The Minister of Employment and Labour Relations has disclosed that government would suspend the 15 per cent Cost of Living Allowance (COLA) for members of organized labour when the conditions that necessitated it are no more.
According to the Ministry, the cost of living allowance is as a result of certain factors that have arisen, so, if the factors are no more, it may be suspended.
“We have agreed that the Cost of Living Allowance will be paid effective 1st July. As the name applies, it is an allowance which is a result of certain factors that have arisen in the course of the year so as and when these factors are no longer there, there will not be the relevance to continue with it,” Deputy Minister of Employment and Labour Relations, Bright Wereko Brobby told Citi News.
The various worker unions, including the four teacher unions, the Ghana Medical Association, and the Public Sector Workers Union, among others, demanded the payment of 20 per cent of their basic salaries as Cost of Living Allowance (COLA) due to the current economic situation in the country.
Negotiations dragged on for over two weeks, compelling CCT, GNAT, NAGRAT, and TEWU to embark on industrial action to insist on their demand which is a Cost of Living Allowance.
Source: Constechz.com