One million Ghanaian workers have lost their jobs since last year with miners being the worst affected, research by the Centre for Socioeconomic Studies (CSS) has indicated.
The Centre in a statement warned that the situation poses a threat to national security and hurts revenue generation.
“The Centre for Socioeconomic Studies (CSS) takes a serious view of happenings on the employment scene in Ghana and the impact on livelihoods and the general economy. Ghana’s employment sector has been characterised by massive job cuts owing to economic meltdown, with several organizations downsizing their workforce to keep within efficient operational budgets. The youth remain the most affected by the job loss menace.
“The CSS, from its study of the situation, found that over a million individuals who contributed significantly to Ghana’s workforce and also served as breadwinners in their families have had to suffer the misery of job loss. Reports from 2017 to date suggest the job cuts span the industrial, banking and mining sectors as well as the media and services sectors.”
Giving a breakdown of the figures, Research fellow with the Centre, Albert Wotorgbui said: “The mining sector has the manufacturing and industrial sector and the media space as well. If you take a look at the various sectors; we have the mining sector having the highest job losses…”
Mr. Wotorgbui also outlined the implications of such job losses to the economy and citizens.“It ends up having an effect on general manufacturing and actual demand on goods and services, and it also tends to reduce government revenue because if the manufacturers are not selling , people are not working and having the money for good and services.”
Mr. Wotorgbui’s assertion comes days after the Information Minister-designate, Kojo Oppong Nkrumah, announced that government had given financial clearance for the creation of some 145,000 jobs.
Addressing journalists in Accra last Tuesday, Mr. Oppong Nkrumah assured that the government remains committed to increasing job opportunities both in the private and public sectors to address the growing unemployment rate.
“About 24,000 health workers, over 9, 500 educational workers, 4,000 for the Police Service, 3,500 for other security agencies, 2700 agriculture extension officers. About 1,049 local government workers, 20,000 for afforestation and approximately 100,000 for the Nation Builders Corps.”
“All of these 145,000 that have received financial clearance is expected to be at the post before the end of this year, 2018. The extent of the unemployment challenge created within the last eight years means more people are still looking for jobs out there. Government is cognizant of that, and the government will continue with actions that are aimed at creating more opportunities for them even as we improve economic conditions and government finances.”
The CSS in a statement made some recommendations to tackle the unemployment situation.
1. Government spending should adequately respond to sustainable job creation, given the presently low levels of investment in productive capacity evidenced in the high recurrent expenditure trends against significantly low capital expenditure.
- Government should reconsider its approach in the financial sector crisis management, by adopting a “Stakeholder Approach” that effectively meets the needs of potential job losers, shareholders/investors in indigenous and rural banks as well as the interests of depositors.
- Government should review tax thresholds downwards in the 2019 budget to mitigate the hikes in prices resulting from excessive taxation of goods and services at the ports of entry and points of sale in the country.
- Government should awaken itself to the reality that the attacks and assaults on government officials are serious national security threats arising from the current economic hardships outlined above and could see a nationwide escalation.
- Whiles doing all these, the CSS urges the government, as a matter of urgency, to start putting social protection programs in place to alleviate the serious suffering of the people
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By: Marian Ansah/citinewsroom.com/Ghana
The post One million Ghanaians lost jobs in 2017 – Report appeared first on Citi Newsroom.
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