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Minimum wage that cannot take the worker anywhere!
The National Tripartite Committee (NTC) recently announced an increase in the national daily minimum wage to GHc 12.53 which represents a four per cent increment on the 2020 figure of GHc 11.82. The increment followed a conclusion of negotiations on the determination of the National Daily Minimum Wage in respect of 2021 and 2022 at its meeting held on Thursday, June 3, 2021, in Accra.
The determination of the national minimum wage is in accordance with Section 113 (1) (a) of the Labour Act, 2003 (Act 651).
NATIONAL MINIMUM WAGE
At the end of that meeting, it was also agreed that for the year 2022, the national daily minimum wage would be pegged at GHc 13.53, a seven per cent increment on the 2021 figure.
The reason assigned to the current figures was that the NTC took into account the COVID-19 pandemic and its attendant hardships that strongly influenced the percentage increases in the salary adjustments.
“In determining the new rates, the NTC took into account the impact of the Covid-19 pandemic on the national economy, cost of living, sustainability of businesses and the desirability of attaining high level of employment,” it stated.The national minimum wage rate for 2021 which is tax exempt took effect from June 4, 2021.
DON’T USE COVID-19 AS AN EXCUSE
The Trades Union Congress (TUC), had early on, asked the government to stop using COVID-19 pandemic as an excuse and review the salaries of the workers upwards to help them deal with the recent economic hardships in the country.
Organised labour argument is that the recent fuel increments, coupled with the skyrocketing prices of goods and services, are taking a toll on the Ghanaian worker. They have pleaded with government to review workers’ salaries, as well as taxes to reduce their financial burden.
Indeed, times are hard and workers are justifiably right in asking for salary increases that will stand the test of time and support them to make ends meet with their families and other dependants. You cannot begrudge them. The workers are, indeed, not happy with the TUC for their stance in the recent salary negotiations, accusing the union of stabbing them at the back.
GLOBAL EMERGENCE OF MINIMUM WAGE
For the benefit of my readers and patrons, it is important to delve a bit into history of how this minimum wage came into being globally, vis- a- vis how some countries have managed to make their workers better using the National Minimum Wage formula.
The minimum wage concept was first introduced in New Zealand in 1984 and the Austrian State of Victoria in 1986. The motivation was to fight poverty among the working class, particularly the segment of the workers that was not covered by collective agreements and was vulnerable to low pay conditions. By close of 2016, about 160 economies of 189, had a minimum wage. Countries with national minimum wage include, United States of America (USA), South Korea, Spain, Portugal, Argentina, Australia, Austria, Belgium, Benin, Botswana, Brazil, Burkina Faso among others.
THE WORK OF THE TRIPARTITE COMMITTEE
Over here in Ghana, the annual fixing of the minimum wage lies in the bosom of the Tripartite Committee made up of the government, employer and the worker. The committee is headed by the Minister of Employment and Social Welfare. The committee is established under section 112 of the Labour Law, Act 651 of 2003. Its core mandate is to review and adjust the minimum wage in line with the changes in the economic and social circumstances of the country including changes in the cost of living. This ensures that the minimum wage stays closer to the economic and social realities of the country. The minimum wage covers workers in all sectors of the economy.
It is unfortunate that despite annual adjustment, Ghana’s minimum wage is normally very low wage. The minimum wage has remained around US$ 2.00 a day for the past decade. It is also significant to note that increases in the minimum wage have always been below inflation rate and that has often led to decreases in real minimum wage.
It appears that the national institutions that have the mandate to enforce the minimum wage and other labour legislations are too weak to carry out their duties.
SIGNIFICANCE OF MINIMUM WAGE INTRODUCTION
When the minimum wage was introduced in the country in 1939, the major objective was to fight poverty among the working class. It was to ensure that people working on full time basis, could earn enough to enable them and their families to escape poverty. Thus, minimum wage increases are aimed at motivating workers to raise their effort levels and spur greater investments in human capital as well as boosting labour productivity.
Another major weakness in Ghana’s minimum wage is the lack of enforcement. This has resulted in high level of non-compliance. Enforcement is hampered by the failure of the state to resource the industrial relations institutions that are mandated to enforce the minimum wage and other labour legislations.
REPORTS OF ARTICLE 71 OFFICE HOLDERS EARNING FAT SALARIES
Currently there are allegations that while the average workers are being asked to tighten their belt by receiving as low as six per cent increment in their 2020 salaries for this year, Article 71 office holders who include the President and his Vice, the Speaker of Parliament, the Chief Justice and the Justices of the Supreme Court, Members of Parliament, Ministers of State, political appointees and public servants, are paying themselves fat salaries at the blind side of the workers. If that is the case as being peddled on social media, then that is most unfortunate and not healthy for this country.
The Tripartite Committee which sat and arrived at the six per cent increment use the COVID-19 pandemic which has affected the economy greatly as a yardstick for fixing the percentage increase and, therefore, that should be the overriding principle in the determination of the general salaries for this country. Besides, the Executive and ministers of state and other government functionaries are already earning good salaries with other service conditions that go with them. Therefore, giving themselves more salaries is not in the best interest of a country such as Ghana which is facing a lot of challenges with the economy.
FREEZE ON SALARY INCREMENTS FOR EXECUTIVE, OTHERS
The President must give true meaning to his recent announcement that he has put a freeze on salary increments for himself, the Vice President, ministers of state and all other appointees of the Executive as a way of appreciating the plight of Ghanaians in the wake of the negative economic impact of the pandemic.
