Employers hail workers fund operationalisation

The Employers Consultative Association of Malawi has hailed operationalising of the workers compensation fund which it says will cushion workers from financial burdens. Government, through the Ministry of Labour, established the fund, which is mandatory for any employer to join. Ministry of Labour Principal Secretary Wezzie Kayira confirmed that…

The Employers Consultative Association of Malawi (Ecam) has hailed operationalising of the workers compensation fund which it says will cushion workers from financial burdens.

The association says the fund will also assist in dealing with dubious claims employees make when seeking compensation.

This was said at the weekend when the employers’ body hosted a sensitisation meeting in Blantyre.

Ecam President Annie Chavula said the government has shown commitment towards operationalisation of the fund by, among other things, injecting K100 million as seed money.

Chavula added that lately, employers have suffered dubious claims from employers who allegedly connive with lawyers, medical practitioners and labour officials to be certified for such claims.

“Any claim from an employee will not be paid by the employer but by the fund and the claims will be vetted by a board from the fund, which will consist of laywers, medical personnel and labour officials, and give the claim its true value,” she said.

Government, through the Ministry of Labour, established the fund, which is mandatory for any employer to join.

“We are hopeful that the fund will be having resources because, apart from the employers, government has already given us seed resources and, in the long run, government is expected to give K1.3 billion to the fund,” she said.

Ministry of Labour Principal Secretary Wezzie Kayira confirmed that government has placed K100 million seed fund, adding that it is aimed at kick-starting the fund before resource mobilisation is taken over by employers.