Gov’t, Organised Labour agree 9% pay rise for 2027, 10% for 2028

The Government of Ghana and Organised Labour have agreed to a 9% increase in public sector workers’ total remuneration for 2027 and a 10% base pay increase for 2028 under a two-year agreement.

The agreement, signed on Wednesday, October 28, and reached through the Public Services Joint Standing Negotiating Committee (PSJSNC), will take effect from January 1, 2027, and run until December 31, 2028.

Under the deal, 8 percentage points of the 2027 increase will go towards base pay across the board, while the remaining 1 percentage point will be allocated to Conditions of Service.

“The Parties agree to an increase in total remuneration of 9%, effective 1st January, 2027; of this, 8 percentage points is earmarked for base pay increase across board and 1 percentage point for Conditions of Service,” the agreement states in part.

For 2028, public sector workers will receive a 10% increase in base pay, calculated on the applicable base pay as of December 31, 2027.

The agreement also includes an income-protection provision under which the parties will reconvene to review the 2028 base pay if year-on-year inflation for December 2027 exceeds the agreed trigger linked to the government’s inflation projection.

The parties said the arrangement takes into account the need to protect workers’ incomes, sustain fiscal stability and maintain industrial harmony, while providing predictability during the proposed transition from the Fair Wages and Salaries Commission (FWSC) to the Independent Public Emoluments Commission (IPEC).

“The two-year arrangement is intended to provide predictability and a stable environment for the transition of the Fair Wages and Salaries Commission (FWSC) to the Independent Public Emoluments Commission (IPEC), subject to the applicable legislative processes,” the agreement states.

The government has also committed to pursuing the transition and related reforms, including the development of a National Emoluments Policy, a National Negotiations Policy and a performance- and productivity-linked pay framework.

Organised Labour is to be consulted quarterly on reforms affecting workers, while the FWSC and other existing bodies will retain their lawful functions until any transfer of authority takes legal effect.

The agreement was signed on behalf of the government by Dr George Smith-Graham, Chief Executive of the FWSC, with Finance Minister Dr Cassiel Ato Forson present.

Organised Labour was represented by Trades Union Congress (TUC) Secretary-General Joshua Ansah, with Ghana National Association of Teachers (GNAT) General Secretary Thomas T. Musah also listed in the agreement.

The parties further committed to resolving any disputes arising from the implementation of the agreement through dialogue, established negotiation procedures and lawful dispute-resolution mechanisms.