Features
Is scrapping of workers’ ESB best option for a state enterprise?
End-of-Service Benefit (ESB) is usually, a cash benefit that is paid to workers by their employers upon their compulsory retirement or when their services are abruptly terminated by their hiring institutions. This is calculated on the basis of last wage which the worker was entitled to namely the basic salary. Hence, it will not include allowances such as housing, conveyance, utilities, furniture among others. Also, a worker who has spent one year or more in continuous service shall be entitled to an ESB gratuity upon the termination of his service.
WHAT THE LAW STATES ABOUT ESB
The Labour Law makes it clear that if the term of service is less than one year, there is no eligibility for gratuity compensation. However, for service of more than one year, but less than five years, the entire gratuity compensation would be equivalent to 21 days of salary each year of service. For instance, if you have worked for a company for four years, your ESB gratuity would equal 21 days’ wage multiplied by four. Employees who have worked for more than five years, will get ESB gratuity of 30 days salary for each year worked beyond the five- year service.
The payment of ESB to workers which was restored by the National Tripartite Committee (NTC), representing the government, organised labour and employers in 2002, to supplement the Social Security and National Insurance Trust (SSNIT) Pension Scheme after it was frozen in 1990, was aimed at providing an enhanced financial security for the worker in retirement as a means of promoting equity, higher productivity and loyalty within the establishment or an organisation.
THE RELEVANCE OF ESB
This means that the ESB in its entirety is so relevant and beneficial to workers as they start their new lives during retirement from active service. It is, therefore, a scheme which needs protection and sustenance because life after retirement is very difficult and hectic. It is during retirement after 60 years of active service that you will realise that you need some form of financial support to tackle health issues, particularly medications and other medical issues and the only means of support especially when you do not have any dependant to supplement your meagre pension allowance, would be your ESB.
The framers of the Labour Laws were conscious of that shortcoming and the burden it would pose to pensioners, hence the fixation of the ESB into the law to cater for some of these problems and, therefore, need to be commended for their foresight. Any attempt by any state-owned establishment to on its own volition suspend or cancel the ESB, means it is insensitive to the plight of its workers and, therefore, acting callously and wickedly.
SUSTENANCE OF THE ESB SCHEME
What state-owned enterprises should do to sustain the scheme, is to ensure that funds accruing should be managed separately and independent of their enterprises. They should make sure that employees should as much as practicable have access to the benefits only when leaving the service of their employer. They must encourage parties at the enterprise level to explore the possibilities of modifying the operations of existing supplementary schemes to emphasise their terminal character.
It is important to state that the termination of the ESB scheme in 1990, attracted mixed feelings and agitations from workers especially those that were deemed disqualified by their enterprises and, therefore, received no benefits at all from their employers. It was on that premise that workers welcomed the announcement by government to restore the scheme in 2002.
NTC AT THE PUBLIC ACCOUNT COMMITTEE
When the Managing Director of the New Times Corporation (NTC), Mr. Martin Adu-Owusu, appeared before the Public Accounts Committee (PAC) of Parliament recently, he painted a gloomy picture of the corporation, especially the lack of inflow of the needed funds to sustain and keep the operations of the NTC active.
The Auditor General in its 2020 report on Public Boards and Corporations noted that debtors of the state-owned media organisation have become numbed in redeeming their indebtedness to the NTC. Customers’ balances recorded by head office showed GHc196, 603.73 and GHc185, 935.76 in respect of stopped subscriptions and vendors as against GHc151, 932.93 and GHc 124,807.19.
The managing director told the committee that, though some of the debtors had started responding following a February 1, 2023, deadline, the NTC would be exploring legal action against recalcitrant ones. Hear the MD in part: “We have made several efforts including the Minister of Information writing to our debtors to do the needful. What we have done since last year, was to serve notices in our newspapers so that those who owe us will come and pay. The deadline was February 1, 2023. I have started receiving letters from the debtors coming to arrange for payments. From this stage, we will move a step further by taking legal action against the debtors because we have done all that we could but the situation is not improving”.
SAM NARTEY GEORGE’S ADVICE TO NTC DEBTORS
Indeed, one remarkable feature that needs commendation was the call by Sam Nartey George, Member of Parliament for Ningo Prampram to individuals and organisations that are indebted to the NTC to redeem their indebtedness to enable the corporation to function effectively. He said the locked- up funds with the debtors go into running of the publisher and that their failure could run the corporation aground.
