The Labour, Employment and Human Resources Development Unit of IPS conducts rigorous policy analysis of Sri Lanka's labour markets, issues relating to labour and employment in the country, and the development of marginalized populations. The Unit's research programme examines the complex problems resulting from Sri-Lanka's structural adjustment policies, assesses the consequences of a large informal sector, and makes policy recommendations that help resolve the disturbing paradoxical trend of labour shortages on the one hand, and high unemployment in some segments---- especially among the youth, the educated and women---- on the other. While the unit advocates the urgent need to plan human resource development in the country on the supply side, and, on the demand side, to promote employment generation in better quality jobs that take advantage of the changing technological and global environment, it also deals with the different aspects of income and social security and welfare for marginalized populations in the context of Sri Lanka.