The government and Organised Labour yesterday agreed on a new Base Pay of 10 per cent across the board for workers in the public sector.
The development means that all public sector workers on the Single Spine Salary Structure will have an increment in their basic salaries by 10 per cent from January to December this year.
In addition, the National Tripartite Committee (NTC) also set the National Daily Minimum Wage (NDMW) at GH¢19.97.
This implies that any Ghanaian earning salary or allowance, including househelps, nannies and guards, must not be paid less than that in a day or GH¢559.16 a month (using 28 days).
In determining the 2025 NDMW, the NTC, made up of the government side, employers and organised labour, took into account the current economic challenges, cost of living, sustainability of businesses and desirability of attaining a higher level of employment.
President John Dramani Mahama was at yesterday’s NTC meeting held at the Ministry of Labour, Jobs and Employment yesterday.
President
Before attending his Cabinet’s first meeting, President Mahama joined the NTC meeting and intervened when the discussions came to a head.
The President urged labour to consider the dire state of the economy as the parties proceeded with the wage negotiations.
He promised that if the economy bounced back, he would ensure higher remuneration for workers.
President Mahama also spoke about the need to establish the Independent Emoluments Committee to determine the income of public sector workers.
Base pay
The agreement on the base pay on the Single Spine Salary Structure was signed by the Minister of Finance, Dr Cassiel Ato Baah Forson, the Minister of Labour, Jobs, and Employment, Dr Abdul Rashid Hassan Pelpuo, and the Chief Executive Officer of the FWSC, Benjamin Arthur, for the government side, while the Secretary-General of the Trades Union Congress (TUC), Joshua Ansah, and the Chairman of the Forum for Public Sector Associations and Unions (FORUM), Isaac Bampoe Addo, signed on behalf of Organised Labour.
The government was represented by the Ministry of Labour, Jobs and Employment, the Ministry of Finance and the Fair Wages and Salaries Commission (FWSC); and Organised Labour, made up of workers’ unions within the Public Service of Ghana.
Minimum wage
“In line with Section 113 (1) (a) of the Labour Act, 2003 (Act 651), the National Tripartite Committee (NTC) concluded negotiations on the determination of the 2025 National Daily Minimum Wage (NDMW) at its meeting held on Thursday, 20th February 2025, in Accra,” the committee said in a joint statement.
Regarding the NDMW, the statement said in determining the 2025 NDMW, the NTC took into account the current economic challenges, cost of living, sustainability of businesses and the desirability of attaining a higher level of employment.
It said the committee concluded that an “increase in the NDMW by 10 per cent over the 2024 NDMW translated into a new NDMW of GHS19.97.”
“The effective date for the implementation of the 2025 NDMW shall be 1st March 2025,” a joint statement by the committee said.
It urged all establishments, institutions or organisations whose daily minimum wages were below the new rate to adjust accordingly, effective March 1 this year.
“Any establishment, institution or organisation that flouts the 2025 NDMW shall be sanctioned in accordance with the law. The NTC recommends that the 2025 NDMW should be tax-exempt,” the statement said.
It was signed by Dr Pelpuo on behalf of the government, the President of the Ghana Employers Association, Nana Dr Emmanuel Adu-Sarkodie, and Mr Ansah of the TUC.
Pleasantries
For his part, Dr Pelpuo emphasised the government’s commitment to enhancing the well-being of public sector workers.
He also commended the FWSC for providing the technical expertise that ensured successful negotiations.
Dr Pelpuo expressed appreciation for Organised Labour’s support and understanding during the negotiations, a position corroborated by the Finance Minister, who lauded Organised Labour’s cooperation during the negotiations.
The CEO of the FWSC highlighted the need for fair compensation.
Mr Arthur also emphasised the commitment to ensuring that public sector workers received fair compensation for their services.
The leadership of Organised Labour also expressed gratitude to the government for concluding the base pay negotiations.
