Organized Labour in Ghana is gearing up for a nationwide demonstration against the government's imposition of a 15% Value Added Tax (VAT) on electricity. Despite giving the government a two-week ultimatum to withdraw the controversial tax, labour groups are proceeding with their planned protest on February 13.
The announcement of the demonstration was made by the Secretary-General of the Trades Union Congress (TUC), Anthony Yaw Baah, on Friday, February 2, 2024. Dr Baah expressed disappointment with the government's failure to withdraw the directive to power distributors, stating, “Our advice is straightforward. We have advised ourselves that this government is taking us for granted, so we are going to lead massive demonstrations in all the 16 regional capitals of Ghana on 13th February.”
In January 2024, TUC had issued a seven-day ultimatum for the government to withdraw the VAT on electricity consumption above the lifeline. Dr Baah emphasized the burden placed on the poor, including pensioners, and asserted, “Organised Labour is demanding the immediate withdrawal of the letter.”
Despite the looming demonstration, the government has expressed readiness for extensive dialogue with Organized Labour and other stakeholders in the coming weeks. The Finance Ministry, in a statement dated January 30, 2024, indicated that the dialogue aims to ensure stakeholder buy-in. The Ministry acknowledged the concerns raised by Organised Labour and pledged to address them through comprehensive discussions.