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MCTU calls out govtover high cost of living

Malawi Congress of Trade Unions (MCTU) has urged government, through the Ministry of Labour, to promptly convene a Tripartite Labour Advisory Council (Tlac) which should explore measures to address the high cost of living which has hit workers hard.

A statement dated August 29 2024, co-signed by MCTU president Charles Kumchenga and general secretary Madalitso Njolomole, says as of July 2024, the high cost of living has impacted severely workers who can hardly afford basic necessities.

“The steep rise in prices for necessities like food, housing, healthcare and transportation has placed immense financial strain on households nationwide.

“Workers are finding themselves allocating a larger proportion of their income towards essential expenses, leaving minimal room for savings, investment,” reads the statement.

The umbrella body for trade unions further says it is disheartening to note that some employers are not complying with the set national minimum wage and are still offering their workers lower pay than expected.

MCTU has attributed the growing trend to a lack of labour inspection tours by various government ministries, departments and agencies (MDAs), resulting from a lack of funding or delayed disbursement of resources for operations.

“MCTU would like to remind government through the Ministry of Labour to always adhere to implementation of Tlac recommendations, for instance, on enforcement and implementation of labour inspections.

“It is against this background that MCTU calls upon government to ensure full and timely disbursement of funds to MDAs to ensure that they achieve their core functions,” further reads the statement.

Ministry of Labour spokesperson Nellie Kapatuka was yet to respond to our questionnaire by press time yesterday.

A June 2024 Business News analysis by our sister newspaper The Nation based on Centre for Social Concern (CfSC) data showed that the cost of living in Malawi has jumped by about 36 percent within a year, beating the country’s inflation rate at 32.7 percent.

Consequently, the monthly living expenses for a typical Malawian household of six people has surged from K386 000 to K522 000.

Notable price increases have been observed in essential commodities such as maize, beef, fish, chicken, charcoal, soap and transport costs, particularly minibus fares.

However, although government increased the general minimum wage by 80 percent from K1 923.08 per day or K50 000 per month to K3 461.54 per day or K90 000 per month, the new wage still falls short of the amount of money needed to afford a basic life for an average family of six.

For those in employment, the year has been mixed, with random interviews showing that most are failing to make ends meet.

However, on average, salary increments for most sampled employees have averaged 15 percent during the review period.

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