By Edward Acquah, GNA
Accra, Oct. 28, GNA – The Government and Organised Labour have agreed to an eight per cent increase in base pay for public sector workers in 2027 and a 10 per cent increase in 2028.
Under the agreement, the 2027 adjustment comprises an eight per cent across-the-board increase in base pay and an additional one percentage point allocated to Conditions of Service, bringing the total remuneration increase to nine per cent.
The increases form part of a two-year public service remuneration agreement covering workers under the Single Spine Salary Structure (SSSS), effective January 1, 2027, to December 31, 2028.
A statement issued by the Public Affairs Unit of the Fair Wages and Salaries Commission (FWSC) on Wednesday said the 2028 base pay increase would be applied across the board, based on the applicable base pay as of December 31, 2027.
The agreement was reached through negotiations at the Public Services Joint Standing Negotiating Committee (PSJSNC), with the Government represented by the FWSC and the Ministry of Finance, and Organised Labour by workers’ unions and public service institutions.
The FWSC said the two-year framework was intended to provide predictability and stability during the transition from the Commission to the Independent Public Emoluments Commission (IPEC).
It said the parties had also agreed on measures to protect workers’ incomes against significant inflationary pressures.
The statement said the 2028 base pay adjustment was determined with consideration for the prevailing inflation rate and the Government’s inflation projections for 2027 and 2028.
It said the Public Services Joint Standing Negotiating Committee would reconvene to review the 2028 base pay adjustment if year-on-year inflation in December 2027 exceeded the eight per cent midpoint of the Government’s inflation projection by a factor of two.
The parties also agreed to review allowances during the transitional period to address distortions in the public service compensation system.
The Government would also consult Organised Labour quarterly on reforms.
The statement said the FWSC would continue to perform its lawful functions until any transfer of responsibilities to IPEC took legal effect.
Dr Cassiel Ato Forson, Minister of Finance, described the agreement as a milestone in public sector pay negotiations.
“Today marks a historic milestone in Ghana’s public service remuneration negotiations. For the first time, Government and Organised Labour have reached a two-year pay agreement,” he said.
The agreement, he said, was intended to protect workers’ incomes, provide families with greater certainty and enable the Government to plan and manage public spending responsibly.
Dr George Smith-Graham, Chief Executive of the FWSC, said the two-year arrangement reflected a shared commitment to industrial harmony, predictable public expenditure and income security for workers during the institutional transition.
He noted that the parties had sought to balance improvements in workers’ welfare with the country’s economic realities and fiscal sustainability.
Mr Joshua Ansah, Secretary-General of the Trades Union Congress (TUC), said the 2027 base pay adjustment was above the prevailing inflation rate.
“We recognise, however, that this figure does not fully reflect the pressures workers face in meeting their daily needs,” he said.
“While the agreement may not meet every expectation, it represents progress in our efforts to protect workers’ purchasing power.”
GNA
Edited by Agnes Boye-Doe
Reporter: Edward Acquah
[email protected]