Labour & Employment

The Labour Act, 2003 (Act 651) regulates employment and labour issues in Ghana. This Act consolidates all laws relating to labour, employers, trade unions and industrial relations.

The Ministry of Employment and Labour Relations provides policy direction and the National Labour Commission (NLC) administers the laws related to labour and employment.

The NLC employs negotiation, mediation and voluntary or compulsory arbitration in the exercise of its mandate and may obtain an order from the High Court to enforce its decisions.

There are three categories of workers recognised under Act 651. These are permanent, casual and temporary workers.

When a person is employed for a period exceeding six months, either at a stretch or a cumulative number of days within a given calendar year, he/she is deemed to be permanently employed, and an employer is therefore required to provide a contract for such an employee.

A person engaged on a seasonal or intermittent basis for a period of less than six months is categorised as a seasonal worker. A temporary worker is a person who is employed continuously for a minimum of one month but is neither a permanent nor seasonal worker.

Wages for temporary or casual workers is usually calculated on a daily basis and does not require a formal contract.

Cost of  Labour

Ghana has one of the most competitive costs of labour in West Africa. Effective 1st January 2020, the country’s daily minimum wage was increased by 11% on the previous year’s figure to GHS11.82 cedis (U.S. $2.16).

According to a person working in Ghana typically earns around GHS 5,070 per month with salaries ranging from GHS 1,280  to GHS 22,600.  These figures will however vary depending on the sector of employment and level of experience required.

Expatriate Employment

The Ghana Investment Promotion Centre Act (Act 865) provides for the employment of key expatriate personnel by companies registered with the Centre depending on the level of investment.

Level of Investment Number of Automatic Immigrant Quota
US$50,000 ≥ and < US$250,000 One
US$250,000 ≥ and <US$500,000 Two
US$500,000 ≥ and <US$700,000 Three
US$700,000+ Four
* One Automatic Immigrant Quota = work and residence permit for one expatriate employee and residence permits for his/her spouse and dependent children.

Companies that require more expatriates beyond the automatic quota may apply to the Centre on a case by case basis with justification and the Centre may grant time bound work permits.

Click here for the requirements for GIPC Automatic Immigrant Quota

Ghana Immigration Service

The Ghana Immigration Service has been established as the agency of the government of Ghana to advise on and to ensure the effective implementation of all laws and regulations pertaining to immigration and related issues. The Ghana Immigration Service is mandated to regulate and monitor the entry, residence, employment and exit of all foreigners.

Click here for all your questions regarding immigration in Ghana.

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