Indeed, the workers are suffering and the recent four per cent increase in their salaries is nothing good to sustain them, especially when most of them have other dependants and families to cater for. This is the time for the Trades Union Congress (TUC) and other organised labour unions to team up and fight for the rights of workers. Money being spent aimlessly on unnecessary projects at this point in time needs to be channeled to improve the welfare of workers who are toiling day and night with their sweat to build this nation.
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By: Charles Neequaye
I experienced something on Monday, June 15, that really frustrated me. I had to go to the ministries but I could not get up early that day so I decided to pick a taxi and get to the Tuba Junction.
When I got there I realised that Traffic had built up from the Toll Booth towards Accra. After a while I got a Taxi and it was when we got to a certain spot on the road, that I realised why there was a traffic jam.
There is a short stretch of the road where each time it rains heavily, loose material run down the hill onto the road, blocking one side of the road. Vehicles from Kasoa to Accra are then forced to move into one of the lanes of those going towards Kasoa from Accra.
The two lane road from Accra to Kasoa becomes a single carriage way. That was the reason for the traffic jam from the toll booth onwards.
This has been a perineal problem and yet, no permanent solution has been found till date. The area falls under Ga South and even though, a new MCE has taken over, the technocrats are still there and so the problem is not new to them.
There is therefore no excuse for the inability of the Ga South Metropolitan Assembly to resolving the problem on that stretch of the road. Apart from the Ga South Metropolitan Assembly, another institution that must be held accountable is the Ghana Highways Authority.
The Highways Authority cannot say they are unaware of this issue. The fact that the problem falls within the area of responsibility of the Ga South Assembly, does not relieve the Ghana Highways Authority, of their responsibility of ensuring that our highways are maintained in a motorable state at all times.
A collaboration between the Ghana Highways Authority and The Ga South Municipal Assembly is required for a permanent resolution of the problem.
There was another traffic jam at a place called Atala about 250 metres to the traffic light at Old Barrier as a result of an issue similar to the one close to the toll booth, that I talked about earlier.
When we got to Weija junction, we encountered another traffic jam. The cause of this jam was a bad condition of road about 80 metres from the traffic light at Ga South Hospital heading towards Accra.
Due to the bad nature at that section of the road, vehicles are compelled to slow down resulting in a traffic jam stretching all the way to Weija Junction.
I started wondering if that short stretch of road cannot be sorted on one Sunday when traffic is usually light. When we got to the traffic light at Odorkor, there was another issue.
When the traffic light shows green, there is a slow down because there is a big pothole or should I say manhole in the outer lane, right at the traffic light. Vehicles in the outer lane are compelled to swerve into the second lane thereby causing a traffic to slow down and resulting in a traffic jam.
It is very important to take into account the effect of traffic jam on the national economy. If we are able to assess the value of the loss to the economy of the nation, I believe the issue of traffic jam will be prioritised.
Imagine persons working at various Government Organisations like Registrar General’s Department, Ghana Ports and Habours Authority, Ghana Revenue Authority, CEPS etc. and lives at Kasoa and whose job is to collect revenue for the state and is held up in traffic.
Just imagine the effect their lateness to work will have on the economy if you consider the delays in say clearing of goods at the port and as a result traders cannot sell their goods for government to generate the required taxes.
Let us deal with the traffic jams on our streets to promote economic growth. God bless.
By Laud Kissi-Mensah
Mortality is an inherent aspect of life, a universal experience that has sparked philosophical, theological, and scientific inquiry throughout human history.
This article aims to provide a comprehensive and nuanced exploration of mortality, acknowledging the complexity of the topic and the diverse perspectives surrounding it.
The biological imperative
From a biological standpoint, death is a natural part of the life cycle. It serves as a mechanism for the evolution of species, allowing for the passing on of genetic material and the adaptation to environmental changes.
Evolutionary perspective: Death allows for the recycling of resources, promoting the survival and adaptation of species.
Life span and senescence: Cellular aging and the limitations of biological systems contribute to mortality.
Philosophical and existential perspectives
Existentialism: Emphasises individual freedom and responsibility in the face of mortality.
Meaning and purpose: The finite nature of life can prompt individuals to seek meaning and purpose.
The human condition: Mortality is a fundamental aspect of the human experience, shaping our perceptions and values.
Cultural and spiritual views
Afterlife and spirituality: Many cultures and religions believe in an afterlife or spiritual continuation.
Rituals and mourning: Cultural practices surrounding death reflect the significance of mortality in human experience.
Legacy and remembrance: The impact of one’s life can transcend mortality.
Ethical considerations
End-of-life care: Ethical debates surround issues like euthanasia, assisted dying, and palliative care.
Quality of life: Balancing the value of life with the quality of life is a complex ethical issue.
Resource allocation: Societal decisions about healthcare and resource distribution involve considerations of mortality.
Psychological impact
Grief and loss: The experience of mortality can evoke profound emotional responses.
Fear and anxiety: The awareness of mortality can lead to existential anxiety.
Appreciation and gratitude: Recognising mortality can foster appreciation for life.
Conclusion
Mortality is a multifaceted aspect of human existence, influencing how we live, relate, and find meaning. Understanding and acknowledging mortality can prompt deeper reflections on life and our place in the world.
By Robert Ekow Grimmond-Thompson
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