The National Lottery Authority (NLA) has urged its local staff union to immediately end their sit-down strike. The NLA management called for a return to negotiations over an ongoing wage dispute.
This appeal follows industrial action initiated by staff on Monday, August 24, 2026. The union rejected a 12 percent salary increase offer, demanding a 17 percent raise. The NLA stated its commitment to resolving the impasse peacefully.
This labour dispute highlights broader challenges within Ghana's public sector regarding wage negotiations and financial management. Many state-owned enterprises face pressure to balance employee demands with fiscal realities and revenue generation targets. The NLA's situation reflects the tight budgetary environment impacting various government agencies. This context often leads to contentious negotiations over compensation and benefits.
Abdul Salam Mohammed, CEO of the NLA, confirmed the Authority's position. He stated that the NLA absorbed over GHS 5 million in historical tax liabilities. These arrears covered six years, from 2016 to 2022, due to incorrect tax application. This significant financial burden influenced the NLA's salary offer to its employees.
The NLA's management clarified the root cause of the dispute. The Ghana Revenue Authority (GRA) notified the NLA of unpaid income taxes on staff salaries. After meetings with the GRA, the NLA board and management agreed to pay the GHS 5 million in tax arrears. This payment was made at no cost to the staff members. To prevent future liabilities, the NLA adjusted its tax application on salaries. This adjustment, however, reduced staff net take-home pay. This reduction prompted the union to seek a 17 percent increment to offset the shortfall.
During budgetary approvals, the NLA board initially approved a 10 percent salary increment. This decision considered the absorbed GHS 5 million in tax arrears and other budgetary constraints. Management later advocated for an additional 2 percent, bringing the final offer to 12 percent. The union declared a deadlock and referred the matter to the National Labour Commission (NLC). The union served notice of its strike action on Friday, August 21, 2026.
The NLA also sought guidance from the Fair Wages and Salaries Commission (FWSC) on February 11, 2026. The FWSC responded on June 11, 2026, advising an 8 percent salary increase. This recommendation was based on the NLA's current financial capacity. This 8 percent figure is 4 percentage points below management's 12 percent offer. The NLA management affirmed its active engagement with the National Labour Commission for formal arbitration. This process aims to achieve an amicable resolution. The Authority assured stakeholders of its commitment to fulfilling its mandate. This mandate includes raising revenue for national development. The ongoing strike could disrupt lottery operations and revenue collection. This disruption would impact national development initiatives funded by NLA proceeds. All parties await the outcome of the NLC's arbitration efforts.