Malawi Government has increased salaries for civil servants by an average of 45 per cent after public service trade unions rejected a 24 percent average wage increment .
The Civil Servants Trade Union (CSTU) and Teachers Union of Malawi (TUM) counter offered a 50 percent salary hike.
Government Negotiating Team leader Ben Botolo said if government were to accept the counter-offer, the Malawi economy would collapse.
In a circular dated 14th October 2014 from the Human Resource Management Department, the new salaries reflecting 45 percent have been approved effective 1st October 2014.
“I am pleased to inform you that Government has approved the revision of salaries for employees in the civil service with effect from 1st October 2014,” reads the memo signed by Director of Human Resource Management Hilary Chimota, on behalf of Secretary for the department, Sam Madula to all Principal Secretaries and Heads of Departments.
The circular has however said there will be no annual increment on 1st December.
“The increment date for all civil servants remains 1stDecember. However, there shall be no annual increment on 1st December 2014,” it reads.
The increments are in grades R, M, J, K and I.
According to the circular, in the main civil service the salary range for Grade R is now K493, 296 to K501, 756 per annum from a salary range of K365, 400 to K371, 700 per annum.
Grade M will be getting a salary range of K660, 960 to 684,288 from the old salary range of K489, 600 to 506,880.
Those in grade K have had their salaries raised from the range of K720, 720 to K840, 720 to the salary range K987, 384 to K1, 151,784.
Civil servants in grade J will be getting salaries ranging from K1, 301,244 to K1, 525,584 from a salary range of K1, 256,328 to K1, 454,568.
Grade I civil servants will now be getting a salary range of K2,135,760 to K2,472,780 from the range K1,256,328 to K1,454,568 per annum.
Grade R, M, J and K are where most teachers and police officer are, while Grade I is where first degree holders are placed.
According to the circular, the salaries will be paid from a vote on personal emoluments in the government departments.
“Controlling Officers are advised that the new salaries should be paid from the provision under personal emoluments. Where any expenditure is likely to be incurred, the Secretary to the Treasury should be contacted without delay,” reads the circular.
According to Centre for Social Concern, the basic needs basket for a family of four ranges between K113 000 and K130 000 per month.Follow and Subscribe Nyasa TV :