The Fair Wages and Salaries Commission (FWSC) has achieved significant savings for Ghana, amounting to GH₵345 million, through a comprehensive nationwide payroll monitoring exercise conducted in 2023.
This initiative, which spanned 120 public sector institutions, was designed to curb the nation’s wage bill and promote transparency in public sector employment.
Announcing the results during a Minister’s press briefing organized by the Ministry of Information in Accra, Ignatius Baffour Awuah, Minister for Employment, Labour Relations, and Pensions, highlighted the exercise’s success in reducing the government’s wage expenses, resulting in substantial savings.
Mr. Baffour Awuah also praised the peaceful and stable labour environment in Ghana, attributing it to the collaborative efforts of social partners. He noted that, thanks to the support of key stakeholders, the Ministry had effectively resolved all industrial disputes that posed a threat to the country’s peace and security over the past seven and a half years.
“The Ministry will continue its work to improve the welfare of workers and employers while maintaining a peaceful labour front,” he affirmed.
Additionally, the Minister mentioned ongoing efforts to review critical sector legislation, including the Labour Act, 2003 (Act 651), to ensure it aligns with the needs of the modern workplace. Proposed reforms in the new Labour Bill include prohibiting certain actions by private employment agencies, extending maternity leave, and providing protections against workplace violence and harassment.
Reiterating the government’s commitment to industrial peace and worker welfare, Mr. Baffour Awuah pointed to significant efforts to maintain high income levels for workers and pensioners. These efforts include the highest adjustment of the Base Pay since the introduction of the Single Spine Pay Policy in 2010, as well as a 25 percent increase in monthly pensions for SSNIT pensioners.
The Minister also outlined other ministry achievements, such as strengthening the Labour Department’s operational capacity, initiating job creation programs, and improving pension management. He cautioned jobseekers to be vigilant against fraudulent employment schemes, clarifying that the Ministry is not a recruitment agency.
During a Q&A session, Benjamin Arthur, Chief Executive of the Fair Wages and Salaries Commission, emphasized that the payroll monitoring exercise was crucial in ensuring that public sector employees received accurate salaries, allowances, and benefits. The exercise uncovered numerous anomalies, significantly reduced the number of ghost workers on the government payroll, and boosted public sector worker productivity.
“Overall, the payroll monitoring exercise has contributed to a more efficient, transparent, and accountable public sector payroll management system,” Arthur concluded.
