Bringing Household Workers into the Financial System
A new platform called AskMandla is leveraging WhatsApp to formalize domestic employment relationships in South Africa, addressing a significant gap in the country’s financial infrastructure.
With approximately 1.6 million domestic workers and their employer households largely operating informally, AskMandla aims to bring this ZAR107 billion (US$6.5 billion) annual wage flow into the formal economy.
How It Works
For employers, the platform offers a simple WhatsApp interface that handles all compliance requirements – contracts, UIF registration, payslips – in just minutes.
Domestic workers gain access to:
- Formal employment records and payslips (essential for accessing financial services)
- Earned Wage Access, allowing them to receive a portion of their wages mid-month
- Clear fee structures with no hidden charges
Addressing a Critical Need
The informal nature of domestic work leaves both employers and employees vulnerable:
- Employers risk fines from labor inspections
- Workers lack financial protection and access to credit
- The entire sector operates outside formal banking channels
AskMandla provides the missing infrastructure that connects household employment to South Africa’s robust fintech ecosystem.
Early Traction & Future Plans
Launched on May 1 (Workers’ Day) last year, AskMandla has already:
- Processed over ZAR5 million (US$300,000) in salaries
- Issued nearly 1,000 payslips
- Maintained a churn rate below 2% (indicating high satisfaction)
The company currently operates only in South Africa but is exploring potential expansions with the right partnerships.