Malawi is a landlocked country in southeastern Africa. It is bordered by Tanzania to the north, Lake Malawi to the east, Mozambique to the east and south, and Zambia to the west. The country has a total land area of 118,480 square kilometers. The economy is heavily dependent on agriculture, employing nearly 80% of the population.
*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Malawi.
Malawian Kwacha (MWK, MK)
Languages spoken :
English, Chichewa, Chinyanja, Chiyao, and Chitumbuka
19.1 million (2020 est.)
Minimum wage 2022 :
MK 50,000 per month
Cost of Living index :
Payroll Frequency :
VAT - standard rate :
GDP - real growth rate :
2.8% (2021 est.)
The approximate time for sharing the contract with an employee in Malawi is 14 business days assuming no special requests or changes to our standard employment contract. Any such requests or changes would need to undergo internal and external review, directly leading to a time delay.
NOTE: This number is subject to change and is only an estimation of the Contract Sharing Time. The estimated Contract Sharing Time begins from the moment that WorkMotion has received all required information from both the client and the employee.
An employee’s normal working hours should be set out in the employment contract provided that no employer may require or permit any employee to work for more than 48 hours during any week, excluding overtime.
There are three classes of overtime known respectively as ordinary overtime, day off overtime, and holiday overtime.
|Overtime Class||Overtime Pay|
|Ordinary overtime||Hourly rate of not less than one and one-half the wage for one hour.|
|Day off overtime||Hourly rate of not less than twice the wage for one hour.|
|Holiday overtime||not less than twice the normal hourly rate|
In a contract of employment in respect of a skilled worker, the parties may agree on the duration of the probationary period provided that the period does not, in any event, exceed 12 months.
In indefinite employment, contract termination notice depends on the wage period as presented below:
|Workers paid wages on a monthly rate.||1 month notice|
|Workers Paid fortnightly|
|Workers paid on a weekly basis|
The length of annual leave depends on the working days in a week. Annual leave is:
This leave should be taken within six months of the entitlement to the leave falling due provided that the leave may be deferred and accumulated by mutual agreement.
An employee is entitled, after completing 12 months’ continuous service, to at least four weeks’ sick leave on full pay and eight weeks’ sick leave on half pay during each year. During sick leave, an employee is paid the normal rate of wages.
A female employee is entitled, within every three years, to at least eight weeks of maternity leave on full pay.
During the period when an employee is on maternity leave, her normal benefits and entitlements, including her contractual rights and accumulation of seniority, should continue uninterrupted and her period of employment should not be considered to have been interrupted, or reduced, or broken.
There is no statutory provision for paternity leave in Malawi.
Employees are paid for only three days while on strike. Any employee who continues to strike after three days should be paid by their union.
There are no statutory provisions for unpaid leave in Malawi.
There is no mandatory health insurance in Malawi. The healthcare system is funded through general taxation.
The accident insurance is the employer’s liability, governed through a private carrier.
To qualify for benefits, one must be assessed for a work injury or occupational disease and be certified by a medical doctor to be unfit for work for at least seven days. Accidents that occur while commuting to and from work are covered if the employer provides the transportation.
There is no unemployment insurance in Malawi.
Employers contribute 10% to the public pension.
To qualify for the old age pension, one must be aged at least 50. The pension is also accessible to people at any age if they are permanently emigrating or with at least 20 years of contributions.
The insured has three payment options: purchase an annuity, make programmed withdrawals, or receive a lump sum up to a limit that varies depending on the insured’s age at retirement.
The information contained in this Country Guide is provided for informational purposes only and should not be construed as legal advice on any subject matter. The contents of this Country Guide contain general information and may not reflect current legal developments or address your situation. You should not act or refrain from acting on the basis of any content included in this Country Guide without seeking the advice or representation of a licensed attorney. WorkMotion Software GmbH disclaims all liability for actions you take or fail to take based on any content included in this Country Guide.
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