General News of 2026-11-06
Zijin Mining: Abirem youth fear job losses, petition government over contract mining
Young people in Abirem and surrounding communities in the Eastern Region have petitioned the government to suspend a directive compelling Zijin Mining and other mining companies to transition from owner-mining to contract mining by December 2026, warning that the move could destroy decent jobs, reduce workers' incomes and plunge mining communities into economic hardship.
The group, operating under the name Youth of Abirem and Surrounding Communities Affected by Zijin Mining Operations, says the proposed transition could affect not only mineworkers but also thousands of residents and small businesses whose livelihoods depend on the purchasing power of mining employees.
In a petition dated November 5, 2026, and addressed to the Minister of Lands and Natural Resources through the Birim North District Chief Executive, Hakeem Antwi Abdul, the youth argued that the directive could undermine years of progress in securing stable employment and decent working conditions in Ghana's mining industry.
Signed by the group's chairman, Alexander Ofori, the petition warns that moving from direct employment to contractor arrangements could result in significant reductions in salaries, allowances, bonuses and other employment benefits, even for workers performing the same duties.
"We cannot support a mining policy that is a vehicle for exploitation to enrich a few contractors at the expense of the workers who risk and sweat day and night in the bowls of the earth to produce the wealth," the petition stated.
The group further warned that the proposed arrangement could expose Ghanaian mineworkers to fixed-term contracts, casual employment and other forms of insecure work, while weakening their bargaining power and ability to protect their employment rights.
It also raised concerns about possible reductions in pension contributions, provident funds, gratuities and other social protection benefits, as well as the potential impact on trade union representation and occupational health and safety standards.
Youth warn of economic hardship in mining communities
Beyond the potential impact on employment conditions, the petitioners say the directive could have serious consequences for the wider economies of Abirem and neighbouring communities.
They argue that mining salaries support a network of businesses and service providers, including market traders, food vendors, shop owners, landlords, transport operators, masons, carpenters, mechanics and building materials dealers.
According to the group, a significant reduction in workers' earnings would reduce their spending power, affecting businesses that depend on their patronage.
"When a mineworker's salary is slashed, the consequences are immediately felt in the household and eventually throughout the community," the petition stated.
It added that traders could record declining sales, food vendors could lose customers, landlords could struggle to collect rent and artisans could lose contracts as workers cut back on spending.
The youth warned that some businesses could be forced to reduce operations, lay off employees or close down altogether, creating further unemployment and financial difficulties in communities that depend heavily on mining activities.
The group is also concerned about the implications for workers' families, particularly their ability to pay school fees, afford healthcare, provide food and accommodation and meet other household responsibilities.
It said reduced earnings could force some families to postpone medical treatment, accumulate debt, abandon building projects and struggle to meet loan obligations.
The petitioners further warned that the proposed changes could affect the next generation by limiting families' ability to educate their children, support young people to acquire skills and invest in businesses and property.
"A policy that impoverishes mineworkers ultimately impoverishes the communities that depend on them," the group stressed.
They demand suspension of directive
The petitioners are calling on the Minister of Lands and Natural Resources to immediately intervene and suspend the Minerals Commission's directive.
They also want the government to organise an urgent stakeholder engagement involving mining companies, workers' representatives, contractors and host communities to discuss the local content policy and its implications for employment and community development.
The group insists that any policy intended to increase Ghanaian participation in the mining industry must not come at the expense of workers' welfare.
"We fully support policies that promote Ghanaian participation, build local capacity and ensure that our natural resources contribute meaningfully to national development," the petition stated.
"However, we cannot support a policy that advances commercial interests at the expense of workers' dignity, livelihoods, employment rights and the economic survival of mining host communities."
The youth also expressed support for concerns raised by the Ghana Mineworkers' Union (GMWU), saying the union's demands for decent work, employment security and the protection of existing conditions of service deserved serious consideration.
They warned that communities which have hosted mining operations for years should not be left economically vulnerable because of changes to the industry's employment arrangements.
"The mineral wealth extracted from our communities must not become a source of economic hardship for the very people whose labour sustains the industry and whose communities host its operations," the petition added.
The group is therefore urging the government to ensure that no transition is implemented without a comprehensive assessment of its impact on workers, their families and mining host communities.
The petition was copied to the Chief Executive Officer of the Minerals Commission, the Minister of Labour, Jobs and Employment, the General Secretary of the Ghana Mineworkers' Union and the Birim North District Chief Executive.
Background: What is behind Ghana's contract mining directive?
Ghana's contract mining policy forms part of efforts to increase indigenous participation in the mining industry and ensure that a greater share of the economic benefits from mineral extraction remains in the country.
Under the Minerals and Mining (Local Content and Local Participation) Regulations, 2020 (L.I. 2431), and the Minerals Commission's Sixth Edition of the Local Procurement List, effective January 1, 2025, owner-mining is prohibited in favour of contract mining for specified surface and underground operations.
The requirements provide that surface mining contracts must be undertaken by companies wholly owned by Ghanaians, while underground mining contracts must involve companies with at least 50 per cent Ghanaian ownership.
In April 2026, reports by Reuters indicated that the Minerals Commission had given Newmont, AngloGold Ashanti and Zijin Mining until December 2026 to transfer specified mining operations to local contractors, warning that companies that failed to comply could face sanctions, including fines and possible mine closures.
The policy has, however, faced opposition from organised labour, particularly over concerns that workers could experience lower salaries, reduced benefits and weaker job security after moving from direct employment to contractor arrangements.
The Ghana Mineworkers' Union has argued that multinational mining companies generally provide better remuneration and employment protections than some local contractors.
There have also been important developments since the initial directive. In May 2026, the Ghana Mineworkers' Union announced that the government had agreed to temporarily suspend the December deadline and establish a committee to review the policy following consultations with the union.
However, on October 21, 2026, the Ministry of Lands and Natural Resources issued further directives introducing safeguards for workers during the transition. These include a requirement that no worker should suffer a reduction in wages, benefits or conditions of service because of the change, alongside measures to harmonise remuneration across the mining industry.
The Ministry also directed the Minerals Commission to complete the processes required to implement the safeguards and submit the necessary documents for approval by November 30, 2026.
The latest developments mean the Abirem youth's November 5 petition comes amid an ongoing government effort to implement the local content policy while addressing concerns about workers' welfare.
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