Workforce Africa, Malawi
Workforce Africa Malawi helps global companies tap into the country's skilled workforce to drive growth and success. With our comprehensive PEO and EOR solutions, you can quickly and compliantly hire top Malawian talent without the hassle of setting up a local entity.
Interesting Economic Facts About Malawi
Malawi, often called the "Warm Heart of Africa," is a landlocked country in southeastern Africa with a population of approximately 20 million people. The capital city is Lilongwe, which serves as the administrative and economic hub of the nation.
Malawi's economy is predominantly agrarian, with agriculture accounting for about one-third of the GDP and over 80% of export revenues. The main agricultural products include tobacco, tea, sugar, and coffee. Tobacco is the largest export commodity, making Malawi one of the world's leading producers.
The currency used in Malawi is the Malawian kwacha (MWK). The national languages are Chichewa, which is widely spoken, and English, which is used for official and business purposes. Malawi is also known for its stunning natural landscapes, including Lake Malawi, which is the third-largest lake in Africa and home to a diverse array of fish species, making it a popular destination for eco-tourism and water sports.
Employment Laws
Employement Contracts in Malawi
While verbal contracts are legally binding, any employment contract that lasts for more than three months must be in writing. This written contract should be provided within three months of the commencement of employment.
These written contracts should include the names of the employer and employee, the job title with a brief work description, the start date of employment, the place of work, working hours and days, and details of remuneration including the rate, method of calculating pay, and payment intervals. Additionally, the contract must outline terms related to annual leave, sick leave, other leave entitlements, and the notice period required for termination by either party
Employees are entitled to severance pay if their employment is terminated due to redundancy, retirement, or the employer's insolvency.
Working Hours
An employee may not be required to work in excess of forty-eight (48) hours during any week, excluding any overtime. Further, employers are not permitted to require employees to work for more than six (6) consecutive days without a period of rest, comprising of at least twenty-four (24) consecutive hours, which shall be taken on a customary day of rest or a day agreed upon between the employer and employee(s).
Employees working beyond the standard 48-hour workweek are entitled to overtime pay at a rate of 1.5 times their regular hourly wage.
Leave Policies in Malawi
Annual Leave:For most employees, the minimum annual leave entitlement is 18 working days for every twelve months of continuous service and for employees working in certain sectors or under specific conditions (e.g., those working under arduous or hazardous conditions), the annual leave entitlement may be greater, often stipulated in the employment contract or collective bargaining agreement.
Sick Leave: An employee who has completed 1 (one) years' continuous service with the same employer is entitled to four (4) weeks sick leave on full pay and thereafter eight (8) weeks sick leave on half pay, per annum. .
Maternity Leave: A female employee is entitled to eight weeks maternity leave on full pay in every three (3) year cycle. In the event of illness arising out of pregnancy,
Public Holidays
Payroll Taxes and Statutory Deduction in Malawi
Termination and Probation in Malawi
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Plot 526 Songwe Street, New Area 12, Lilongwe.
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