MALAWI:  EMPLOYMENT ACT - 2000                                                     MALAWI SDNP


of wages 
50.  (1) The wages payable to an employee shall be paid in accordance with 
             the terms of the employment contract: 

              Provided that they shall be paid- 

              (a) not less often than once a week or fortnight in the case of an 
                    employee whose wages are- 

                     (i) fixed by the hour, day or week; or 

                    (ii) calculated solely on a piece-work or task-work basis; or 
               (b) not less than once a month in the case of an employee 
                    whose wages are fixed on a monthly, or yearly basis. 

             (2) Subject to the proviso to section 28 (4), where the contract of 
                   employment is for a specific task, wages may be paid upon the 
                   completion of ' the task or, if the employer and, the employee so 
                   agree, weekly, fortnightly or monthly, in which case the contract 
                   shall not be considered to be one for a specific task. 
            (3) The wages payable to an employee- 
                  (a) shall,be paid to the employee or to a person specified by 
                  him in writing; 

                   (b) shall be paid in legal tender; and 

                   (c) may, with the consent of the employee, be paid by cheque 
                        in the sum of the wages payable. 

             (4) Subject to subsection 5, partial payment of wages in the form 
                   of allowances in kind may be made in undertakings or 
                   occupations where allowances are customary and- 

                   (a) the allowances are appropriate for the personal use and 
                         benefit of the employee and the employee's family; and 

                   (b) the value attributed to the allowance is fair and reasonable. 
              (5) The payment of wages in the form of liquor or noxious drugs 
                    shall not be permitted under any circumstance. 

Pay Statement 
and record 
 51.  (1) Every employee in the public or private agricultural, industrial or 
              commercial undertaking or any branch thereof shall an receive with 
              each payment of wages an accurate itemized statement from the 
              employer in writing in a form which sets out- 

             (a) the employee's gross wages due at the end of the pay period; 

             (b) the amount of every deduction from his wages during the 
                   pay period and the purpose for which each deduction was made; 

              (c) the employee's net wages payable at the end of the pay 
         (2) Every employer in the public or private agricultural, industrial or 
              commercial undertaking or any branch thereof shall keep an 
              accurate written record showing- 
              (i) wages and remuneration paid to each employee during the 
                   previous three years; and 
             (ii) the gross amount payable to each employee, deductions 
                  made therefrom and reasons for the deductions. 
          (3) An employee shall have the right to complain to the District 
                Labour Officer where an employer fails to provide an accurate pay 
                statement or keep accurate records, as required by this section. 

relating to 
payment of 
  52. (1) No employer shall- 
             (a) pay wages in the form of promissory notes, vouchers or 
             (b) require or permit an employee to pay or repay to him any 
                  remuneration payable or paid to the employee in accordance with 
                  this Act; 
             (c) require or permit a direct or indirect payment from the 
                  employee or deduction from the employee's wages for the 
                  purpose of obtaining or retaining employment; 
             (d) do any act or permit any act to be done as a direct or 
                   indirect result of which an employee is deprived of the benefit or 
                   of any portion of the benefit of any remuneration so payable or 
              (e) require or permit an employee to give a receipt for or 
                   otherwise to represent that he received more than he actually 
                   received by way of remuneration; 

              (f)  pay an employee by requiring the employee to make use of 
                    any store which is established- 
                    (i) in connexion with the undertaking ofthe employer; or 

                   (ii) for the sale of commodities to his employees; 

               (g) require or permit wages to be paid in any place of amusement 
                    or where alcoholic liquor or noxious drugs are sold, shop or 
                    store for the retail sale of merchandize, except in the case of 
                    persons employed therein; 

               (h) limit in any manner the freedom of the employee to dispose 
                    of his wages. 

          (2) No employer shall deduct from an employee's wages any 
                amount, except- 

                 (a) the employee's contribution to a compulsory social security 

                  (b) an amount to be deducted in accordance with law or a court 

                        Provided that such deduction shall not be more than one-half 
                        of the employee's wages for the period in respect of which the 
                        wages are being paid; 
                    (c) an amount authorized by the employee in writing which is 
                         not greater in aggregate to an amount equal to one-half of the 
                         wages of the employee and which- 
                        (i) is due to the employee in respect of housing furnished by 
                            the employer to the employee, goods sold by the employer 
                            to the employee or any loan or advance on his wages 
                            granted by the employer to the employee; 

                       (ii) the employer has paid or has undertaken to pay in 
                            connexion with any loan granted to such employee in 
                            order to acquire a dwelling or in connexion with the hiring 
                            of a dwelling or other accommodation; or 

                       (iii) the employee owes to a vacation, sick, medical, 
                             insurance, savings, provident or pension fund; 
                       (iv) is deducted in accordance with section 36 of the Labour 

No. 16 of 1996 
 Relations Act 
Payment of 
on termination
53.  (1) Subject to subsection (2), wages and other remuneration due to an 
             employee on the termination or completion of his contract of 
             employment shall be paid within seven days after its termination or 

        (2) Pension benefits due to an employee shall be paid within six 
              weeks of the termination or completion of the contract of 

Setting of 
54. (1) The Minister, if he is of the opinion that it is expedient to fix the 
            minimum wages of any group of wage earners, shall consult with 
            organizations of workers and employers relevant to the 
            group of wage earners as to the appropriate level of minimum wage 
            to be prescribed. 

      (2) The Minister may, after the consultations referred to in sub- 
            section (1), publish in the Gazette a wages order prescribing the 
            minimum wages to be paid to the group of wage earners to which 
            such wages order applies. 

      (3) In prescribing minimum wages, the Minister shall, as far as 
            possible, consider- 

          (a) the needs of workers and their families, the general level of 
               wages, the cost of living, social security benefits and the relative 
               living standards of other social groups; and 

          (b) economic factors, including the requirements of economic 
                development, levels of productivity and any effect the wage 
                might have on employment. 

       (4) The Minister shall, in consultation with representative 
             organizations of workers and employers, reconsider the levels of 
             minimum wages at least once every three years. 

        (5) The Minister shall consult with representative organizations 
              of workers and employers at any time he is of the opinion that the 
              procedure for setting wages set out in this section should in any way 
              be modified. 

No abatement 
of minimum 
   55. (1) Minimum wages set under section 54 shall not be subject to 
               Provided that collective agreements may provide for wages 
               which exceed the minimum wages. 

         (2)  Any employer who pays wages in contravention of subsection (1) 
                shall be guilty of an offence and liable to a fine of K50,000 
                and to imprisonment for ten years.