Chifundo Reuben earns about K1 million a month from his formal job before pay as you earn (Paye) tax.
From his home in Chileka, Blantyre, he also runs a car hire business, which generates at least K3 million in gross revenue in a good month before fuel, maintainance and other operating costs.
“I started the car hire because I wanted to generate more income to support my family. I also help orphans pay their school fees and create employment opportunities for young people,” he says.
The business has employed four young people
| Lisa kadango Malango
Reuben’s experience reflects a growing pattern among salaried workers in Malawi. Teachers, civil servants and others are turning to farming, poultry, transport, trading and other businesses to supplement their wages.
At Bakili Muluzi International Airport in Chileka, Blantyre, passenger services assistant Blessings Kaliwo runs a poultry businesses as a side business.
“I started the side hustle because I wanted to create an additional source of income,” he says.
Hastings Asafandani, a plumber at Airport Development Limited (ADL), has turned to onion farming for the same reason.
There are no national figures showing how many formally employed workers run businesses. The 2026 Labour Market Profile by the Danish Trade Union Development Agency, however, estimates that informal employment accounts for 93 percent of total employment in Malawi, up from 85 percent in 2013.
The cost of meeting basic needs has also risen
The Centre for Social Concern’s basic needs basket put the monthly cost for an average urban family of six at more than K1 million in March 2026, up from K966 297.
The statutory minimum wages are lower still
Under the Employment (Minimum Wages) (Amendment) Order, which took effect on June 1 2026, the minimum monthly wage for domestic workers rose from K72 800 to K83 720.
Workers in micro and small enterprises must earn at least K131 250, up from K105 000, while the minimum for shop workers rose from K150 000 to about K187 500.
Economist Edward Chilima says the cost of living is pushing workers to seek additional income.
“An average Malawian requires about K1 million for a monthly standard of living. So, how many jobs pay around K1 million a month in Malawi? To survive, working people resort to side hustles,” he says.
Chilima says the additional income can stimulate economic activity because workers have more money to spend. But dividing attention between formal employment and a business can affect productivity.
“Side hustling is good for the economy, although it is also a clear sign of economic hardships and struggle,” he says.
The Employment Act provides for a maximum of 48 hours a week, excluding overtime and requires at least 24 consecutive hours of rest after no more than six consecutive days of work.
The law does not bar employees from outside work, but whether it is allowed depends on the terms of their employment contracts.
Malawi Congress of Trade Unions secretary general Charles Kumchenga says low salaries and poor conditions of service are among the reasons workers turn to side businesses.
“Most workers turn to side businesses due to low salaries, and workers are overtaxed,” he says.
Kumchenga says some employers fail to provide allowances and threaten workers who demand better salaries and conditions.
He also says some employers do not comply with government-approved minimum wages.
“Government must intensify inspections in institutions to ensure that employers are complying with all workers’ conditions, including minimum wages,” says Kumchenga.
He asks employers to motivate workers, particularly those in salary-dependent occupations.
“For instance, teaching is a salary-dependent job. So, such duties must be given incentives,” says Kumchenga.
Reuben says balancing business with his formal job has not been easy, but he has no plans to abandon it.
He said he markets the business through social media and says it does not consume much of his family time.
Reuben explains: “I can’t abandon the business. If all goes well, years to come I will resign and concentrate much effort on the hustle since it generates a lot of income.
“Moreover, it doesn’t consume a lot of family time as it uses social media platforms and takes less time than the accounting job.”
