators, it is imperative to address persistent ethnic and gendered inequalities in order to maintain social and political cohesion.