FWSC eyes 90% reduction in Public Sector strikes under new pay reforms

The Fair Wages and Salaries Commission (FWSC) says public sector strike actions could reduce by more than 90 per cent once Ghana’s proposed Independent Emoluments Commission becomes fully operational.

Chief Executive Officer of the Fair Wages and Salaries Commission, George Smith-Graham, said the new commission would implement a national pay policy currently under development to address salary disparities and improve industrial relations across the public sector.

He explained that the policy is expected to be passed before the end of 2026 and would replace weaknesses in the current Single Spine Salary Structure introduced in 2010.

According to Dr Smith-Graham, one of the major shortcomings of the existing salary framework has been political interference, with compensation decisions often made outside the established institutional processes.

He said the proposed reforms would ensure that salary negotiations and pay determinations are handled through appropriate structures, reducing implementation challenges that frequently trigger industrial actions.

“Our aim is to make sure that there is total industrial harmony, and we are targeting 90 per cent and above strike-free, once we are looking at having better salaries or wages for our workers,” he said.

Dr Smith-Graham also announced that the Commission is developing a service charter to improve efficiency in handling labour-related submissions within specified timelines. He expressed confidence that stronger engagement with labour unions and improved service delivery would further reduce strike actions.

The Independent Emoluments Commission, which has been designated by the President as an institution in transition, is expected to have its enabling legislation passed by Parliament around October 2026. A draft of the legal instrument is currently undergoing internal review before wider stakeholder consultations.

Dr Smith-Graham said the consultation process would involve the Judiciary, Executive, Legislature, Organised Labour, state-owned enterprises (SOEs), the Attorney General’s Department and Cabinet before the bill is presented to Parliament.

He also highlighted concerns over the growing abuse of allowances within the public sector, noting that some workers classify routine responsibilities as special duties to justify additional payments.

“There’s a certain perception in the public service that once one institution gets an allowance, every institution will need to get a similar allowance, but thankfully there’s an opportunity to correct some of these things,” he said.

While acknowledging that implementing the new pay policy would have financial implications, Dr Smith-Graham stressed the need for fiscal discipline. He recalled that the introduction of the Single Spine Salary Structure significantly increased Ghana’s public sector wage bill from about six per cent to 12 per cent of Gross Domestic Product (GDP).

He said the new compensation framework would operate within a clearly defined national wage envelope to ensure government spending remains sustainable.

“It shouldn’t be the reverse—that you pay salaries and after you pay all the bills you realise there’s nothing left in the coffers,” he cautioned.

Looking ahead, Dr Smith-Graham announced plans for a national productivity roundtable before the end of the year to develop mechanisms linking public sector pay to performance. He added that the Commission is also preparing a separate policy on performance and productivity to support the new compensation framework.

He encouraged stakeholders to draw lessons from the implementation of the Single Spine Salary Structure to ensure a smooth transition to a more sustainable and equitable public sector pay system.