Accra: Dr Rashid Pelpuo, Minister of Labour, Jobs and Employment, has emphasized the need for a public sector pay framework that aligns fair wages with the state's fiscal capabilities. This call was made during the opening of a two-day stakeholder engagement between the Fair Wages and Salaries Commission (FWSC) and Organised Labour in Accra. The discussion focused on the proposed transition from the FWSC to the Independent Public Emoluments Commission (IPEC).
According to Ghana News Agency, the engagement aimed to gather feedback from Organised Labour regarding the draft IPEC Bill before its presentation to Parliament. The proposed legislation seeks to repeal the Fair Wages and Salaries Commission Act, 2007 (Act 737), establishing IPEC as the body responsible for managing Ghana's public sector compensation framework.
Dr Pelpuo highlighted that the proposed Commission offers a chance to enhance the institutional framework for public sector emoluments. However, he stressed the importance of ensuring that the new framework promotes fairness, independence, transparency, consistency, and accountability. He acknowledged the critical role of Organised Labour in national development and emphasized that workers' views should inform the proposed framework, linking compensation to economic realities, productivity, public service performance, and the state's obligations.
Dr George Smith-Graham, CEO of the FWSC, remarked that the transition to IPEC should focus on establishing a stronger and more credible compensation system, rather than merely a name change. He pointed out challenges faced by the Single Spine Pay Policy, including disparities in allowances and conditions of service, and the need to align compensation with productivity. He stated that the consultation is meant to shape the legislation based on evidence and build a legitimate compensation system across the public sector.
Mr Joshua Ansah, Secretary-General of the Ghana Trades Union Congress, representing Organised Labour, supported the initiative but called for a comprehensive approach to the reforms. He urged the Government to ensure Organised Labour's involvement throughout the process to achieve broad ownership of the new compensation framework. Mr Ansah stressed the importance of a holistic reform approach to establish a fair, transparent, and equitable public sector pay system.
The proposed IPEC aims to oversee the determination and management of public sector emoluments, guided by principles of fairness, transparency, consistency, accountability, and fiscal sustainability.