IFC, Women in Management, Diversity Collective Lanka foster respectful workplaces across SMEs

A new partnership between the International Finance Corporation (IFC), Women in Management (WIM), and Diversity Collective Lanka (DCLK) aims to empower small and medium-sized enterprises (SMEs) in Sri Lanka with the tools and knowledge needed to create safer, more respectful work environments.

A first-of-its-kind partnership, this program will empower WIM and DCLK Respectful Workplace practitioners to train SMEs in cultivating environments of respect and dignity, with a strong focus on combatting gender-based violence and harassment (GBVH). The tailored program covers areas such as safe reporting mechanisms, prevention-focused education, and organisational accountability.

Despite the significant economic contribution of SMEs – which account for approximately 52% of Sri Lanka’s GDP – the share of women-owned SMEs remains relatively low, at around 25%. While access to finance remains a key growth constraint for women-led SMEs, GBVH – which comes in many forms from physical and emotional violence to financial abuse – is another significant barrier that limits women’s productivity and hampers their active participation in the economy. Domestic violence, specifically, can severely affect the physical and emotional well-being of women, leading to absenteeism and reduced productivity.

“The economic impact of gender-based violence is profound and far-reaching. It not only affects individual lives but also stifles broader economic stability and growth. By fostering a culture of respect and safety, businesses can improve employee wellbeing, enhance productivity, and contribute to broader social change,” said World Bank and IFC Sri Lanka Country Manager Gevorg Sargsyan. “With SMEs being a major growth generator for economic stability in Sri Lanka, enabling a work culture that fosters respect, empathy, and trust is pivotal. The IFC’s Respectful Workplaces partnership will empower businesses to address GBVH, promoting safer workplaces that spark innovation and drive productivity, contributing to sustainable economic growth.”

Globally, the IFC has introduced a suite of tools that provides private sector organisations with guidance on fostering respectful workplaces beyond basic compliance. This resource is part of the IFC’s strategy to share knowledge and good practices, enabling companies to take proactive steps in preventing workplace violence and harassment.

WIM Sri Lanka Chairperson Sulochana Segera said: “Tackling GBVH in businesses goes beyond being a moral and ethical responsibility – it also brings substantial economic advantages, particularly for women-led SMEs. Addressing these issues fosters a safer, more respectful, and productive work environment, which is crucial for business growth and long-term success. This unique program will equip WIM trainers with the knowledge and tools to promote respectful workplaces within small businesses, enhancing employee wellbeing, boosting productivity, and cultivating an inclusive work environment.”

DCLK President Bani Chandrasena said: “DCLK is honoured to be a part of the IFC’s Respectful Workplaces partnership, which we believe will be instrumental in fostering an inclusive work environment for SMEs in Sri Lanka. We aim to connect SMEs with the DCLK certified practitioners, mental health hotlines, and other experts to learn and grow, creating meaningful impact across the value chains.”

The SME-focused training is part of a broader series aimed at equipping businesses with effective strategies for combating GBVH. 

In August 2024, a training program promoting respectful workplaces across businesses and corporates in the private sector was launched. This initiative aims to reach 100 companies serving at least 20,000 employees across the country.

SMEs that are interested in enrolling in the program can reach out via [email protected] or [email protected].