Ghanaian workers are set to receive a pay boost as the government has announced a 10% increase in the National Daily Minimum Wage (NDMW). The new wage, which rises to GH¢19.97 per day, will take effect on March 1, 2025.
The announcement came from the National Tripartite Committee (NTC) following deliberations in Accra on February 20, 2025. The committee, which includes representatives from the government, employers, and organized labor, stated that the decision aligns with Section 113 (1)(a) of the Labour Act, 2003 (Act 651).
According to the NTC, multiple factors were considered before arriving at the new minimum wage. These include the rising cost of living, business sustainability, and the broader goal of increasing employment levels across the country.
“The decision reflects the need to support workers in coping with economic challenges while ensuring businesses remain viable,” the committee noted in its official statement.
The 10% wage hike follows a similar adjustment in 2024, when the minimum wage was raised to GH¢18.15 under the Nana Akufo-Addo administration. This latest increase demonstrates Ghana’s ongoing commitment to improving workers’ welfare despite economic uncertainties.
Also, read: 29-Year-Old Entrepreneur Aims to Make Spirit Airlines the First Black-Owned U.S. Commercial Airline
With the new wage coming into effect, all companies, institutions, and organizations are expected to comply by adjusting their payment structures accordingly. The NTC has issued a firm warning that any entity paying workers below the new minimum wage will face legal consequences.
In addition to the wage increase, the government has approved a 10% salary increment for public sector workersunder the Single Spine Salary Structure (SSSS). This adjustment, negotiated between the Fair Wages and Salaries Commission (FWSC) and Organized Labour, will be effective from January 1, 2025, and will remain in place until December 2025.
To ensure that employees fully benefit from the wage increase, the NTC has recommended that the 2025 NDMW be tax-exempt. If implemented, this measure will prevent deductions from the already modest daily wage, allowing workers to feel the full impact of the raise.
This wage adjustment is part of Ghana’s broader efforts to strike a balance between economic growth and fair labor practices. As the country continues to navigate inflation and other financial pressures, the government’s move aims to provide relief for workers while keeping businesses afloat.
With the new wage set to take effect in March, all eyes will be on the implementation and enforcement of the policy, ensuring that Ghanaian workers receive what they are rightfully due.
