Ghana: Daily minimum wage has been increased

The daily minimum wage in Ghana has been increased.

Newshuntermag.com has learnt the 2021 National Daily Minimum Wage was increased by six per cent to GH₵12.53.

This takes effective from June 4, 2021. It represents 71 pesewas increase on the GH₵11.82 that took effect on January 1, 2020.

According to a communiqué by the National Tripartite Committee (NTC) on the 2021 and 2022 NDMW, the new wage was in line with the Labour Act, 2003 (Act 651) section 113 (1) (a) and after negotiations between members of the committee.

GHc 13.53 was also set for the 2022 National Daily Minimum Wage which is to take effect on January 1, 2022, at GHc13.53.

The communique was jointly signed by the Minister of Employment and Labour Relations, Mr Ignatius Baffour Awuah, the President of the Ghana Employers’ Association, Mr Daniel Acheampong and the Secretary-General of the Trades Union Congress, Dr Anthony Yaw Baah.

They further recommended that the NDMW should be tax-exempt.

“In determining the new rates, the NTC took into account the impact of the Coronavirus (COVID-19) pandemic on the national economy, cost of living, sustainability of businesses and desirability of attaining high level of employment,” the communique reads.

“All establishments, institutions or organisations whose Daily Minimum Wage is below the 2021 National Daily Minimum Wage should adjust their wages accordingly with effect from 4th June, 2021.

“Any establishment, institution or organisation that flouts the new rate shall be sanctioned in accordance with the law. The NTC recommends that the NDMW should be tax exempt”.

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