LABOUR LAWS AND ACTORS IN INDUSTRIAL RELATIONS PRACTICE

UNIT 1 SECTION
INDUSTRIAL 3
RELATIONS Unit 1, section 3: Actors in industrial relations practice

There are three main actors in the area of industrial relations practice in
Ghana; the employers, employees, and the government of Ghana. Each of
these actors is represented by a parent organization or an agency in the case
of the government. The employers in the industrial relations practice are
represented by the Ghana Employer’s Association while employees are
represented by the Ghana National and Local Trade Unions. The
government is however, represented by a number of agencies or institutions
including the National Labour Commission, the labour department and so
on.

This section seeks to provide an overview and a detailed discussion of the

main actors of industrial relations practice in Ghana. Upon a successful
completion of the session, the student is expected to:
i) Develop a clear and meaningful understanding of the operations of
the industrial actors at the workplace
ii) List the various functions of each actor in the industrial and
collective bargaining process
iii) Describe the general principles, concepts and practices of collective
bargaining, and
iv) Appreciate the legal framework within which the industrial actors
function at the workplace

The Ghana National and Local Trade Unions

A trade union is an organized labour unit that represents workers in a paid
employment. Two or more workers employed in the same undertaking may
form a trade union in Ghana. Upon registration, every trade union has the
right to:
 Draw up its constitution and rules, elect its officers and representatives
 Organize its administration and activities , and formulate its own
programmes
 Take part in the formulation, and become a member of any federation of
trade unions, and participate in its lawful activities, and
 Affiliate to and participate in the activities of, or join an international
worker’s organization.

In Ghana, every worker has the right to form or join a trade union of his/her
choice for the promotion and protection of the worker’s economic and social
rights (Section 79 (1) of the Labour Act, 2003, Act 651). Section 79 (2) of
Act 651 has however, granted exemption to a class of workers by indicating
that a worker whose function is normally considered as:
 Policy making
 Decision making
 Managerial
 Holding a position of trust
 Performing duties that are of a highly confidential nature; or

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 An agent of a shareholder of an undertaking may not form or join

trade unions.

In determining whether a worker falls within the class of workers granted

this exemption, consideration shall be given to the organizational structure
and job descriptions or functions of the worker concerned.

The parent head of trade union in Ghana is the Trade Union Congress. The
functions of the trade union congress are distributed among all the affiliated
national unions. The trade union congress has 17 affiliated national unions
with an estimated membership of about half a million spread across all the
major sectors of the Ghanaian economy. They include:
 General Agricultural Workers Union (GAWU)
 Railway Enginemen Union (REU)
 Union of Industry, Finance and Commerce (UNICOF)
 National Union of Seamen (NUS)
 Construction and Building Material Workers Union (CBMWU)
 Communication Workers Union (CWU)
 Public Utility Workers Union (PUWU)
 Public Services Workers Union (PSWU)
 Ghana Private Road Transport Union (GPRTU)
 Railway Workers Union (RWU)
 Health Services Workers Union (HSWU)
 Teachers and Educational Workers Union (TEWU)
 Local Government Workers Union (LGWU)
 Ghana Mine Workers Union (GMWU)
 Maritime and Dockworkers Union (MDU)
 General Transport Petroleum and Chemical Workers Union (GTPCWU)
 Timber and Wood Workers Union (TWU)
 Federation of Universities Senior Staff Association of Ghana (FUSSAG)

Each of the national unions has its own local representations at the regional
and district levels. The national unions are essentially administrative and
service organizations. They provide parental services to the local unions. In
practice, no union member belongs to a national union. Workers are only
members of the national unions by virtue of their membership with a local
union. The national and local trade unions perform the following functions:
 Trade unions speak on behalf of their members
 Trade unions provide members with information, advice and guidance
about work-related problems
 Trade unions provide members with a range of services including
training, education, insurance, financial services and legal advice
 Trade unions bargain with employers or their representatives to get
better pay for members
 Trade unions monitor, investigate and campaign on particular issues, for
example low pay, sexual harassment, bullying, exploitation and the like

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Apart from the Ghana Trade Union Congress, there is the Ghana Federation
of Labour (GFL) with an estimated membership of 48,000 mainly in the
manufacturing and trade sectors. The GFL has 10 affiliated national unions
as follows:
 Textiles, Garments and Leather Employees Union (TGLEU)
 Judicial Service Staff Association of Ghana (JUSAG)
 National Lotto Receivers Union (NLRU)
 Food and Allied Workers Union (FAWU)
 General Manufacturing and Metal Workers Union (GEMM)
 Financial and Business Workers Union (FBSWU)
 Ghana Environmental Health Officers Association (GEHOA)
 National Union of Professional Drivers (NUPROD)
 Private School Teachers and Education Workers Union of Ghana
(PRISTEG)
 Union of Private Security Personnel (UPSP).

