GOOD NEWS || minimum wage increased by 6%

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In line with Section 113 (1)(a) of the Labour Act, 2003 (Act 651), the National Tripartite Committee (NTC) concluded negotiations on the determination of the National Daily Minimum Wage (NDMW) in respect of 2021 and 2022 at its meeting held on Thursday, 3rd June, 2021 in Accra.

The Committee agreed as follows:

1. That the 2021 NDMW is GHS12.53 which is six percent (6%) over the 2020 figure of GHS11.82.

2. That the 2022 NDMW is GHS13.53 which is eight percent (8%) over the 2021 figure of GHS12.53.

The effective date for the implementation of the 2021 NDMW is 4th June, 2021.

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The effective date for the implementation of the 2022 NDMW shall be 1st January, 2022.

In determining the new rates, the NTC took into account the impact of the Coronavirus (COVID-19) pandemic on the national economy, cost of living, sustainability of businesses and desirability of attaining high level of employment.

All establishments, institutions or organizations whose Daily Minimum Wage is below the 2021 National Daily Minimum Wage should adjust their wages accordingly with effect from 4th June, 2021.

Any establishment, institution or organization that flouts the new rate shall be sanctioned in accordance with the law.

The NTC recommends that the NDMW should be tax exempt.

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The NTC wishes to reiterate its commitment to strengthening social partnership, industrial peace and the improvement of incomes and productivity in both the public and private sectors of the economy.

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