Organised labour has expressed support for the proposed Independent Public Emoluments Commission (IPEC), while calling for its continuous involvement in the process of establishing the new public sector compensation body.

The position was made known at a two-day stakeholder engagement organised by the Fair Wages and Salaries Commission (FWSC) to gather labour’s views on the proposed legislation for IPEC.

Held under the theme "Towards an Independent, Equitable, and Sustainable Compensation System: Stakeholders’ Perspectives on Ghana’s Public Sector Pay Reforms,” the engagement was aimed at incorporating the views of organised labour into the draft IPEC Bill.

When passed, the Bill will establish IPEC and repeal the existing Act 737, which governs the FWSC.

The proposed commission is expected to provide a new framework for determining and managing public sector compensation, with emphasis on fairness, transparency and fiscal sustainability.

IPEC must not be name change

The Chief Executive of the FWSC, Dr George Smith-Graham, said the proposed commission should represent a fundamental change in public sector compensation management rather than merely a change of name.

He cited challenges that had emerged under the Single Spine Pay Policy and said lessons from the policy should inform the development of the new system.

“IPEC should represent the next generation of public compensation governance,” he stated. “Our purpose is not to manufacture consensus. It is to understand differences and build a system that commands legitimacy.”

Dr Smith-Graham stressed the importance of labour’s participation in shaping the proposed legislation.

“Government needs Organised Labour. We do not want you to see yourselves as merely invited to comment on somebody else’s Bill,” he said.

He added that the new compensation framework would have long-term implications for Ghana’s public service and, therefore, needed to be designed with the future in mind.

The engagement brought together more than 50 labour organisations, including the Trades Union Congress (TUC), Ghana Federation of Labour (GFL), Civil and Local Government Staff Association, Ghana (CLOGSAG), University Teachers Association of Ghana (UTAG) and Ghana Registered Nurses and Midwives Association (GRNMA).

TUC demands full participation

Organised Labour pledged to support the establishment of IPEC and participate actively in the development of the proposed compensation framework.

The Secretary-General of the TUC, Joshua Ansah, gave the assurance on behalf of organised labour.

He said labour would monitor the process and provide inputs to help ensure that the proposed commission achieved its intended objectives.

Mr Ansah, however, urged the government to maintain the involvement of organised labour throughout the process, saying continuous participation would help build broader ownership of the new system.

‘No half-hearted approach’

Mr Ansah cautioned the government against adopting a fragmented approach to public sector pay reforms.

He called for a comprehensive review that would address the various components of public sector compensation rather than dealing with individual challenges separately.

“We must have people who start the process from the beginning and end it properly—not start halfway through only to tell a different story. If that happens, our presence here has no meaning,” he stated.

“We don't want a piecemeal approach. It should be holistic so that what is good for the goose is also good for the gander.”

He reiterated organised labour’s readiness to work with the government to develop a compensation system that is fair, transparent and equitable.

The stakeholder engagement is expected to contribute to the drafting of the IPEC Bill before it is presented to Parliament for consideration.