As the 2024 base pay negotiations commenced, discussions between the government and labor unions have set the stage for critical deliberations regarding the base pay for 2024. Yesterday’s pivotal negotiations saw initial offers and demands that highlighted the contrasting perspectives of both sides. The outcome of these negotiations will significantly shape the financial future of the workforce. Let us delve into the details of this negotiation saga and its potential implications.
OVERVIEW
The government's initial offer of a 10% base pay increase went to a significant uptick, later stood at 15% in the first meeting held on Monday November 13,2023. This adjustment comes as the government projects a decline in inflation to 15% by the end of 2024. On the other hand, labor unions shifted from their ambitious demand of 75.1% to a more pragmatic range of 60%-65%. However, tensions persisted as labor unions firmly rejected the government's 15% proposition and insist on the higher bracket.
As the day's discussions drew to a close, it became evident that reaching a consensus was challenging. The labor unions rejected the government's 15% offer, paving the way for further negotiations scheduled for today November 14,2023.
It was up to the both parties to find a common ground that aligns with their respective interests and concerns. The hopes were buoyed by the urgency of the looming budget deadline, which necessitates finalizing base pay adjustments to be incorporated into the budget..
After the meeting which was slated for today November 14,2023, the government and the Organized Labour, have finally agreed on
1. 23% across board from January 2024 to June 2024
2. That from July 2024 to December 2024 the Base Pay would be readjusted to 25% increment on the base pay effective January.
AGREEMENT ON BASE PAY FOR 2024
THIS AGREEMENT is made this 14th day of November, 2024
BETWEEN
The Government of Ghana, represented by the Fair Wages and Salaries Commission (FWSC), Ministry of Employment and Labour Relations (MELR), and Ministry of Finance (MOF), (hereinafter called "The Employer') of the one part,
AND
Organized Labour comprising workers Unions, Associations, and Institutions within the Public Service of Ghana (hereinafter called ('Labour') of the other part.
Whereas the Parties negotiating as the Public Services Joint Standing Negotiating Committee (PSJSNC) have concluded negotiations for the 2024 Single Spine Salary Structure Base Pay as follows:
TERMS OF AGREEMENT
1. That the Base Pay on the Single Spine Salary Structure (SSSS) has been increased by 23% across board from January 2024 to June 2024
2. That from July 2024 to December 2024 the Base Pay would be readjusted to 25%
