Government guarantees miners’ wages under contract mining reforms

The government has directed the Minerals Commission to ensure that workers in Ghana’s mining industry do not suffer cuts in wages, benefits or conditions of service as mining companies transition from owner mining to contract mining.

The directive forms part of additional policy measures announced by the Ministry of Lands and Natural Resources on Wednesday, October 21, to guide the implementation of the country’s contract mining policy and protect workers’ welfare.

Under the new measures, no worker engaged or to be engaged by a mining contractor or similar service provider should experience any deterioration in wages, emoluments, entitlements, benefits or conditions of service because of the transition.

The Minerals Commission has also been directed to take steps to harmonise salaries, wages and conditions of service across the mining industry value chain, while categorising eligible contractors according to their capacity to provide mining-related services.

The ministry said the measures followed concerns raised by the Ghana Mineworkers’ Union, human resource experts and other stakeholders about the potential impact of contract mining on workers’ earnings and employment conditions.

It said consultations with the union, industry experts and other relevant stakeholders had clarified the regulatory basis of the policy and reaffirmed the government’s position that no worker should be worse off as a result of its implementation.

The government further stated that Ghanaian companies would undertake contract mining for surface mining operations. For underground operations, contract mining must be carried out through partnerships in which Ghanaian-owned companies hold at least a 50 per cent interest.

The local participation requirement was incorporated into the sixth edition of the Local Procurement List, effective January 1, 2025, under the Minerals and Mining (Local Content and Local Participation) Regulations, 2020 (LI 2431).

According to the ministry, most multinational mining companies operating in Ghana have successfully transitioned their operations to comply with the requirement.

The Minerals Commission has been tasked to complete the processes required to implement the additional measures and submit the necessary documents for approval by November 30, 2026.

The ministry also warned against unfair labour practices, cartelisation, bid rigging, fronting and other conduct that undermines local content objectives or disadvantages Ghanaian workers.

It said the government remained committed to fairness, transparency, genuine Ghanaian participation and the protection of workers across the mining industry.