By Godfrey Kenneth Beni:
Malawi’s new minimum wage went into effect on June 1, 2026. The daily minimum salary for employees in Blantyre, Lilongwe, Mzuzu and other major towns is currently K6, 057.70.
This raises a question that has yet to be answered in any official government statement. How many of these daily rates add up to a monthly salary?
Two employers receive the identical official notice from the government. Both see the same figure: K6, 057.70.
However, their calculations deviate greatly.
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Employer A assumes a standard five-day workweek, running from Monday through to Friday. They calculate a total of 22 working days every month. Thus, their monthly minimum salary is calculated as 22 days × K6, 057.70 = K133, 269/month.
Employer B operates six days a week, from Monday to Saturday. They determine that there are 26 working days every month. As a result, their monthly minimum pay is K157, 500, calculated by multiplying 26 days by K6, 057.70.
The difference comes to K24, 231 each month.
Annually, this amounts to roughly K291, 000, all based on the same legal minimum wage specified by the Government Notice.
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Both employers believe they are in accordance with the law.
However, one of them is incorrectly calculating. Neither can be certain about their position and the law offers no definitive instruction.
This scenario exhibits the daily rate trap.
The Employment Act of 2000 does not define a “working month”. It is unclear whether a month contains 22 days, 26 days or any other number. The Act clarifies the meaning of a week. An employee is forbidden from working more than 48 hours per week, excluding overtime.
Furthermore, an employee cannot work more than six days in a row without a mandated 24-hour rest time. A regular employee can only work a maximum of eight hours every day.
These regulations reflect two distinct operational methods. A five-day workweek (Monday through TO Friday, eight hours each) equals around 22 working days per month. This method is common among offices, banks and formal-sector enterprises that do not require Saturday employment.
A six-day workweek (Monday through to Saturday, eight hours each day) equates to around 26 working days per month. This is the legal maximum. The individual works 48 hours a week, continuously. There is no legal justification for any number other than 22 or 26, which is entirely dependent on the employee’s actual working conditions.
However, the Government Notice does not specify which schedule applies. The Act makes it unclear which schedule should be followed. The ministry has not provided any direction.
As a result, employers must make a decision. Workers must accept whatever arrangements are proposed to them.
Previous minimum wage orders, including the 2025 Order, provided both daily and monthly rates. The ministry implicitly used a 26-day working month to calculate those monthly figures.
The 2026 Order abandoned this practice. The ministry now publishes only daily rates. The monthly guidance that employers and workers relied upon is gone.
No explanation has been given. No circular has been issued. No alternative formula has been provided.
The ministry created clarity. Then it removed that clarity. Employers who want to comply honestly are now guessing. Employers who want to cheat have a convenient excuse.
The ministry may subsequently make clarifications, as may be the case.
However, you cannot wait! As an employer, you bear responsibility.
Begin by reviewing your current work week.
How many days do your staff work each week? Assuming that they work five days, the more conservative estimate is 22 days. The more conservative estimate is 26 days if they work six days per week.
Second, remain consistent. If both office and manufacturing employees work the same number of days, do not divide their time between 26 and 22 days.
Inconsistency is an indicator of bad faith.
Third, specify working days in a contract of employment. In your written statement of particulars, under Section 27, you must declare, “the employee shall be engaged for [X] days per week, and [Y] working days shall comprise a working month”.
Fourth, if you are not sure, pay the higher calculation. When you pay 26 days for five days’ work, you are overpaying. That is not against the law. 22 days for a six-day worker is insufficient compensation. This is not legal and can result in back-pay issues.
Fifth, maintain records. Section 51 calls for a three-year salary record. If you get yourself in a conversion dispute, your records will be your primary line of defence.
Employees, if you are given a monthly salary, figure out your effective daily rate. Divide your monthly wage by how many days you work each month. If the answer is less than K6, 057.70, you are underpaid.
Keep your own record. Keep track of your working days every month. Make copies of pay stubs. If you suspect underpayment, register a complaint with the district labour officer in accordance with Section 64 of the Employment Act.
If you are a casual or pieceworker, do not accept less than K6, 057.70 for a full day’s work. Keep a notebook handy. Keep track of the date, hours spent, tasks completed and payment received. If your employer refuses to pay the minimum wage, report them.
To the Ministry of Labour: You would previously have included monthly equivalents. Send out a circular as soon as feasible. Explain that for employees that work 5 days a week, 22 days is the minimal number of days per month. If you work six days every week, you’ll have 26 days. If a worker has an inconsistent working schedule, consider the average number of working days over the last three months. Repeat the before to the following wage order. Do it right now.
Parliament: Amend Section 50 of the Employment Act. Provide a definition of a “working month” for minimum pay. Even better, insist that all minimum pay be calculated in terms of months rather than days. Remove any ambiguity once and for all. To employers: Do not wait for the Ministry or Parliament. Create a payroll audit today! Calculate the deficit for those who have worked 22 days in exchange for 6 days. Give it voluntarily before it is collected by a labor officer.
To our employees: Do not be helpless. Count your days. Do the math. If the figures do not add up, file a complaint! We need to address the issue, and your complaint does that.
K6, 057.70 per day is the law. But without a conversion formula, that number is incomplete. It is a promise without a mechanism. It is a floor that some workers cannot reach because the path is unclear.
The Ministry used to provide monthly equivalents. It stopped. No explanation. No guidance. No fix. This is not a technical oversight. It is a failure of implementation. And it is costing workers millions.
The daily rate trap is real. The question is whether anyone will step up to close it.
The author is a Human Resource Practitioner
Feedback: kennethbeni35@gmail.com
