Minimum wage stirs panic
With a monthly salary of less than K350 000, primary school teacher Jacob Simika can no longer maintain his domestic worker.
The Blantyre-based father of four has made the decision following the recent minimum wage adjustments which have seen domestic workers’ perks jump from K52 000 to K72 800 per month.

“The financial demands have just become so huge,” he said.
“Already, I struggle to make ends meet.”
Simika would rather discuss with his wife how best they can manage their home without a domestic worker than add bills to their already-strained budget.
The situation cements fears the Malawi Council of Churches (MCM) and Centre for Social Concern (CfSC) expressed that more domestic workers will be laid off because the 40 percent minimum wage adjustments does not correspond with recent salary adjustments for formally employed citizens amid a volatile economy.
He said: “The budget for groceries alone, including a K45 000 salary for the maid, surpasses half my monthly income. This means if I have to adjust the maid’s salary, even if it will not correspond to the recommended wage, I will be hurting myself.”
CfSC data show that the average cost of living for a family of six as of February was K845 561, meaning for someone like Simika, he falls short by over K500 000 a month.
And the part-time classes he teaches cannot sustain him to the next pay day.
“I survive by God’s grace,” he said.
Esnart Paligowe of Ndirande Township, a maid in Kanjedza Township, is gripped with uncertainty and fear.
“I am not sure whether to be happy about the new minimum wage or not. I have a strong feeling my employer might fire me,” she said.
The single mother of two, who has been receiving K35 000 monthly for the past two years, fears she will be stranded if her employer decides to let her go.
The Form Four dropout partlyunderstands the current economic hardships; hence, the conviction of a possible job loss.
In a separate interview, Sam Moyo from Lilongwe’s Area 47, a banker working with one the commercial banks, said the new recommended wages do not align with people’s economic statuses.
“We are not getting enough already to enable us to adjust salaries for our domestic workers. Maybe had the government consulted first before adjusting the wages, that would have been ideal,” he said.
Similar sentiments were also expressed by another primary school teacher, Loyce Tembo from Lilongwe, who described the adjusted wages as unrealistic even for the working class.
“It simply means we are okay to live without maids because in all honesty, we cannot manage to pay them these new wages,” she said.
Both employers and domestic workers are in a dilemma over the minimum wage amid the economic challenges.
But despite government effecting wage adjustments in previous years, workers have been getting far much less than the recommended wages.
This was also a violation of the Employment Act which prescribes a K50 000 fine and a 10-year-prison sentence for employers who flout the law.
In an interview on Wednesday, Minister of Labour Peter Dimba said government is committed to enforcing the minimum wage.
He said once the minimum wage has been set, it becomes law.
Dimba said: “Minimum wage is not subject to abatement. Any employer who pays below the minimum wage would be violating the law and shall face the long arm of the law. Violating this law can attract up to 10 years imprisonment.”
He said government will use inspection as one of the tools to ensure full compliance.
During the two-day Public Affairs Committee (PAC) Sixth All-Inclusive Stakeholders Conference held from May 20 at Sunbird Mount Soche in Blantyre, MCM board chairperson the Reverend Billy Gama said the new wages do not balance with employers’ salary adjustments.
In his contribution during a plenary session, Gama said owing to an economic volatile situation, employers have in recent months failed to effect considerable salary adjustments for their employees as compared to the domestic workers’ new set minimum wage.
This, he said, will bring severe consequences, as a result of lack of consultations.
In a separate interview on Thursday, CfSC economic governance officer Agnes Nyirongo said there is a wage-cost imbalance whose consequences will be severe and deeply personal.
She said while the wage increases were a necessary step, they fall short of what is needed to secure the financial health and dignity of the country’s workforce.
Nyirongo argued that if policymakers fail to act decisively, the nation risks great inequality, labour unrest, failing productivity and a deepening cycle of poverty even among formally employed citizens.
“Wage policy in Malawi has too often been dictated by government budget constraints rather than by the lived experiences of workers. A new approach-one that brings together government, employers, trade unions and civil society-is urgently needed to ensure the decisions are fair, transparent and grounded in economic realities,” she said.
Nyirongo further said true economic justice will only come when wages reflect the real cost of living, when inflation is controlled and when all Malawians, regardless of income level, have a fair shot at a decent life.
She said: “The time for piecemeal solutions has passed. What Malawi needs now is a bold, coordinated strategy to rebuild the wage system from the ground up-one that places human dignity, economic resilience and social equity at its core.”



