BusinessBusiness News

Ministry, EU push for lawcompliance among SMEs

Minister of Labour Peter Dimba has unveiled a new partnership with the European Union-funded Zantchito Skills for Jobs Programme to improve labour law compliance and promote decent work among small and medium enterprises (SMEs).

The minister said the initiative is part of a broader campaign to be held this month, focusing on raising awareness about workers’ rights and employer obligations.

Dimba: Decent work is anchored on fair wages, safety and legal compliance.| Nation

“For the first time, we have dedicated the whole month of May to raising awareness on the respect for labour rights in the workplaces,” Dimba said on Monday in Lilongwe.

“We want employers and employees to understand that decent work anchored on fair wages, safety and legal compliance is the key to sustainable productivity.”

The awareness campaign, which includes a series of “teach-ins” at selected business premises, is targeting micro, small and medium enterprises.

It also focuses on minimum wage compliance, employment contracts and occupational safety.

The Malawi Government has just revised the minimum  by 40 percent with the general minimum wage increasing from K90 000 to K126 000 per month while the rate for domestic workers will increase from K52 000 to K72 800 per month and that of the micro-enterprises from K75 000 to K105 000 per month.

Dimba said SMEs are central to employment in the country, but face challenges in complying with labour laws largely due to limited awareness.

“The issue of labour law violations is quite huge in Malawi, particularly among small businesses,” he  said.

In the past year, the Ministry of Labour conducted over 2 800 workplace inspections and is now considering to launch a toll-free line to improve accessibility for workers wishing to report violations.

Zantchito Programme occupational safety and health expert Johannes Mandowa said the initiative was born out of a situational analysis conducted at the start of the project, which exposed widespread knowledge gaps.

He said: “Many employers and employees simply don’t know what the law requires.

“This campaign is about giving them the right information to promote self-compliance rather than relying solely on enforcement.”

Mandowa said in Lilongwe alone, five inspection teams have been deployed, targeting 50 workplaces this week.

Nationally, the programme plans to reach over 300 businesses with activities extending into June.

Officials from Zantchito said the intervention is the first of its kind in Malawi and forms part of broader efforts to formalise the informal sector and improve job quality.

The Ministry of Labour plans to assess the impact of the campaign before considering its expansion to other districts, subject to resource availability.

The Zantchito Skills for Jobs Programme, embedded in the 11th European Development Fund, seeks to create an ecosystem of job creators by addressing the country’s need for skilled professionals and providing decent jobs and self-employment opportunities for young people.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button