In a world where capital is highly mobile and information is globally accessible, Sri Lanka finds it increasingly difficult to compete in the global market. Technology has brought about massive transformations and has led to restructuring and large-scale mergers and acquisitions. With access to larger workforces and significant resources, the developed and industrial countries could present various challenges to us. To remain competitive, it is important to enhance productivity and competitiveness of the people. The education and training infrastructure in place has not been able to fully equip Sri Lankans with the skills demanded by industry both locally and globally. Further, poor industrial relationships have hindered businesses and economic growth. As a response to this, the formulation of a draft National Employment Policy was undertaken to chart a clear plan for Sri Lanka’s human capital enhancement and development in the new millennium. Several initiatives formulated to achieve Sri Lanka’s vision for the development of human capital has been presented in this publication.