The National Lottery Authority (NLA) has confirmed its 12% salary increase offer remains available to its striking staff. This announcement follows renewed discussions aimed at resolving a dispute over salary increments and income tax adjustments.
NLA staff began a sit-down strike and demonstration on August 24. This action stemmed from disagreements regarding the 2026 salary increment and changes to workers' net pay. These changes resulted from correcting an income tax anomaly.
This situation highlights broader challenges in public sector wage negotiations in Ghana. Government entities often balance employee demands with financial capacity and national economic targets. The NLA's financial constraints, partly due to settling GHS 5 million in historical tax liabilities, exemplify these pressures. Such disputes can affect public service delivery and investor confidence in state-owned enterprises.
NLA Director-General Mohammed Abdul-Salam stated that the Fair Wages and Salaries Commission (FWSC) is now amenable to the 12% salary increase proposal. This marks a shift from the FWSC's initial recommendation of an 8% increase. The local union had initially demanded a 17% increase.
The NLA has urged its staff to suspend their industrial action and resume duties. Management indicated that further discussions with the union and the FWSC will address gaps created by changes to the income tax composition of salaries. These ongoing negotiations aim to restore industrial harmony and ensure the NLA continues its mandate of generating revenue for national development.
The NLA had previously explained its 12% offer was influenced by financial constraints. These constraints arose partly from its decision to settle more than GHS 5 million in historical income tax liabilities. These liabilities were owed to the Ghana Revenue Authority (GRA) on behalf of staff. The tax arrears covered salaries between 2016 and 2022. They resulted from an incorrect application of income tax. The NLA entered an arrangement with the GRA to settle these arrears at no cost to staff. This adjustment, however, reduced employees' net take-home pay. This prompted the union to demand a higher salary increase to cushion the impact. The NLA remains committed to resolving the dispute and maintaining industrial harmony.