Female labor force participation (FLFP) is a key indicator of gender equality and economic development. Sri Lanka has made significant progress in gender equality, with high female literacy rates and educational attainment levels. However, FLFP in Sri Lanka remains low, at around 30–35% for the past two decades—well below the global average of 49.6%. The low participation rate poses both economic and social challenges, limiting women’s opportunities and depriving the economy of valuable human resources. This study aims to identify the factors affecting FLFP in Sri Lanka, analyze their impact, and propose strategies to increase participation. Using a mixed-method approach combining qualitative and quantitative content analysis of secondary data, the research identifies sociocultural norms and attitudes, lack of affordable childcare, workplace discrimination, and limited opportunities in female-dominated sectors as key barriers. The study concludes that FLFP in Sri Lanka is a complex issue shaped by interconnected social, economic, and institutional factors. Policy interventions addressing childcare, workplace equality, and sociocultural barriers are vital to enhancing female participation and promoting gender equality in Sri Lanka.