TUC Task Employers To Review Pay Structure Periodically

The Ghana Trades Union Congress (TUC), has advised local unions to demand periodic review of their salary structures from their employers.

This, he said, would ensure that distortions in their salaries were dealt with. Mr Kofi Asamoah, Secretary-General of the TUC gave the advice in Tema on Thursday, during a general meeting of members of the Tema District Council of Labour (TDCL).

Mr Asamoah indicated that most often the local unions were only interested in the review of their Collective Bargaining Agreements without considering their salary structures. He said annual review of salaries would had prevented problems associated with the migration of workers onto the Single Spine Salary Structure (SSSS).

The TUC Secretary-General explained that some of the problems and concerns being raised by public sector workers who have been placed on the SSSS could have generated from the lack of proper salary structures from their employers.

On the current GH¢3.73 minimum wage, he said the Tripartite Committee was aware that the amount could not pass for a living wage, as a family of four, could not depend on the amount for a day. Mr Asamoah said the TUC was working hard towards achieving a living wage for workers, adding that it would however take a while, for the country to achieve that.

He said the minimum wage was to guide and strengthen local unions in their negotiations for better salaries for their members. Mr Jackson Berko, Head of Research and Statistics at the Internal Revenue Service (IRS) said workers were entitled to a total of GH¢1,200 annual tax threshold which must be filed annually by their employers with the service.

He explained that under the GH¢1,200 tax threshold, employees could enjoy marriage, children, education of children, old age and parental dependency relieves. He added that disabled workers were also entitled to 25 per cent tax relief on their taxable income.

Members present at the meeting expressed their displeasure at the 25 per cent tax on income, and called on government to reduce it while increasing the tax threshold.

Workers in the formal sector were unanimous about the tax burden imposed on them, while their counterparts in the private or informal sector, either paid nothing or less than the 25 per cent. Mr Wilson Agana, Chairman of the TDCL, said the meeting aimed at educating members on the country’s tax threshold. 4 March 11