Organised Labour demands overhaul of minimum wage formula

Organised Labour has called for a complete review of the formula used to determine Ghana’s minimum wage, arguing that the current system fails to reflect the real cost of living faced by workers.
The demand, formalised in a petition to the government in late August 2025, seeks a new and more realistic wage structure beginning in 2026, beyond the recent 2025 adjustment.
In an interview with Ahotor FM, the Secretary-General of the Ghana Federation of Labour (GFL), Abraham Koomson, confirmed that the Tripartite Technical Committee met last week to deliberate on the matter.
He criticised the heavy reliance on inflation figures in the current formula, insisting it does not capture the full economic pressures confronting workers.
“The inflation figure used in determining the minimum wage is not helping, so we are pushing to change it,” Mr. Koomson said.
He explained that while inflation remains a critical factor, it does not adequately account for other essential living costs such as rent, transportation, utilities, and food prices.
As such, Organised Labour is advocating for a cost-of-living-based formula that guarantees fairer wages and better protects workers’ welfare.
In January 2025, the National Daily Minimum Wage was raised by 10 percent to GH₵19.97 following negotiations by the National Tripartite Committee.
However, Mr. Koomson insists that despite this increase, the formula remains inadequate.
He emphasised that the new system must be comprehensive, sustainable, and worker-centred, ensuring that wages genuinely support livelihoods rather than just keeping pace with inflation.
Source: classfmonline.com/Cecil Mensah
Trending Business
BoG engages Islamic groups on non-interest banking
11:37Gov't targets $640 million annual revenue from Shea sector
10:12African leaders and International Solar Alliance chart bold path for solar future in Accra
09:08GFZA hosts Turkish investors, explores partnership with Tüzun Transformer Group
23:29Bank of Ghana suspends five remittance operators over regulatory breaches
22:38TDC boss warns contractors on Kpone affordable housing project
00:49Ghana’s customs management system struggles under heavy load-Importers
09:36Foreign Affairs Minister meets AfCFTA Secretary-General to deepen economic diplomacy
02:27Govt pushes 24-Hour Economy through Volta Economic Corridor Programme
15:19Inflation falls to 11.5% in August, below end-year target
13:35