SUSPENSION OF ESB
Definitely, the New Times Corporation is confronted with huge financial problem to keep the corporation running. However, that should not give room for the managing director to announce an intention of either suspending or cancelling the workers ESB in the near future because the corporation is not in a healthy financial position to continue with the scheme. That to this writer who happened to be a former Editor of the Ghanaian Times newspaper and other well-meaning Ghanaians, will not be the best path to follow. Has the MD weighed the magnitude of his statement? He must realise that such a statement will automatically lower the morale of the workers and eventually affect productivity, knowing very well that they are not entitled to ESB when they retire from the corporation.
PAYING LIP-SERVICE TO NTC
It is sad that governments upon governments both in the past and present have always relied or depended on the New Times Corporation newspapers, especially The Ghanaian Times to prosecute their political agenda and other selfish interests yet they have failed to see to it that the corporation stood on its feet in terms of financial recapitalisation. Politicians see the NTC as a dumping ground for all kind of propagandist and other campaign materials and that to me in particular, had branded the corporation’s products as government newspapers and, therefore, people continue to feel reluctant to patronise them. Otherwise, how can a big corporation like the NTC print their newspapers at Graphic Corporation and Daily Guide for barely two years now without government’s intervention? Is it an intention to kill the fortunes of the corporation and turn around to acquire the NTC for selfish reason?
Indeed, the New Times Corporation, which is a state-owned media, arguably, has the Graphic Corporation as its major competitor in the newspaper industry. Today, Graphic is making it just because it has continued to set its priorities right by doing what it takes to rake in the needed revenue to support its operations and keep the corporation going. I sincerely believe that, Times can do same by identifying its problems and other shortcomings which include, chasing of its debtors by resorting to the law courts to recover the huge debt owed to the corporation by its creditors as well as repositioning and rebranding its products to attract readers and other patrons.
HELPING NTC TO DELIVER ON MANDATE
THE Information Minister, Mr Kojo Oppong Nkrumah, recently promised that his ministry was doing everything possible to help the New Times Corporation to come out from its present predicament and to make the place viable. It is the hope of many especially, workers and management of the NTC that this assurance will not be in futility.
Indeed, it was time the government and other well-meaning Ghanaians went to the aid of the NTC and help them out of their present challenges. The corporation has nurtured good talents in the past and still has a crop of journalists and other staff who should be supported to expand their horizon.
Contact email/WhatsApp of author:
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0277753946/0248933366
By Charles Neequaye
After a heavy rain in Accra, the story Ghana repeats itself is easy to see. Drains overflow, streets turn into streams, and families are forced to wade through waist-deep, dirty water. When the floods finally recede, they leave behind more than just mud; they leave a tangled net of sachet wrappers, takeaway packs, and plastic bags that trap our neighbourhoods.
At the same time, in our homes and markets, piles of cassava peels and spoiled fruits rot in open bins, attracting pests and emitting foul odours. This is not just a nuisance; it is a national economic failure. The plastic blocking our drains and the organic matter that could restore our soils are both being treated as rubbish when they should be treated as resources.
Ghana is at a crossroads. We can continue the “take–make–waste” culture that floods our neighbourhoods, damages public health, and drains local government budgets. Or we can choose a practical, Ghana-ready circular approach: reduce plastics at the source, collect what remains efficiently, and separate organic waste so it becomes compost and bio fertiliser for farming. If Ghana harmonises plastic reduction with urban nutrient cycling, we can solve two national problems with one coordinated system cleaner cities and stronger food security.
The unseen link between plastics, floods, and food prices
Plastic pollution is often framed as an environmental issue. But in Ghana, it is also an infrastructure and public health problem. When drains are choked, flooding damages property, disrupts business, spreads disease, and increases the cost of city management. Assemblies spend scarce resources on emergency desilting and clean-up money that could have improved sanitation systems permanently. But the link does not end there. Our waste crisis is now feeding our food crisis.
Most of what Ghana throws away is not plastic. A large fraction is organic waste biodegradable material that should never be mixed with plastics in the first place. When organics and plastics are mixed in the same bins and the same trucks, everything becomes “dirty”: plastics are harder to recycle and organic matter becomes contaminated and unusable for compost. The result is a lose–lose system where nothing returns to productive use.
This matters because Ghana’s soils are tired. Farmers across the country complain about declining fertility and rising fertiliser costs. If our cities were capturing organic waste cleanly and converting it into high-quality compost or bio fertiliser, that material could return to farms as soil amendment improving yields, reducing dependence on imported inputs, and strengthening resilience. In other words, the waste we bury today is the fertility we import tomorrow.
