Labour Still Adamant

Today’s meeting between Organised Labour and government is likely to end in deadlock because Labour has unanimously agreed that the Energy Sector Levy Bill (2015) must be withdrawn at all cost, something government has said is impossible.

Organised Labour, which comprises eight labour unions, at a meeting yesterday rejected government’s position that the Energy Sector Levy Bill (2015) cannot be withdrawn, but utility tariffs announced by the Public Utilities Regulatory Commission (PURC) in December can be reduced to 50% as requested by Labour.

The cost of some petroleum products have gone up between 18 and 27% following the passage of the levy by Parliament.

Water and electricity tariffs went by 67.2% and 59.25% respectively, and Organised Labour want the current electricity tariff reduced by 9.2% and water reduced by 17.2%.  

If today’s meeting with government end inconclusively, Organised Labour will then decide its next line of action. 

Labour halted its plan to embark on a nationwide strike because it is illegal to declare a strike in the midst of negotiations.

General Secretary of the Trades Union Congress (TUC), Mr Kofi Asamoah told The Finder that yesterday’s meeting reiterated the withdrawal of the Energy Sector Levy Bill (2015).

According to him, workers insist that if the government reduces utility tariffs to the 50% without withdrawing the Energy Sector Levy Bill, Ghanaians will still pay 60% increment in water and electricity tariffs because the bill has imposed a 10% increment on electricity.

He explained that, in addition, consumers will also continue to pay between 18 and 27% increases on the price of petroleum products.

He said the eight unions agree that the above and other taxes that have been increased are beyond the reach of the working class, let alone those not gainfully employed.

According to Organised Labour, the Energy Sector Levy Bill (2015) is a bad law that was rushed through Parliament without adequate consultations. 

The unions argue that the increases would only worsen already bad living conditions prevailing in the country.

A meeting last Thursday between the government and Organised Labour ended inconclusively, with both parties sticking to their entrenched positions.

Government has rejected a request by Organised Labour to scrap the controversial energy sector levy which has resulted in a 28% hike in fuel prices. 

Strike and Demonstrations

Organised Labour had announced that on Tuesday, January 19, 2016 and Wednesday, January 20, 2016 there will be demonstrations and picketing at the national level and all regional capitals.

Labour went ahead with the nationwide demonstration on Thursday, January 21, 2016.