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Government has reached an agreement with organised labour to increase base pay for public sector workers by 8% in 2027, followed by a 10% across-the-board increase in 2028.

The agreement was reached on Wednesday, October 28 at a meeting of the Public Services Joint Standing Negotiating Committee as part of a two-year pay deal covering January 1, 2027, to December 31, 2028.

Under the agreement, effective January 1, 2027, workers will receive an 8-percentage-point increase in base pay, alongside a 1-percentage-point allocation towards conditions of service, bringing the total remuneration increase to 9%.

For 2028, the agreement provides for a 10% increase in base pay across the board.

The negotiating committee is expected to reconvene to review the 2028 base pay if a specified trigger relating to December 2027 inflation is met. The parties will also review some allowances during the transition period to address distortions in existing compensation arrangements.

Speaking to the media after the meeting, Finance Minister Dr Cassiel Ato Forson commended organised labour and the other negotiating parties, saying the agreement recognised workers’ contribution to Ghana’s economic recovery.

“The agreement, as has been signed, recognises workers’ contribution to Ghana’s economic recovery. Workers’ dedication has helped sustain public service and support Ghana’s progress,” he said.

Dr Forson said the government remained committed to workers’ welfare while ensuring that public sector pay commitments were consistent with fiscal sustainability.

“Workers deserve commitment that government can honour. Fiscal sustainability helps us meet our obligation to workers while providing essential public service and sustaining the economic recovery,” he added.

He said the agreement would also support a lawful and orderly transition to the proposed independent public remuneration commission.

The two-year agreement is subject to the applicable legislative process, while organised labour is expected to consult its members on reforms affecting workers.