The government has authorized a 10% salary increment for public sector employees under the Single Spine Salary Structure (SSSS) for the 2025 fiscal year. 

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This adjustment, which takes effect from January 1, 2025, will remain in place until December 2025.

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The agreement, finalized on February 20, stemmed from negotiations between the government represented by the Fair Wages and Salaries Commission, the Ministry of Labour, Jobs, and Employment, and the Ministry of Finance and Organized Labour.

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It emerged from extensive discussions within the Public Services Joint Standing Negotiating Committee, involving key labor unions and public sector institutions.

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The deal was formally ratified by Ing. Benjamin Arthur, Chief Executive of the Fair Wages and Salaries Commission, Bro. Joshua Ansah, Secretary-General of the Trades Union Congress, Dr. Abdul-Rashid Hassan Pelpuo, Minister for Labour, Jobs, and Employment, Dr. Isaac Bampoe Addo, Chairman of FORUM, and Dr. Cassiel Ato Baah Forson, Minister of Finance.

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This latest salary adjustment follows a 23% increase in 2024, which was introduced to cushion workers from the effects of economic challenges and rising living costs.  The new increment aims to provide some financial respite to public sector employees as they navigate the economic realities of 2025.

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However, with economic growth slowing and the government adhering to an IMF-backed fiscal consolidation plan, officials took a more restrained approach in 2025 to avoid placing additional pressure on public finances.

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Although labor unions have accepted the deal, many members remain dissatisfied, arguing that the increment does not adequately address rising living costs.

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According to the spokesperson for the Civil and Local Government Staff Association of Ghana, Isaac Bampoe Addo,  “This is a far cry from what workers deserve, but given the fiscal realities, we’ve chosen pragmatism over prolonged disputes.”

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The pay raise will benefit a broad spectrum of public sector employees, including teachers, healthcare workers, and civil servants, many of whom have struggled with declining purchasing power. However, economists warn that with inflation at 23.8% as of December 2024, the increase may not be enough to offset rising expenses.

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Critics contend that the government’s focus on salary hikes overlooks deeper structural inefficiencies in the public sector and broader economic challenges.

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