Payslips and payment cards in Malawi

In the field of employment, payroll is an important document that ensures transparency and accountability between employers and employees. Payment card regulations in Malawi are set out in specific laws that define the content, required recipients, and responsible persons.

Legal requirements for payment cards

Malawi labor laws stipulate certain items that must appear on pay slips to ensure compliance.

These include

• Employee Information: Pay stubs must include the employee's name, identifying information, and company position.
• Salary Details: Salary details such as salary, deductions, bonuses and other benefits should be clearly stated.
• Tax information: This should include the amount of taxes deducted from the employee's income and any other relevant tax-related information.
• Employer details: Pay slips must include the employer's name and address for identification purposes.
• Payment period: The payment period must be written on the payment card.
• Signatures: Affidavits usually require the signatures of both the employer and the employee confirming the information provided.

Payment slip signed

The law requires both employers and employees to sign pay slips. This double verification process ensures mutual agreement and understanding of financial transactions. The employer's signature confirms the accuracy of the information provided, and the employee's signature confirms receipt and confirmation.

Employees eligible to receive benefits

Pay slips are not universal for all types of jobs in Malawi. Mostly payslips are received by permanent employees, contract workers, and full-time/part-time workers.

The companies obliged to issue payment statements are the following:

• Private companies: Private companies, regardless of their size, must provide pay slips to their employees.
• Government entities: Public sector entities, including government agencies and agencies, are also required to comply with salary regulations. 

Types of Work-Related Payment Receipts:

In some cases, payslips can vary according to the type of work, providing an approach adapted to different categories of employees.

• Full-Time Employee Wages: Contains information related to long-term employment, including benefits and allowances.
• Employee Contract Payment Card: Displays the specific terms of the contract, including duration and working conditions.

Understanding wage law legislation in Malawi is essential to developing fair and transparent working relationships between employers and employees. Adherence to these rules ensures that financial transactions are conducted following the law, increasing trust and accountability in the workplace.