The Problem of Non-Compliance with Minimum Wage in the Public Service Organizations in Malawi versus Government as a Role Model Employer

Since enactment of the Regulation of Minimum Wages and Conditions of Employment Act in 1964 and ratification of the International Labour Organisation Minimum Wage Fixing Machinery Convention in 1965 by Malawi Government, Malawi has adopted the policy of Minimum wage fixing and continued setting and enforcing various rates of minimum wages to protect vulnerable employees from being subjected to low wages in various workplaces. The enforcement of, and compliance with, the set minimum wage are, however, not effectively done and thus non-compliance remains an issue that needs continued debate in Malawi. This qualitative study, using interviews and documents analysis methods, seeks to ignite debate and discuss the countrys status/position on minimum wage compliance in the public service organizations/institutions and to suggest practical solutions to address non-compliance problem with minimum wage. The key study finding is that government currently is non-compliant with current minimum wage of Mk687.70 (US$0.94) per work day with respect to its employees working under public works programme across the country. The paper thus, recommends adoption of combined enforcement approaches with involvement of private partners and lobbying for negotiations with donors towards incorporation of compliance condition with minimum wage within their negotiated funding agreements by Government.