The Fair Wages and Salaries Commission (FWSC) of Ghana has initiated engagements with Chief Executives and leadership of state-owned enterprises (SOEs) regarding its transition to the Independent Public Emoluments Commission (IPEC). This move is part of preparations for the draft bill that will soon be presented to parliament. The meeting, which took place on September 25, 2026, gathered CEOs, Deputy CEOs, Directors of Finance and Human Resources from over 100 SOEs, along with representatives from the State Interests and Governance Authority (SIGA), development partners, and the media.
The engagement is part of FWSC's nationwide stakeholder consultations, following President John Dramani Mahama's declaration of FWSC as an Institution in Transition in March 2026. During the meeting, FWSC's Chief Executive, Dr. George Smith Graham, emphasized that SOEs are a critical component of Ghana's public sector wage bill and must be included in the reforms. He highlighted the current remuneration system's fragmentation, which results in wide disparities and frequent industrial relations tensions within the SOE sector.
Dr. Graham explained that the new IPEC aims to provide an independent, professional, and evidence-based framework for determining all public sector emoluments, including those of SOEs, while ensuring fiscal sustainability and equity. The proposed framework seeks to address existing challenges by introducing a modern nationwide Job Evaluation exercise to establish fair grading and relativity across the public service, and a National Productivity Framework to link pay to performance.
Some CEOs expressed concerns about the potential impact of the new system on existing Collective Agreements and the level of autonomy Boards will have in determining market premiums. In response, Dr. Graham assured them that IPEC will not eliminate performance-based incentives but will instead sanitize and harmonize them under a National Emoluments Policy and a National Negotiation Framework. He emphasized that the reform will not weaken the role of boards of SOEs or impose uniform remuneration on every CEO.
Minister of Labour, Jobs and Employment, Emmanuel Kwadjwo Agyekum, who attended the engagement, addressed concerns about the transition's impact on article 71 office holders. He clarified that the transition will not affect them until a referendum is held as part of the constitution review process. The minister emphasized that the government is not adopting a foreign model but rather seeks to develop a home-grown, sustainable system through broad stakeholder consultation.
Minister Agyekum assured participants that President John Dramani Mahama fully supports the reforms and encouraged SOEs to provide their input. He stressed that the goal is to create a new system that is the best possible, through a collaborative process. The minister invited participants to contribute to the development of the IPEC bill, ensuring that it meets the needs of all stakeholders.
The FWSC's engagement with SOEs is a crucial step in the development of the IPEC bill, which will soon be presented to parliament. The commission's efforts aim to ensure that the new framework is fair, equitable, and sustainable, while also addressing the concerns of various stakeholders. The outcome of these consultations will likely shape the final bill and influence the future of public sector emoluments in Ghana.
Key points
- The FWSC is engaging with SOEs to discuss its transition to the Independent Public Emoluments Commission (IPEC).
- The proposed IPEC framework aims to provide an independent, professional, and evidence-based approach to determining public sector emoluments.
- The reform seeks to introduce a modern nationwide Job Evaluation exercise and a National Productivity Framework to link pay to performance.
