Ghanaians on June 3 received the news of an increase in the National Daily Minimum Wage from GHc11.82 to ¢12.53, effective June 4 representing a 6% increment on the 2020 figure.
The National Tripartite Committee (NTC) following a conclusion of negotiations on the determination of the National Daily Minimum Wage made the announcement.
According to a Press Release from the NTC, the June 3 meeting in Accra was in respect of 2021 and 2022 as the determination of the national minimum wage is in line with Section 113 (1) (a) of the Labour Act, 2003 (Act 651).
It was also agreed at the meeting that for the year 2022, National Daily Minimum Wage will be fixed at ¢13.53, an 8% increment on the 2021 figure which will tae effect on January 1, 2022.
According to a press statement announcing the new rates, the Committee indicated that the Covid-19 pandemic and its attendant economic hardships strongly influenced the percentage increases of the National Daily Minimum Wage rate.
The Release stated: “In determining the new rates, the NTC took into account the impact of the Covid-19 pandemic on the national economy, cost of living, sustainability of businesses and the desirability of attaining high level of employment.”
The NTC has therefore directed all organisations whose Daily Minimum Wage is below the 2021 National Daily Minimum Wage to adjust their rates accordingly with effect from June 4.
“Any establishment, institution, or organization that flouts the new rate shall be sanctioned in accordance with the law,” it advised and proposed that the National Daily Minimum Wage be tax exempt.
“The NTC wishes to reiterate its commitment to strengthening social partnership, industrial peace, and the improvement of incomes and productivity in both public and private sectors of the economy,” the statement concluded.
