Dr. Edward Kwapong-CEO of FWSC

Chief Executive of the Fair Wages and Salaries Commission (FWSC) Dr. Edward Kwapong says any increment in the minimum wage will be tricky.

This he projects considering the effects of the pandemic on Ghana’s economy.

There are concerns that the current minimum wage of ¢11 is outrageously low.

Speaking to Joy Business, Dr Edward Kwapong revealed that any upward review will be subject to Ghana’s economic recovery from the coronavirus pandemic.

“Generally it’s been agreed that levels are low in this country and we all worry about that. As I speak, the latest figures indicate that 65 per cent of domestic revenue goes into the compensation of public servants – the remainder for goods and services and Capital Expenditure.

“It makes it a tricky one if we continue to increase salary levels we may not have anything at all for other development issues. And so we are careful not to suggest figures that are high especially now when Covid-19 has hit,” he disclosed to Joy Business.

2020 Minimum Daily Wage

The 2020 National Daily Minimum Wage (NDMW) experienced an upward review from ¢10.65 in 2019 to ¢11.82, effective January 1, 2020.

This is in pursuance to the Labour Act, 2003 (Act 651) section 113 (1) (a) and the Public Financial Management Act, 2016 (Act 921).

Meanwhile, Dr Edward Kwapong has hinted of a performance management system intended to measure the productivity of public servants and match them up to their output.

“We don’t have a nationwide Performance management system. We have initiated the process of piloting performance management over 50 institutions. Salary increment will now be subject to productivity.”