There is also a number of sector and enterprise based workers’ organizations

that are not affiliated to either the Trade Union Congress or the Ghana
Federation of Labour. They include:
 Ghana National Association of Teachers (GNAT)
 Civil and Local Government Staff Association of Ghana (CLOGSAG)
 Ghana Registered Nurses Association (GRNA)
 Ghana Medical Association (GMA)
 University Teachers Association of Ghana (UTAG)
 Polytechnic Teachers Association of Ghana (POTAG)
 Ghana Association of University Administrator (GAUA)
 Polytechnic Administrators Association of Ghana (PAAG)

The Ghana Employer’s Association

Just as employees have the right to join or form trade unions, so do
employers have the right to join or form associations. Section 80 (2) of the
Ghana Labour Act, 2003 (Act 651) is to the effect that two or more
employers in the same industry or trade, each of whom employs not less
than fifteen (15) workers may form or join an employer’s organization or
association. An employers association is any organization whose
membership is composed of employers and whose purpose includes the
regulation of relations between employers and employees or trade unions.
The development of employers’ associations can be traced to the
development of trade unions, collective bargaining, and the feeling that
there is strength in unity. Thus, the main objective for the formation of
employer’s association is to protect management prerogative and resist the
development of powerful trade unions which can proof very
disadvantageous to employers. The Ghana Employers Association was
formed in 1959.

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The employers association has the same rights under Labour Act, but
performs different functions as follows:
 Employers associations undertake direct negotiation of collective
agreement with employees
 Employers associations assist their members in the resolution of disputes
 Employers associations provide general help and advice to its members
on industrial relations matters
 Employers associations represent its members’ views and interests to
government and other agencies

The government in industrial relations practice

The government of Ghana is represented in the industrial relations practice
by the Labour Department (LD), the Ghana National Labour Commission
(NLC), the Factories Inspectorate (FI), and the Fair Wages and Salaries
Commission (FWSC). The government of Ghana plays an integral role in
industrial relations practice, first as the body responsible for industrial
policy formulation and implementation, second as the regulator/overseer of
the industrial relations environment, and third as the largest single employer
in Ghana.

The labour department is charged with the responsibility of administering

and enforcing labour laws in Ghana. This responsibility is imposed on it by
the Labour Act, 2003 (Act 651). The department is also required to receive
reports on labour inspection as indicated in section 122. The Factories
inspectorate is responsible for the promotion of measures needed to ensure a
peaceful, safety and healthy work environment for all persons employed in
paid workplaces in accordance with the Factories, Offices and Shops Act,
1970 (Act 328). The Inspectorate is also required to:
 Secure the enforcement of the provisions of Act 651 relating to
conditions of work and the protection of workers at their workplaces
 Provide technical information and advice to both employers and
employees in relations to the provisions of Act 651
 Bring to the notice of the Labour Department any defects of Act 651
 Report to the labour department other unfair labour practices or abuses
not specifically provided for in Act 651.

The National Labour Commission is mandated to oversee conflict-free

industrial relations in Ghana. The commission has a power of the High
Court in respect of the enforcement of attendance of witnesses and the
production of valid documents. The functions of the national labour
commission in industrial relations practice are as follows:
 To facilitate the settlement of industrial disputes
 To settle industrial disputes
 To investigate labour-related complaints, in particular unfair labour
practices and take such steps as it considers necessary to prevent labour
disputes

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 To maintain a data base of qualified persons to serve as mediators and

arbitrators
 To promote effective labour co-operation between labour and
management, and
 To perform any other function conferred on it under Act 651 or any
other enactment.

The Fair Wages and Salaries Commission, 2007 (Act 737) was established
to perform the following three functions in an attempt to promote sound
industrial relations practice in Ghana:
 Ensure fair, transparent, and systematic implementation of public pay
policy
 Develop and advice government on issues relating to salaries, wages,
grading, classification, job analysis and job evaluation exercises, and
 Undertake negotiations where compensation is financed from public
funds.

Other Actors in the industrial relations practice in Ghana

The composition of the National Tripartite Committee makes it difficult for
one to clearly define it under the three major Actors in industrial relations in
Ghana.

The national tripartite committee is composed of:

 The Minister of finance who shall be the chairperson
 Five representatives of government
 Five representatives of employers organization, and
 Five representatives of organized labour

The Committee performs the following functions in Ghana:

 Determine the national daily minimum wage
 Advice on employment and labour market issues, including labour laws,
international labour standards, industrial relations and occupational
safety and health
 Consult with partners in the labour market on matters of social and
economic importance, and
 Perform such other functions as the Minister may request for the
promotion of employment development and peace in the labour sector.

The Actors in industrial relations in Ghana include the employers,

employees, government and other relevant institutions and policy making
agencies. The first three actors, however, are the main Actors in industrial
relations practice in Ghana. The government plays a dual role in industrial
relations practice in Ghana. She is an employer and overseer of industrial
relations activities in Ghana.

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Self-assessment questions
(1) How does the government play her role as an overseer of the industrial
relations environment in Ghana? State any four agencies that represent
the government in industrial relations practice in Ghana.
(2) Which classes of workers are not granted the right to form or join an
organized labour under the Labour Act, 2003 (Act 651) in Ghana? List
any five affiliated national unions under the trade union congress in
Ghana.
(3) Outline the composition of the National Tripartite Committee. What
major functions does it play in ensuring a sound industrial relations
practice in Ghana?

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