Menu

We'll stop unemployment creation - GIPC boss

Sun, 9 Sep 2007 Source: GYE NYAME CONCORD

The CEO of the Ghana Investment Promotion Centre (GIPC), Mr Robert Ahomka-Lindsay, says his office is bent on stemming the tide of unemployment creation his office has been engaged in recent times.

Consequently, the GIPC has directed all foreign companies registered with it which had over the years been awarded dubious extra quotas on the number of expatriate employees they could employ, to explain to the Centre why it should extend the extra quotas granted when they expire, or risk losing such illegal quotas.

Speaking to this paper following revelations of abuse of the quotas by GIPC, the newly appointed CEO, who said he had been working on the decision before this paper's publication, said there have been objections from many of the expatriate companies which have enjoyed the unchallenged abuse of the GIPC Act.

Some of the companies, this paper gathered, have complained about the withdrawal of the extra quotas to the Association of Ghana Industries (AGI), prompting a recent meeting over the issue between some of the expat-led companies, AGI and GIPC.

The meeting, which was held behind closed doors at the AGI office in Accra, was attended by some representatives from the expatriate companies, a delegation from GIPC led by the CEO, and some executive members of AGI, led by its National President, Mr Oteng-Gyasi.

That meeting, AGI President Mr Oteng-Gyasi told this paper, was fruitful and successful.

"We had very fruitful and frank discussions which all stakeholders are happy about."

Mr Ahomka-Lindsay agreed to suggestions by this paper that the rationale behind the GIPC Act 478, which grants limited number of expatriate employees opportunity to work in the country, was to enable the country benefit from the transfer of technology and expertise from foreign investors to local employees who can step into the shoes of the experts after some period of training on the job.

But from our study of the applications and quotas granted over a period, some of the companies do not want to engage Ghanaians in some basic jobs, he said.

He said he is convinced that for extra quotas to be granted, companies applying for them must now explain why they can't replace the positions available, with Ghanaians.

Tertiary institutions in the country offer courses in most of the positions that these companies want to replace with foreigners, so I'm just insisting that they do the right thing, he told this paper.

He said a number of the reasons stated in most of the applications received by GIPC as excuses for bringing in foreigners are as unreasonable and unacceptable.

He said GIPC will also enforce sections of the Act which debar foreign investors from trading in certain areas of the Ghanaian economy.

"We've started some operations in Accra and we shall expand it to the other regions in the country, with the aim of enforcing the law and creating employment opportunities for Ghanaians".

This paper on Monday reported worrying trends where the GIPC had been supervising the creation of unemployment in Ghana by allowing foreigners barred from certain commercial activities in Ghana the right to engage in such activities.

It has also created room for expat-companies to bring foreign nationals into the country under the guise of investments, leading to a situation where there have been no corresponding or significant increases in jobs, despite the number of companies officially registered with the GIPC.

Though the GIPC ACT stipulates the number of expatriates that can be employed, the practice in the past has been to allow expat companies to bring into the country as many people as they want without recourse to the law, while taking monies from them.

Section 18 of the Act establishing GIPC states that the "the sale of anything whatsoever in a market, petty trading, hawking or selling from a kiosk at any place is wholly reserved for Ghanaians," the GIPC has not worked with the law.

Yet, the GIPC has over the years sanctioned the participation of expats in retail and commercial activities at Makola and other major markets across Ghana.

GIPC has also been creating massive unemployment for low-skilled Ghanaians by allowing some expatriate-owned companies to bring down foreigners to take up jobs performed by low-skilled citizens, leading to a situation where a number of such indigenes have been thrown out onto the already-choked unemployment market.

It has equally sanctioned the arrival of foreigners with questionable skills in Ghana to take up job portfolios many unemployed graduates could easily fill, despite evidence that most of the companies abusing the quotas allowed them are not entitled to such privileges.

Source: GYE NYAME CONCORD