The Malawi Congress of Trade Unions (MCTU) has said it is deeply alarmed by the escalating cost of living in Malawi.
Currently, the average inflation rate stands at 33.3 percent, with food inflation reaching 41.5 percent and non- food inflation at 22.2 percent.
A statement signed by MCTU president Charles Kumchenga and secretary general Madalitso Njolomole said this surge in prices, particularly for essential goods and services such as healthcare, food, and education, has rendered them unaffordable for the majority of Malawians, especially those in lower wage brackets.
“While we appreciate the government’s efforts in revising the national minimum wages, the benefits of these adjustments have been overshadowed by soaring inflation rates. Many workers are now unable to meet even their most basic needs due to the rapidly increasing cost of living.
“As of July 2024, the cost of living remains a formidable challenge for majority of Malawian workers, severely impacting their quality of life. The steep rise in prices for necessities like food, housing, healthcare, and transportation has placed immense financial strain on households nationwide.
“Workers are finding themselves allocating a larger proportion of their income towards essential expenses, leaving minimal room for savings, investments, or discretionary spending. This predicament not only jeopardizes individual financial security but also hampers economic advancement and social mobility.
“Employers are under mounting pressure to consider wage adjustments that reflect the rising cost of living. However, many workers continue to struggle with daily expenses, which has far-reaching implications for their morale, productivity, and overall job satisfaction,” reads the statement in part
MCTU said addressing these challenges necessitates collaborative efforts from the government, employers, and workers organisation (including the civil society).
“Therefore, we urge the government, through the Ministry of Labour, to convene a Tripartite Labour Advisory Council (TLAC) meeting promptly. This forum would provide a vital opportunity to explore measures aimed at mitigating the adverse effects of the high cost of living on workers.
“MCTU would also like to remind government through the Ministry of Labour to always adhere to TLAC recommendations for instance on enforcement and implementation of Labour inspections to ensure that emplovers comply with national minimum wages and fundamental workers’ rights.
“It is disheartening to note that some employers do not comply with national minimum wages and still pay workers below the minimum wage. And this tendency by employers has escalated due to lack of adequate labour inspections by various government ministries mainly due to insufficient funding or delayed remittance of funds to various government ministries and other departments.
“It is against this background that MCTU call upon government to ensure full and timely disbursement of funds to government ministries, departments and agencies to ensure that they achieve their core functions.
“In addition, we have also observed that government is withholding remittances of membership dues to some membership organizations or institutions there by suffocating their day to day operations hence we urge government to speed up full payment of all outstanding membership dues to such membership organizations as well as Other Recurrent Transactions (ORTs) to the relevant institutions.
“It is therefore important that proactive steps be taken to safeguard the welfare and economic stability of all Malawian workers during these challenging times,” reads the statement in part