Why the current approach keeps failing
Ghana’s waste system is still largely designed for “collection and disposal,” not “collection and recovery.” That is why, even when clean-up campaigns happen, the problem returns quickly. We are treating symptoms, not the system. Three structural failures keep recycling and composting from scaling:
1) We do not separate waste at the source: once plastics, food waste, and other refuse are mixed together, it is expensive and often unsafe to sort
2) We have weak accountability for packaging; plastic producers and major distributors profit from packaging, but the cost of cleanup is left mostly to assemblies and taxpayers. That imbalance is unsustainable.
3) We don’t link waste recovery to strong end-markets: recycling and composting only survive when there is steady demand: manufacturers buying recycled plastics and farmers or institutions buying compost. Without guaranteed markets, recovery systems collapse.
The good news is that these failures are not destiny. They are policy choices and can be corrected. To make this real, Ghana must adopt a practical two-stream approach:
- Stream 1: Dry recyclables (plastics, metals, cartons)
- Stream 2: Organic waste (food and green waste for composting)
This separation is the bridge that connects plastic reduction to nutrient cycling. When organics are kept separate, compost becomes cleaner and safer. When dry recyclables are not soaked in rot and liquids, recycling capture becomes easier and more profitable.
A Five-Point Policy Package
1. Make Extended Producer Responsibility (EPR) real
Producers and major importers of plastic packaging must help fund its collection and recovery. This is not punishment; it is responsibility. EPR should require: registration of major packaging producers/importers, clear recovery targets, audited reporting, and a ring-fenced fund that supports collection, sorting, and recycling infrastructure. When producers share the cost, assemblies are less overwhelmed and recovery systems become financially viable.
2. Launch citywide source separation starting with pilots that actually scale.
Assemblies should begin with high-impact zones: markets, institutions, and dense neighbourhoods. Keep it simple: two bins (dry recyclables and organics), predictable collection days, community education in local languages, enforcement that is fair and gradual (warnings first, then penalties). The aim is not to punish households; it is to create a new normal that makes sorting easy and consistent.
3. Build composting and bio fertiliser capacity and guarantee offtake to agriculture.
Separation only matters if there is a destination. Ghana should invest in: municipal composting hubs, private compost enterprises, and quality standards to protect farmers from contaminated products. Most importantly, link compost to demand. Government agriculture programmes, district assemblies, and farmer cooperatives can create an offtake market so compost plants do not die from lack of buyers. This is where waste policy and food policy meet.
4. Integrate the informal sector properly because they are already doing the work.
Waste pickers and informal collectors are not a problem; they are part of the solution. Any serious circular strategy must include: contracts or cooperative arrangements, PPE and basic health protections, fair pricing systems at sorting centres, and training on safe handling. If we ignore the informal sector, we lose capacity. If we formalise them without respect, we create conflict. Integration must be practical and dignified.
5. Use public procurement and incentives to grow circular markets.
Circular systems need buyers. Government can help by: prioritising products made with recycled content where feasible, supporting local manufacturing of recycled plastic items (pipes, bins, furniture), providing tax incentives or concessional financing for recycling/composting businesses, and rewarding compliance and innovation instead of only punishing failure.
Final Statement
Ghana’s waste crisis is not only about litter; it is about lost opportunity. Plastic can be recovered. Organic waste can be composted. Jobs can be created across collection, sorting, processing, logistics, and retail. Assemblies can spend less on emergency clean-up and more on permanent sanitation. Farmers can access local soil amendments and reduce vulnerability to imported input shocks. But none of this happens by accident. It requires alignment: environmental regulation, local government action, private sector investment, and agricultural offtake all moving in the same direction. We do not need more sympathy speeches after floods. We need systems that prevent the next flood, reduce the next disease outbreak, and rebuild the next harvest. A circular Ghana is not a dream. It is a decision.
By Lawrencia Yeboah-Duah
There was quite a decent crowd at the Beach Club. The boys were already seated, and two waiters were standing by them, taking their orders. We also placed ours, and joined the conversation after introductions. ‘
So madam’, I said as I turned towards Kwakyewaa, ‘What are you studying in France?’ ‘Actually, I just completed my Diploma in Building Decoration. I studied Land Economy at KNUST, and whilst on a visit to France I met a school mate who was studying in a Design School, and after some discussions I also enrolled on the course’.
‘That is very interesting. So what aspects of building design did you cover?’
