Accra, Ghana – May 1, 2024 – Organised Labour has issued a stark warning that Ghana is approaching a critical juncture regarding its employment situation, highlighting escalating concerns over job creation, the quality of existing jobs, and the persistent challenge of youth unemployment. The Trades Union Congress (TUC) Secretary General, Joshua Ansah, delivered this urgent message during the annual Labour Day commemoration held at Jackson Park in Koforidua.
The address, delivered under the theme “Pivoting to Growth, Jobs, and Sustainable Livelihoods Beyond Macroeconomic Stability,” underscored a critical disconnect. TUC emphasized that Ghana must look beyond mere economic growth figures and assess whether this growth is effectively translating into decent employment opportunities for its citizens.
Decades of Growth, Deficit in Jobs
Despite experiencing economic growth over several decades, Ghana’s job market has failed to keep pace with the increasing number of educated young people entering the workforce. This has resulted in a situation where many graduates face prolonged periods of unemployment after completing their education.
Furthermore, a significant number of skilled individuals are compelled to accept positions that do not align with their qualifications or educational background. This underemployment represents a substantial loss of potential and a source of frustration within the educated youth demographic.
“I say with no fear of contradiction that decent employment or lack of it remains one of the most significant economic and social problems in Ghana, and it has the potential to transform into a political problem if it remains unchecked. We are almost at crisis level, Mr. President,” stated Mr. Ansah, directly addressing the nation’s leadership.
Concerns Over Job Quality and Security
Beyond the sheer lack of jobs, Organised Labour has also voiced significant concerns regarding the quality of employment available. This includes issues such as pervasive low wages, inadequate working conditions, and a lack of comprehensive social protection for many workers.
Many employees are reportedly not enrolled in national social security schemes, leaving them without essential pension coverage upon retirement. Additionally, workers continue to endure long hours and operate in environments that may pose safety risks.
A growing trend of converting permanent positions into fixed-term contracts, often accompanied by reduced benefits, was also criticized. Labour unions view this shift as a direct threat to job security and the long-term stability of the workforce.
Social and Political Ramifications of Youth Unemployment
The TUC Secretary General warned that the widespread issue of youth unemployment and underemployment carries significant social consequences if not addressed with immediate and decisive action.
He characterized the current situation as a considerable “waste of human resources.” The potential for frustrated, educated young people to become a destabilizing force within society was highlighted as a serious risk if current trends persist.
Call for Collaborative Action
In response to these pressing issues, Mr. Ansah urged a unified approach involving the government, employers, and other social partners. He stressed the importance of collaborative efforts to tackle the deep-rooted structural challenges within Ghana’s labour market.
“When we work together, we can ensure that this challenge does not escalate further, and that Ghana fully benefits from its young and educated population,” he concluded, emphasizing the collective responsibility to harness the nation’s human capital.
Looking Ahead
The warning from Organised Labour signals a critical moment for Ghana’s economic policy. Stakeholders will be closely watching for concrete policy interventions aimed at stimulating job creation, improving job quality, and ensuring that economic growth translates into tangible benefits for the wider population, particularly the youth. The government’s response and the effectiveness of any implemented measures will be crucial in averting a potential jobs crisis and fostering sustainable livelihoods.
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