Ghana flag Ghana: Operating a Business in Ghana

Work conditions in Ghana

The Active Population in Figures

201820192020
Labour Force 12,611,14312,919,34012,934,257

Source: International Labour Organization, ILOSTAT database

 
201720182019
Total activity rate 69.32%69.27%69.21%
Men activity rate 73.35%73.16%72.94%
Women activity rate 65.17%65.28%65.37%

Source: International Labour Organization, ILOSTAT database

 

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Working Conditions

Legal Weekly Duration
According to the Labour Act, the maximum is set at 8 hours a day or 40 hours a week. Workers have the right to a continuous daily rest period of not less than 12 hours between two consecutive working days and a weekly rest period of 48 consecutive hours in every 7 days of normal working hours.
Retirement Age
60 (or 55 for employees working under hazardous conditions such as mining)
Working Contracts
The contract of employment may be oral and implied for jobs up to six months; however, a written and signed employment contract is required for jobs longer than this period. In this case, the contract must include: name of employer; name of employee; date of start; title; pay; hours of work; holiday periods; conditions relating to incapacity to work due to sickness or injury; details of social security pension scheme; notice of termination of contract; disciplinary rules; grievance procedures and overtime conditions.
Labour Laws
Consult Doing Business Website, to obtain a summary of the labor regulations that apply to local entreprises.

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Cost of Labour

Minimum Wage
In 2020, the National Tripartite Committee (NTC) increased the daily minimum wage to GHS 11.82.
Average Wage
The average salary varies between GHS 800 and GHS 1,000 depending on the sector and location (latest data available).
Social Contributions
Social Security Contributions Paid By Employers: The employer must contribute 13% of an employee's basic salary to the Social Security and National Insurance Trust.
Social Security Contributions Paid By Employees: The employee contributes 5.5% of their salary to the Social Security and National Insurance Trust.

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Social Partners

Social Dialogue and Involvement of Social Partners
The first collective action in Ghana, which was still the British Gold Coast at the time, was a miners' strike in 1919. It resulted in a series of successful collective actions by the workers. In 1941, the Trade Union Ordinance was promulgated, which led to the formation of trade unions in the colony. On 8 September 1945, The Gold Coast Trade Union Congress (TUC), which later became the Trade Union Congress, Ghana's largest union, was founded.
Ghana's labour laws allow all workers to form and join a union of their choice without prior authorisation or excessive requirements. Nevertheless, the armed forces, the police, the prison service and some security and intelligence agents are excluded from this right.
Ghana's collective bargaining framework, protected by law, is highly respected. In practice, unions collectively negotiate wages and benefits with private and public institutions without government intervention. Only unions representing the majority of workers in a particular institution can obtain collective bargaining certificate, which is necessary to engage in collective bargaining. Some government functions such as armed forces, police, prison administration, security and intelligence are not allowed to negotiate collectively.
Unions
Trades Union Congress
Ghana Federation of Labour
Unionisation Rate
Ghana has a total of 72 trade unions, divided into five categories. It is estimated that 800,000 workers are trade union members and estimated at 7.5% of the total labor force (Trade Union Congress Estimates). Trade Union Congress (TUC) is the largest trade union centre with approximately 500,000 members divided between 18 national affiliates. Ghana Federation Labour has 48,300 members from 9 affiliated unions. Ghana National Association of Teachers (GNAT) is the largest sector-specific trade union in Ghana with around 178,000 members.
Labour Regulation Bodies
Ministry of Employment and Labour Relations

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Latest Update: July 2022

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