The Minority in Parliament has rejected the nine per cent salary increment agreed for public sector workers in 2027, describing the adjustment as inadequate and demanding an immediate review of the two-year remuneration agreement.
The caucus argues that the increment, comprising an eight per cent increase in base pay and a one per cent adjustment in conditions of service, fails to reflect the rising cost of living and the financial pressures confronting public sector employees.
In a statement signed by the Ranking Member on Parliament’s Committee on Employment, Labour Relations and Pensions, Mavis Nkansah Boadu, the Minority criticised the agreement reached on October 28, 2026, warning that it could further weaken workers’ purchasing power.
The caucus also questioned the 10 per cent salary increase agreed for 2028, arguing that committing workers to a two-year remuneration framework without adequately considering prevailing economic conditions was unfair.
It noted that public sector workers received salary adjustments of 10 per cent in 2025 and nine per cent in 2026, despite increases in utility tariffs, transport fares and other essential household expenses.
Rising Cost of Living
The Minority maintained that the agreed salary increases were inconsistent with developments in the wider economy, particularly the rising cost of essential services.
Citing electricity tariffs, the caucus claimed that successive adjustments since 2025 had pushed electricity costs approximately 29 per cent above their levels at the beginning of that year.
It further indicated that water tariffs had increased by about 18 per cent over the same period.
According to the statement, public transport fares also increased by eight per cent from September 26, 2026, with some short-distance fares rising by between 10 and 12 per cent.
The caucus identified residential rents, cooking gas, mobile data charges, school fees and food prices as additional expenses placing pressure on household incomes.
It argued that the government could not continue to demand wage restraint from public sector workers in the interest of economic recovery while households faced increasing costs for essential goods and services.
The Minority consequently maintained that the salary adjustments did not adequately compensate workers for the cumulative increases in their living expenses.
Organised Labour Under Scrutiny
The caucus also criticised the role of Organised Labour in the negotiations, questioning why union leaders accepted the agreement despite earlier assurances that they would negotiate a substantial improvement in workers’ remuneration.
It recalled that some labour leaders had previously described the nine per cent salary increment agreed for 2026 as “woefully inadequate”, raising questions about their subsequent acceptance of a similar adjustment for 2027.
The Minority said the two-year duration of the agreement had heightened concerns among workers, particularly given the uncertainty surrounding future household expenses.
It therefore urged union members to demand greater accountability from their leadership regarding the negotiations.
The caucus called on Organised Labour to disclose the proposals it submitted, explain the concessions made during discussions and justify its decision to accept the remuneration framework.
Minority Demands Fresh Negotiations
The Minority has called for the immediate reconvening of the Public Services Joint Standing Negotiating Committee to reconsider the salary adjustments and develop a remuneration framework that better reflects workers’ living expenses.
It wants future wage negotiations to take account of changes in utility tariffs, commodity prices and other economic indicators rather than treating salary adjustments separately from developments in the wider economy.
The caucus also criticised the government’s handling of the transition from the Fair Wages and Salaries Commission to the Independent Public Emoluments Commission.
It urged the government not to use the institutional transition as justification for what it described as inadequate remuneration for public sector employees.
The Minority further demanded that Organised Labour publish its negotiating proposals and provide a detailed explanation to members regarding the basis for accepting the two-year agreement.
Reaffirming its position, the caucus pledged solidarity with public sector workers and indicated that it would oppose the remuneration arrangement unless the concerns raised were addressed.
The Minority’s demands have brought renewed attention to the relationship between public sector wage adjustments and household living costs, particularly the extent to which negotiated salary increases protect workers’ purchasing power.
