Tuesday, 29 November

Gov’t freezes public sector employment

Politics
Ken Ofori-Atta - Finance Minister

To reduce public expenditure, the government has put a freeze on recruitment in the public sector beginning next year, 2023.

This is part of some 13 measures announced by the Finance Minister Ken Ofori-Atta in the 2023 budget statement presented in Parliament on Thursday, 24 November 2022.

These measures according to the finance minister are cabinet directives.  

The 13 measures are listed below:

1.All MDAs, MMDAs and SOEs are directed to reduce fuel allocations to Political Appointees and heads of MDAs, MMDAs and SOEs by 50%. This directive applies to all methods of fuel allocation including coupons, electronic cards, chit systems, and fuel depots. Accordingly, 50% of the previous year’s (2022) budget allocation for fuel shall be earmarked for official business pertaining to MDAs, MMDAs and SOES;

2. A ban on the use of V8s/V6s or its equivalent except for cross-country travel. All government vehicles would be registered with GV green number plates from January 2023;

3. Limited budgetary allocation for the purchase of vehicles. For the avoidance of doubt, purchase of new vehicles shall be restricted to locally assembled vehicles;

4. Only essential official foreign travel across government including SOEs shall be allowed. No official foreign travel shall be allowed for board members. Accordingly, all government institutions should submit a travel plan for the year 2023 by mid-December of all expected travels to the Chief of Staff;

5. As far as possible, meetings and workshops should be done within the official environment or government facilities;

6. Government-sponsored external training and Staff Development activities at the Office of the President, Ministries and SOEs must be put on hold for the 2023 financial year;

7. Reduction of expenditure on appointments including salary freezes together with suspension of certain allowances like housing, utilities and clothing, etc.;

8. A freeze on new tax waivers for foreign companies and review of tax exemptions for free zone, mining, oil and gas companies;

9. A hiring freeze for civil and public servants

10. No new government agencies shall be established in 2023;

11. There shall be no hampers for 2022;

12. There shall be no printing of diaries, notepads, calendars and other promotional merchandise by MDAs, MMDAs and SOEs for 2024;

13. All non-critical projects must be suspended for 2023 Financial year.

Source: Classfmonline.com/Emmanuel Mensah