‘Well, naturally I studied some general aspects of buildings, then I concentrated on the fittings and other things that make them look nice’.
‘Very interesting. Perhaps you can give me a few interesting design ideas. When are you going back?’ ‘In two weeks. I need to go and find a job’.
‘I will need to talk with you at some length, before you leave’.
‘I didn’t know you were into buildings. First I learned that you were into agriculture, but yesterday Esaaba said you were rather into development work in the north’.
‘Esaaba is very correct. I have been in development work in the north for three years. But I need to discuss a building project I’m doing in Accra’.
‘Anytime. I will be very ready to help’.
After quite a bit of dancing, we decided to call it a night, and I took off with the two ladies for the ride home. ‘David’, Esaaba said, ‘thanks for a wonderful evening. What a lovely place’.
‘Yes indeed’, Kwakyewaa said. ‘Nice place, nice band, and beautiful environment. Many thanks, David’. ‘If you have really enjoyed it as you say, then let’s do it again’.
‘We promise!’ the two ladies said as if on cue, and broke into laughter.
‘David, when do you want to have the discussion you mentioned?’
‘Anytime convenient to you. How about lunchtime on Monday? I can pick you up around eleven-thirty’. ‘It is fine. I don’t have anything planned for Monday. I will be looking forward to it’.
‘I got to the house on Monday as planned, and was about to step out of the car when Kwakyewaa came out, followed by Esaaba’. ‘Esaaba’, I said, ‘I thought you would be at work at the pharmacy at this time’. ‘I should, but I stayed home to do a report for our head office. I am on my way now. I will get off at the roundabout’. ‘I will drop you at the office, but before that, you are joining us for lunch’.
‘Okay Bernard. No objection’.
‘Now, Esaaba, I need to mention this. Has Abena informed you that our relationship is over?’
‘She hasn’t told me in black and white, but I get that impression from her body language and some of her utterances. For example, I was surprised that she was going out last Friday with Jennifer when you came to the house. You had been out of town for a while, and I thought she would want to spend time with you’.
‘We haven’t sat down to discuss this, but as you said, her utterances and body language were a little unusual, but I now have confirmation that she is seeing someone.
Quite a number of people have seen them together, and she used to ask me some funny questions about my work. I hear she has been saying that I am not doing any development work, but I’m rather an agricultural extension officer, and that she has met a wealthy person who can take care of her. She’s free to believe or say anything she likes, so I won’t bother to discuss it with her. I think she would prefer that.
‘I’m surprised she hasn’t said anything to us. Perhaps she believes that because of our relationship with you, we would not approve’.
‘Maybe, but it’s her life. She’s free to do what she wants. But she can’t stop me from coming to spend time with you guys’
I dropped Esaaba at work, and drove to the office. Kwakyewa greeted Eva and Robert, and after offering her a seat, I introduced them. ‘Now Kwakyewaa’, after my B.Sc. Economics degree I did an MA in Project Management, and got a job as Project Manager with the EU, based in the north. It has been a very enjoyable job, and fortunately well paid. Soon as I started, my mentor advised me to find some run down or uncompleted buildings in prime areas, buy them and, after fixing them up, put them up for sale.
I have done several, and I have now bought a block of six houses. I have just started the process of fixing them. Now, I would like you to take a look at the block, and offer me some advice. First, take a look at these documents’. I opened a page on my laptop and placed it in front of her.
‘Wow, this is very interesting. You know, I did similar work for a firm in France. When can we go to the site?’ ‘Right now. Eva, would you like to join us? I know Robert is expecting some visitors.’
We spent over two hours at the site, with Eva and I, offering answers to her numerous questions. Finally, we arrived back at the office. ‘This is really exciting, and very impressive. I would like to make some suggestions, on design, painting, and landscape’. ‘You start work tomorrow. Eva or Robert will pick you up, and drop you after work’.
‘Okay. I will try to do as much as I can before I leave’.
‘You are assuming that I will allow you to leave in two weeks?’ She broke into great laughter. ‘Shall we get a drink before I drop you?’ ‘Of course. Let’s talk in some detail about the project. So you are a very big man. Does Abena know about this?’ ‘No. We had a good relationship until she started spending time with Jennifer. She changed completely, so I quickly lost interest’. ‘Maybe she would not have taken that decision if she really knew the kind of person you are’.
‘I think I gave her enough indication, but she is easily swayed by appearances. She and Jennifer were always talking about rich people, well dressed people, stuff like that. I resent that. I also like the good life, but I prefer a low profile’.
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