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Business News of Thursday, 1 December 2022

Source: GNA

Organised Labour revises demand for base pay increment to 65%

Executive Secretary of Civil and Local Government Staff Association of Ghana, Isaac Bampoe Addo Executive Secretary of Civil and Local Government Staff Association of Ghana, Isaac Bampoe Addo

The Organised Labour in Ghana has asked government to increase the base pay of public sector workers to 65 percent instead of the initial 60 percent demand.

This was presented at the fourth round of negotiations for next year’s salary with government on Wednesday, November 30, 2022.

The meeting, however, closed inconclusive after the parties could not reach an agreement.

Isaac Bampoe Addo, Executive Secretary, Civil and Local Government Staff Association of Ghana, said the new figure was being proposed due to the increment in taxes proposed in the 2023 Budget Statement and Economic Policy.

“Our demand is reasonable looking at the new tax increments in the 2023 budget,” he said.

“We have realised that some of the decisions made by the government won’t help our members if we take the 60 percent – take for instance, the increment of VAT by 2.5 percent,” he added.

He emphasised that they would not take anything below a 60 percent rise.

However, the government in the meeting proposed an 18 percent increment.

At the previous negotiations, the government offered a 15 percent rise, saying the highly-indebted economy could not sustain a higher wage bill.