Government and Organized Labour Meet to Address Economic Challenges and Salary Concerns
By Eric Woode – February 15, 2025
A crucial meeting between the Government of Ghana and Organized Labour representatives was held on February 14, 2025, to discuss pressing economic issues and salary adjustments. The meeting, which was convened at short notice, saw participation from key stakeholders, including the Fair Wages and Salaries Commission (FWSC), the Ministry of Finance (MoF), and the Ministry of Employment and Labour Relations.
The Chief Executive Officer of the Fair Wages and Salaries Commission welcomed all participants and provided a brief background on the purpose of the meeting. The Minister of Employment and Labour Relations expressed appreciation to the attendees for honoring the invitation despite the short notice. However, he highlighted the current economic difficulties and urged labour unions to be considerate in their salary demands.
A representative from the Ministry of Finance (MoF) emphasized the urgency of the meeting, noting that discussions on salary adjustments should have been concluded by April 2024. He stated that finalizing the process by next week was necessary to allow for budgetary allocations.
The MoF raised several concerns, including:
1. Cost of Living Crisis – The government explained that achieving the 8% inflation target would require cooperation from all stakeholders.
2. Expenditure Cuts – It was revealed that the government intends to remove the E-Levy and COVID-19 Levy, and these factors should be considered in salary negotiations.
3. Reduction in USAID Support – The United States’ decision to cut USAID support to Ghana was mentioned as a challenge with economic implications.
4. Debt Restructuring Impact – The MoF warned of a possible second wave of debt restructuring and urged labour unions to avoid demanding excessively high wage increases.
Organized Labour representatives acknowledged the concerns raised by the government but pointed out that many union members were unable to attend the meeting due to the short notice, making it difficult to reach a consensus on salary negotiations.
However, they agreed to factor the government’s economic situation into their new salary proposal. Labour also requested that future meetings be scheduled with ample notice to allow for broader consultation and decision-making.
To ensure proper discussions and wider participation, Organized Labour proposed an adjournment. The meeting was rescheduled for Wednesday, February 19, 2025, at 10:00 AM, where detailed negotiations will take place.
This meeting is expected to determine the final salary adjustments for public sector workers while balancing the government’s economic constraints with the welfare of workers.
Stay tuned for updates as this crucial negotiation unfolds.
For more updates on labour negotiations and economic policies, follow Mr. Woode Studios on all social media platforms.