TUC demands cancellation of SSNIT's sale of hotel shares, threatens strike

The Secretary-General of the Trades Union Congress (TUC), Dr. Yaw Baah, has raised concerns over the Social Security and National Insurance Trust's (SSNIT) decision to sell its interest in six hotels, treating them as if they were financially distressed.

Addressing the media on May 20, 2024, Dr. Baah expressed surprise that the original proposal to sell stakes in six hotels has been reduced to four, suggesting that this change invalidates the entire sale process.

He also noted discrepancies between the proposed payment terms and the original Memorandum of Understanding (MoU).

"We find it extremely difficult to understand why SSNIT's interest in six hotels will be packaged and sold as if all the hotels are in the same financial position," he said.

"We find it difficult to understand why the original proposal for the sale of SSNIT's interest in six hotels has been reduced to four. We hold the view that this renders the whole process null and void. We have observed that the proposed payment terms have varied from the original MoU based on the recommendations," he added.

Dr. Baah further expressed the TUC's objection to selling shares to a company owned by a Minister of State, Bryan Acheampong, arguing that it is inappropriate.

"We also find it difficult to understand why SSNIT's interest in these hotels should be sold to a company owned by a Minister of State. We do not think this is right," he added.

The TUC demands an immediate halt to the sale process, threatening significant labour action if the Minister responsible for pensions does not intervene.

"We are calling on the Minister responsible for pensions to direct the board of trustees of SSNIT to cancel the process immediately; otherwise, we organized labour will advise ourselves," he warned.

The issue gained public attention after Samuel Okudzeto Ablakwa, an MP for North Tongu, called for scrutiny of the sale.

Ablakwa petitioned the CHRAJ to investigate potential conflicts of interest, abuse of power, and other legal breaches, citing specific articles of the 1992 Constitution.

In response, SSNIT defended its decision, stating that Rock City Hotel Limited presented the best proposal in a transparent process compliant with the Public Procurement Act.

SSNIT said its aim was to partner with an investor to raise capital and improve hotel management. However, both Ablakwa and the TUC have expressed their disagreement with SSNIT's justification for the sale.

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SSNIT's Sale of 60% Hotel Stake: TUC and Organised Labour asks Ministry of Finance to cancel SNNITs move to sell 60% share of their interest in some hotels. #JoyNews pic.twitter.com/8SuxB3I8og

— JoyNews (@JoyNewsOnTV) May 20, 2024