The Ghana Mineworkers’ Union (GMWU) has rejected a directive by the Minerals Commission requiring major mining companies to transition to contract mining by December 2026.
The GMWU warned that the move could worsen working conditions and trigger widespread resistance across the sector.
In a letter dated April 23, 2026, addressed to the Commission, the Union said it had taken note of reports linking the regulator to a directive issued to firms including Zijin, Newmont and AngloGold to adopt contract mining.
It stated “without equivocation” that it disagrees with the policy and is rejecting it outright, citing concerns over its impact on workers and the structure of the industry.
The Union argues that similar policy directions in the past have come at a cost to workers, accusing authorities of pushing through major decisions without adequate consultation.
It said over the years, aggressive policies within the mining sector have contributed to the fragmentation of production systems and the rise of precarious employment, reversing gains made in decent work and pushing many mineworkers into what it describes as working poverty.
According to the GMWU, the shift to contract mining has consistently resulted in significant pay cuts for workers.
“It is a fact that workers always have their wages or salaries significantly reduced, mostly by at least half of what they were earning under an owner miner for the same job,” the Union stated in the letter signed by its General Secretary Abdul Moomin Gbana, adding that the impact extends beyond wages to household income, taxes and long-term pension contributions.
The Union contended that benefits previously enjoyed under owner-operated mining systems are often stripped away or diluted under contractor arrangements, leaving workers with inferior terms and weaker protections.
It further raised concerns about the track record of some local contractors expected to take on expanded roles under the directive.
The Union cited some companies in the sector which it alleged failed to meet statutory obligations including SSNIT contributions, Tier 2 pensions and tax payments to the state. It pointed to a recent standoff between workers and one contractor over unpaid obligations as evidence of deeper systemic issues.
The GMWU also accused certain contractors of disregarding workers’ rights to unionise, contrasting this with multinational mining firms which it says generally offer better conditions of service and comply with labour and tax requirements.
Against this backdrop, the Union questioned the intent behind the proposed transition, arguing that the policy risks benefiting a narrow group of contractors while undermining more stable and accountable mining systems.
It described the move as “dangerous, regressive, and economically unsound,” warning it could open the door to increased exploitation, labour casualisation and the erosion of long-standing worker protections.
The Union said the Commission cannot ignore the potential consequences for both workers and the state, especially in the absence of what it called a clear business case for imposing such a model. It has therefore called for an immediate halt to the directive and a more inclusive engagement process.
“We demand the suspension of this directive and the initiation of a genuinely inclusive, transparent, and good faith stakeholder engagement process that places workers at the centre of policy considerations,” the statement said.
It also warned that any attempt to proceed with implementation in its current form would be met with “strong, coordinated, and sustained resistance” from its members across the mining industry.
The pushback comes at a time when Ghana is intensifying efforts to deepen local participation in the extractive sector through local content policies. While contract mining has been promoted as a pathway to empower local firms, labour groups have long cautioned that weak enforcement and oversight could undermine worker welfare.
The Minerals Commission is yet to respond publicly to the Union’s position.
By Wisdom Sarfo
