TUC submits Bill on Incomes

Mr Kwasi Adu-Amankwaah, Secretary General of the Trades Union Congress (TUC) on Tuesday said the Congress had submitted a Bill on Incomes to Parliament and expressed the hope that the House would discuss it after the Easter recess.

He stated: "The country needs a well-tailored and agreeable minimum wage for its workers, not necessarily for the benefit of those still in the service but most importantly for those who might go on pension to also enjoy invalidity, old age and survival benefits".

Addressing the first-quarter meeting of the Sunyani District Council of Labour in Sunyani, Mr Adu-Amankwaah said it was true that Government determined the minimum wage, "but it did so in consultation with the other stakeholders, especially Labour, which serves the interests of the majority of the working class".

He compared the 1992 and 1999 statistics on the income situation in the country and said whilst in 1992 the lowest paid workers had 1.2 per cent increase and the highest earning group enjoyed 36.5 percent, the income of the lowest paid workers reduced to 0.3 percent as at 1999, whilst that of the highly-paid workers jumped to 42 per cent.

He said the changing consumer price index and the rate of inflation called for the fixing of a wage increase as and when necessary.

Explaining the TUC's last-minute acceptance of the Government's recent minimum wage rate as against the Congress's proposed 68 per cent, the Secretary-General said the intervention of President J.A. Kufuor, coupled with the proposed 2003 budgetary statement on expected expenditure of 13 trillion cedis as against eight trillion cedis for last year, "there was nothing else our team could do but to give in to avoid dislodging the national budgetary programme for the year".

Mr Adu-Amankwaah noted that despite the fact that the government approved minimum wage of 9,200 cedis was below the TUC's demand, it was not all that bad "since under that figure 40 per cent of the country's labour force is expected to live within one US dollar as against the previous year".

He reminded workers that the fight for survival in the labour industry could not be achieved in a day and that even if that could be possible it had to be done collectively.

The Secretary General endorsed the government's proposed national identification system, which he said, would not only serve the purpose of voting but also for the nation's marketing system.

"The credit system in the country is weak and such an identification system will go a long way to help trace a credit beneficiary even if she or he decides to abscond after taking a government loan".

Mr Adu-Amankwaah also endorsed the Government's Education Trust Fund (GETFUND) but called for a more effective monitoring to ensure that such facilities were put to better use as expected under the programme.

He, however, disagreed with the proposed 2.5 per cent deduction from workers' social security pension fund towards the National Health Insurance Scheme, and called on the government to clarify the situation.

If the government really means to seek the welfare of workers health-wise, then such monies should be channelled through a private insurance company in the form of payment of a premium, he said.

He stated that if the 2.5 per cent was deducted from a contributor's social security scheme, then it would mean the person would not qualify for the full 17.5 per cent pension, but only 15 per cent.

The law that established the scheme in 1965 states that all being well with its operation, it should last till the year 2050, but if the government's proposed 2.5 per cent interference should be allowed to stay, then the original life-span of the scheme would be reduced to 2020 at the expense of contributors.

On the on-going US-led war against Iraq, the TUC Secretary-General described it as "unfortunate" and called on the United Nations General Assembly to redouble efforts and solve the situation to save the life of poor innocent civilians, mostly children.

In a four-point resolution, the meeting noted that the government had not as yet issued a White paper on the payment of the new minimum wage of 9,200 cedis announced in February. It, therefore, called on the government to do so as quickly as possible.

The workers also expressed their disapproval of the proposed 2.5 per cent deduction from their Social Security contributions towards the National Health Insurance Scheme and suggested that the government should look elsewhere for funds to establish the scheme.