The government of Ghana and Organized Labor have decided to exempt all pension funds from the Debt Exchange Program.

However, the exemption of all pension funds is conditional on the government and Organized Labour cooperating to develop mutually beneficial solutions within the debt sustainability criteria.

On Thursday, December 22, after a crucial meeting between Organised Labour, the Ministry of Employment and Labour Relations, the Finance Ministry, the National Security Ministry, and all other parties involved, the Minister of Finance, Ken Ofori-Atta, promised that all workers’ pensions would be exempt from the Programme.

On Monday, December 5 the programme was launched and expected to take off next month, was announced as part of austerity measures to save the economy from collapse.

Following report of the inclusion of workers’ pensions stirred agitations among workers, who gave government a 7-day ultimatum to exempt their contributions, most of which were lodged in government vaults.

After the ultimatum elapsed, Organised Labour declared intention to proceed on strike from Tuesday, December 27.

“We are asking government to exempt us from the debt exchange programme,” Secretary General of Ghana Trades Union Congress (TUC) Dr Anthony Yaw Baah told journalists at a press conference in Accra on Monday, December 19.

“We have already told the world that if government doesn’t do that, we will advise ourselves. Today, we are here to announce the advice.

“The advice is very simple. We have all agreed that because the government has refused to grant our request, we have decided firmly that all workers of Ghana are going to strike on December 27, 2022, and we will be on strike until our demands are met.”

However, after the meeting on Thursday, a Memorandum of Understanding (MoU) was signed between the government and Organised Labour and, a seven-member committee was formed to explore technical solutions to bring the debt threshold back to sustainable limits.

The Committee comprised four representatives from Government and three representatives from Organised Labour. They are expected to submit a report on December 28.

“We believe that Government and Organised Labour can work together in the spirit of social partnerships to resolve all outstanding issues to make the Debt Exchange Programme successful towards restoration of macroeconomic stability and economic recovery,” the MoU stated.