The Fair Wages and Salaries Commission (FWSC) recently met with chief executive officers of State-Owned Enterprises (SOEs) to discuss the transition to the Independent Public Emoluments Commission (IPEC). The meeting, which was part of a series of nationwide consultations, brought together CEOs, Deputy CEOs, Finance and Human Resource Directors of over 100 SOEs, as well as representatives of the State Interests and Governance Authority, development partners, and the media.
According to the Chief Executive of the FWSC, Dr George Smith-Graham, SOEs account for a significant portion of the public sector wage bill and are central to ongoing pay reforms. He described Ghana's current public sector remuneration system as fragmented, inequitable, and a major source of industrial relations tensions, especially within the SOE sector.
Dr Smith-Graham assured that the new IPEC will provide an independent, professional, and evidence-based framework for determining all public sector emoluments, including SOEs, while ensuring fiscal sustainability, transparency, and equity. The IPEC will not scrap performance-based incentives but will rather streamline and harmonize them under a new National Emoluments Policy and a National Negotiation Framework.
During the meeting, some attendees expressed concerns about how the new regime will affect their ability to attract and retain critical talent, the fate of existing Collective Agreements, and the level of autonomy Boards will retain to determine market premiums and allowances.
In response to these concerns, Dr Smith-Graham explained that as part of the reform, the government will undertake a comprehensive nationwide Job Evaluation exercise to establish a modern grading architecture and ensure equal pay for work of equal value. A National Productivity Framework will also be developed to link remuneration to productivity and performance.
The FWSC indicated that inputs from the engagement will feed into the final draft IPEC Bill, which is expected to be laid before Parliament before the end of October 2026. The bill aims to provide a more equitable and sustainable remuneration system for public sector workers, including those in SOEs.
The engagement is part of a broader effort to reform the public sector remuneration system in Ghana. President John Dramani Mahama declared the FWSC as an Institution in Transition in March 2026, and the commission has been undertaking nationwide consultations to ensure a smooth transition to the IPEC.
Key points
- The FWSC is engaging SOEs bosses over IPEC transition to ensure a smooth transition to the new Independent Public Emoluments Commission.
- The IPEC will provide an independent, professional, and evidence-based framework for determining all public sector emoluments.
- The government will undertake a comprehensive nationwide Job Evaluation exercise to establish a modern grading architecture and ensure equal pay for work of equal value.
