Organised Labour has declared Ghana is fast approaching an unemployment crisis, citing a critical gap between economic growth and job creation.
This warning came from the Trades Union Congress (TUC), which highlighted escalating youth joblessness and declining quality of employment across the country. The TUC urges immediate and decisive actions to avert a more severe economic and social downfall.
The TUC's concerns underscore a significant challenge within Ghana's broader economic narrative. Despite official reports of economic expansion, a substantial portion of the population, especially young graduates, struggles to find decent jobs. This trend signals that macroeconomic stability alone does not guarantee improved livelihoods. It contrasts with government efforts to boost the economy through various fiscal and monetary policies.
Joshua Ansah, Secretary-General of the TUC, delivered this sobering assessment during the 2024 May Day celebration in Koforidua. He stated, "Decent employment or the absence of it remains one of the most critical economic and social challenges facing Ghana, and it could evolve into a political issue if left unchecked. We are fast approaching crisis level, Mr President." Mr Ansah stressed that many graduates remain unemployed for extended periods after completing their studies. Others are forced into roles that do not match their skills and education.
The TUC also highlighted issues beyond job availability. Workers face low remuneration, poor working environments, and limited access to social protection schemes. A significant number of workers lack pension benefits, leaving them vulnerable in retirement. The increasing trend of fixed-term contracts, replacing permanent employment, further threatens job security and benefits. This shift exacerbates the precarity of the labour market.
If left unaddressed, the high levels of youth unemployment and underemployment could trigger severe social instability. Mr Ansah described this situation as a "waste of human resources." A growing number of frustrated, educated but jobless young people could become a destabilising force. This potential unrest could disrupt Ghana's political and social fabric, impacting economic confidence and investment.
The TUC calls for a collaborative effort among the government, employers, and other social partners. They believe structural challenges in the labour market require collective solutions. These solutions should focus on creating sustainable jobs that offer decent conditions and social protection. Such reforms are crucial to ensure Ghana fully harnesses the potential of its young and educated population. Failure to act swiftly could lead to intensified social pressures and economic stagnation.