Living Wage in Mozambique - August 2017 - Per month in MZN

The Living Wage is based on the concept that work should provide an adequate income to cover the necessary living costs of a family. WageIndicator calculates Living Wage for around 50 countries based on prices collected within the WageIndicator Cost of Living Survey. The Living Wage calculated by WageIndicator is composed of seven parts: food, housing, transport, health, education, tax and other costs.

WageIndicator presents Living Wages for several household types and working hours to respond to different demands for living wage information: Typical family Living Wage is a baseline estimate that respects the country specific conditions. Family includes two adults and the number of children is given by country specific fertility rate (5.4 children per woman). One parent is working full-time and the working hours of second parent are approximated by national employment rate (84% in 2017). Standard family Living Wage is estimated for a family composed of two adults and two children. One parent is employed full-time and the second parent works 4 days a week it means family employment rate is 1.8. Single-adult Living Wage represents an acceptable standard of living for a single individual working full-time with no dependents.

Expenditure and Living Wage calculation (monthly rates in MZN)

  Typical family   Standard family   Single-adult  
  from to from to from to
Food 7630 10300 4120 5560 1030 1390
Housing 2750 5000 2750 5000 1750 3000
Transport 580 1000 580 1000 290 500
Health 500 1250 500 1250 125 313
Education 1000 4000 1000 4000 0 0
Other costs 625 1080 450 840 160 260
Total Expenditure 13085 22630 9400 17650 3355 5463
Net Living Wage 7269 12572 5222 9806 3355 5463
Gross Living Wage 7633 13201 5483 10296 3523 5736

Note: For more details see Living Wage FAQ.

Family Living Wages (monthly rates in MZN)

There is not a single answer to what is the adequate cost of living. The result is complex, as the cost of living varies by household composition, location, and employment pattern. The following table presents the Living Wage estimates for a set of common household compositions and under different assumptions about working hours.

  from to
Typical family (two parents + 5.4 children, 1.8 working) 7640 13200
Standard family (two parents + 2 children, 1.8 working) 5490 10300
Two parents and two children, 2 working 4940 9270
Two parents and two children, 1.5 working 6580 12400
Two parents and two children, 1 working 9870 18500
Two parents and three children, 1.8 working 6120 11200
Two parents and four children, 1.8 working 6750 12000
Single-adult without children, 1 working 3530 5740

Note: Results in the table are rounded.

Living Wages in Context (monthly rates in MZN)

Living Wages are presented in context with other wage indicators including minimum wage, poverty line, and various prevailing wages of workers. Table shows the development of income levels over two years.

7-12/20151-6/20167-12/20161-6/2017
  from to from to from to from to
Minimum wage 3196 . 3298 . 3298 . 3298 .
Living Wage - Typical Family 10300 15900 9020 14200 8270 13700 7640 13200
Living Wage - Single Adult 3940 6090 3820 6100 3750 5960 3530 5740
Real wage of low-skilled worker 3800 6780 3830 5620 5100 6950 5210 6460
Real wage of medium-skilled worker 8640 17300 7750 12900 8560 15400 9750 15900
Real wage of high-skilled worker 12300 26300 13700 24300 13500 25000 15400 26400

Note: Reported monthly earnings of workers in low-, medium-, and high-skilled occupations are obtained from the voluntary WageIndicator web surveys on work and wages over the last 36 months. Results in the table are rounded.

Living Wage model diet and food prices in MZN

The food expenditure is the main component of Living Wage and it is determined by the price of food basket. The food prices are taken from WageIndicator Cost of Living Survey which collects the actual prices of all items necessary to calculate the Living Wage. The composition of the food basket is taken from the national food balance sheets published by the UN Food and Agriculture Organization (FAO). The food basket is scaled to 2,100 calories per person per day that is the nutritional requirement for good health proposed by World Bank (Handbook on poverty and inequality, 2009).

Food itemGrams per dayEnergy (kcal)Price per kilo fromto
Wheat, barley and cereals 69 189 14 30
Rice 59 214 25 32
Meat (beef, pork, poultry) 23 64 130 150
Oils (soyabean, olive, palm) 21 183 80 100
Sugar (Raw Equivalent) 30 101 60 100
Maize and products 139 406 20 30
Milk - Excluding Butter 12 7 50 65
Vegetables, Other 18 4 30 50
Potatoes and products 20 15 25 35
Butter, Ghee 1 6 100 145
Groundnuts (Shelled Eq) 8 19 35 50
Pulses, Other and products 22 75 30 50
Cassava and products 575 626 20 25
Egg (price per 10 eggs) 4 6 1000 50
Sunflowerseed Oil 1 13 80 100
Fish products 20 12 100 150
Beer 14 6 90 110
Sweeteners, Other 0 1 35 40
Beans 13 45 45 50
Sweet potatoes 79 76 20 30
Bananas 34 20 25 35
Soyabeans 0 0 30 50
Apples and products 0 0 50 70
Tomatoes and products 21 5 30 45
Onions 8 3 30 35
Oranges, Mandarines 5 1 40 50
Roots, Other 1 1 35 50
Seeds and kernels 0 0 50 80
Wine 1 1 200 267
Cream 0 0 85 120
Olives (including preserved) 0 0 100 150
Honey 0 0 100 100
Citrus, Other 0 0 50 50
Lemons, Limes and products 0 0 30 50
Tea (including mate) 2 1 60 100
Grapefruit and products 1 0 80 125
Coffee and products 0 0 85 120

Data sources:

Living Wage FAQ.

WageIndicator Cost of Living Survey

World Bank Databank, Fertility rate – average births per woman in years 2010-2014

ILO, Estimated participation rate in 2017

FAO, Food balance sheet in 2013 

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