This study describes different uncertain, insecure and unstable working arrangements experienced by workers in Sri Lanka. Findings show that most informal sector workers experience precarious employment. The main types of precarious workers are temporary or contractual workers who work in the formal sector. Faced with competition, and in their attempts to cut costs and increase productivity, employers pressure workers to produce better goods, faster. Also, to adjust the workforce to meet the fluctuating demand in the market at lower cost, workers are given temporary or contractual contracts, so that their work is easily discontinued. The insecurities and instabilities of these workers come from several sources. First, they are deprived of some of the protection afforded by labor legislation because they do not have a permanent contract, and they have to constantly look for alternative work. Second, the intense nature of the work they are exposed to can increase their risks to different adverse health conditions. Poor health or lack of a permanent job can adversely affect their income earning potential. Third, being temporary workers, they have fewer interactions with labor unions. Better information on the size and trends in precarious employment need to be systematically collected so that policy makers are better informed on the issues relating to precarious work in Sri Lanka and can initiate informed initiatives to improve the situation.