Ministry of Labour, Skills and Innovation has moved to revise the minimum wage by soliciting input from stakeholders, with Truck Drivers Union of Malawi (TDUM) demanding K600 000 as take-home pay.
In a letter dated January 16 2026 with the subject ‘Request for position papers on minimum wages’, the ministry’s Principal Secretary Nwazi Mnthambala said the ministry was seeking the input in line with Section 54 of the Employment Act of 2000 upon noting that “the factors that trigger a review of the minimum wage have been met”.
The ministry set a January 21 2026 deadline for submission of the inputs.
In separate interviews yesterday, the Malawi Congress of Trade Unions (MCTU) and Employers Consultative Association of Malawi (Ecam) acknowledged receipt of the ministry’s request and said they were seeking input from their members. However, both acknowledged that the call was timely in the operating environment.
On the other hand, TDUM vice-president Francis Mkandawire said they were ready with their proposal and justified it given the rising cost of living.
“During the last review, TDUM proposed K500 000 minimum wage. With the current economic situation our expectation is for a wage of not less than K600 000,” he said.
MCTU president Charles Kumchenga yesterday said the union was sourcing information from affiliates before making its submission.
He said the wage has to be adjusted considering changes in economic fundamentals since the last adjustment in June 2025.
Kumchenga highlighted the increase in fuel prices, electricity tariff, rent, public transport charges and value-added tax (VAT) as some of the factors affecting employees.
“Whether we want it or not, the minimum wage has to be adjusted. But as to what level, we are yet to come up with a figure,” he said.
Transporters Association of Malawi spokesperson Frank Banda said in an interview yesterday the transporters in the dry cargo sector have been struggling to make profits due to absence of a minimum transport rate.
He said: “Wages come from the transport rate which a transporter is receiving. For the government to have uniform wages in the transport sector, there has to be uniform minimum rates for us to have a base. Therefore we have advised them to bring minimum rates so that we can discuss the wages.”
In a separate interview, Ecam executive director George Khaki agreed that a review of the minimum wage is timely but said economic factors such as inflation, shortage of foreign exchange and the depressed aggregate demand for goods and services need to be taken into account.
He said: “So while there is need to review the minimum wage, there should also be consideration of the economic environment in which companies are operating.”
Khaki further said Ecam was still consulting on its position and could not provide information on the proposed percentage.
During the last review, the government set K328 300 per month for international drivers and K234 500 per month for local truck drivers above 30 tonnes while drivers for trucks below 30 tonnes, the minimum wage was set at K140 700 per month.
In October 2025, MCTU proposed a 100 percent increase in the general minimum wage which stands at K126 000 per month for employees in formal employment and K72 800 for domestic workers.
Centre for Social Concern (CfSC) data show that the national average cost of living increased sharply to K938 841 in December from K871 175 in November due to rising food taxes and increased VAT.
In the 2025/26 Mid-Year Budget Review, Minister of Finance, Economic Planning and Decentralisation Joseph Mwanamvekha announced an increase in VAT from 16.5 percent to 17.5 percent, a six percent jump,
The minister further announced that the Malawi Revenue Authority will now be collecting rental income on residential property.
This week, the Malawi Energy Regulatory Authority has approved a 12 percent electricity tariff increase and a hike in fuel pump prices by an average of 41.6 percent.
National Statistical Office data show that the annual average year-on-year inflation rate for 2025 stood at 28.4 percent, down from 32.2 percent recorded in 2024.
When contacted yesterday, Ministry of Labour, Skills and Innovation spokesperson Tabbu Kitta Kauye said the ministry continuously engages with key stakeholders in the labour market in pursuit of decent work for all and the development of a skilled and productive workforce.
“Such engagements are consultative in nature and form part of routine processes through which the ministry gathers views and evidence on labour-related matters,” she said.
Last year, the minimum wage was increased by 40 percent from K90 000 to K126 000 per month while the rate for domestic workers went up from K52 000 to K72 800 per month and that of micro-enterprises increased from K75 000 to K105 000 per month.
