Why gov’t kept salary rise at 9%

The Minister for Finance, Dr Cassiel Ato Forson, has said that the government’s decision to maintain a 9% salary increase for all public sector workers under the Single Spine Salary Structure (SSSS) for the 2026 fiscal year is part of a broader effort to balance wage growth, recruitment, and economic sustainability.

According to him, while labour unions expected a higher adjustment, the government is prioritising both the wage bill and the need to expand the workforce in critical sectors.

He explained that the 9% increment is tied to allocations made for new public sector recruitment, a commitment the government had made when it assumed office.

This comes after labour unions expressed disappointment over the announcement, insisting that they only accepted the initial 9% increment early in the administration’s tenure because the government had promised to increase employment in the public sector.

However, responding to the concerns on the Citi Breakfast Show on Friday, November 14, 2025, Dr Forson stressed that the wage decision was designed to strike a balance between fair compensation and the need to bring in new staff.

“The difference is not only the 9%, it is also because we made some allocations to do some recruitment, about 10,000 staff we want to add to the public sector. It is what we started, and unfortunately, some people had to lose their lives. The GHC90 billion as stated in the budget will include some recruitment,” he explained.

His comments come at a time when groups of unemployed teachers and nurses have demonstrated, demanding that the government either post them to their stations or pay them their ten months’ salary arrears.

Touching on these concerns, the Finance Minister noted that the challenge is compounded by a large backlog of qualified graduates who have been awaiting employment for years.

“We have a backlog dating to as far back as 2021. People have gone to the nursing and teacher training colleges since that time, and they have not been employed to date. If you put the two together, you will get about 150,000. The 90 billion allocation cannot absorb that much. But it will be more of a sector question to deal with,” he said.

Dr Forson emphasised that while the government remains committed to employing essential workers, recruitment must be done responsibly.

“We need to balance recruitment while we provide public goods, as well as grow the economy. There are some essential workers that we have to employ. We need the nurses, doctors, and teachers to teach our children. But you have to do it carefully.

“Before we employ nurses and doctors, we need hospitals to put them to work. The same applies to the teachers; you will need a school. So you have to apply a fine balance between the people being employed and the approach to ensuring the public good,” he added.