Small increases in minimum wages for the private sector were approved Tuesday (28 April) by the Council of Ministers, after negotiations between government, employers and the trade union federation Consilimo.
There are 19 different sectoral minimum wages (see table). Agriculture, fishing, and cashew processing workers have the lowest minimum wage of $110 or $111 per month.
Civil servants had their minimum wage doubled in 2023 to $137 as part of the much criticised unified state salary scale (TSU), and it has not been increased since (in part due to demands by the IMF). The minimum wage for health, education and other government workers is similar to that for security guards and construction workers ($135). Minimum wages are higher in tourism and manufacturing ($166), electricity and gas ($200), mining ($254) and especially banking and insurance ($281-$319).
Left out of the negotiations was Kapenta fishing in Lake Cahora Bassa, which is collapsing, so the minimum remains at $78.
The national poverty line is $0.70 per person per day, or $105 per month for a family of five. All minimum wages (except kapenta) are above the poverty line, but by only a small amount.