KEY POINTS
- Ghana increases its minimum wage by 10 percent to GH₵19.97 ($1.29).
- The new rate takes effect on March 1, 2025.
- The government urges labor unions to consider economic challenges in negotiations.
Ghana’s National Tripartite Committee (NTC) has announced a 10 percent increase in the National Daily Minimum Wage (NDMW) for 2025, setting the new rate at GH₵19.97 ($1.29).
The decision was made during a meeting held in Accra on Thursday, February 20, 2025.
Minister for Labour, Jobs, and Employment, Dr. Abdul-Rashid Pelpuo, confirmed the new wage, stating that it will take effect on March 1, 2025.
Employers across all establishments, institutions, and organizations must comply with the updated rate.
“This increase aims to balance fair wages for workers with economic stability and business sustainability,” Pelpuo said.
Government urges restraint amid economic challenges
Despite the increase in wages, government officials have urged labor unions to consider the country’s economic difficulties when negotiating further salary adjustments.
“There has been an increase in the national daily minimum wage by 10 percent, which translates into a new rate of GH₵19.97 ($1.29), effective March 1,” Pelpuo explained.
The declaration emerged as people express worry about increasing price escalations and living expenses, which created strain for businesses and employees.
According to Graphic Online, public sector employees previously received a 15 percent salary increase in 2024, reflecting ongoing efforts to cushion workers from financial strain.
Previous wage adjustments and economic outlook
In 2024, workers gained GH₵18.15 ($1.17) as the minimum wage while it had been GH₵14.88 ($0.96) in 2023.
Time constraints prevented the Ghanaian government and organized labor from talks about the 2025 base pay, which delayed the adjustment process.
Economic sustainability requirements force officials to maintain a proper balance between employee welfare and salary adjustments.
“We recognize the hardship workers face, but we must also ensure that businesses can sustain operations,” Pelpuo said.
Employers and labor leaders will hold ongoing discussions regarding stable wage policies and economic stability implementation, after the new minimum wage is implemented.
