Every Ghanaian worker must retire with dignity in pension system – Mahama

President John Mahama has stated that every Ghanaian worker must retire with dignity, as he signalled a major review of the country’s pension system.

Speaking on Tuesday, March 17, at the Jubilee House during a dialogue with Organised Labour, the President warned that Ghana’s pensions framework is at a critical turning point.

“My comrades and friends, our pension system stands at a critical crossroads,” he said, stressing that nearly two decades after the introduction of the three-tier pension system, coverage remains significantly low.

According to him, out of an estimated 10 million workers, fewer than two million are actively contributing to the scheme, raising concerns about its long-term sustainability.

He further revealed that pension assets currently stand at approximately GH¢100 billion, representing just about 7 per cent of Ghana’s Gross Domestic Product (GDP), a figure he noted falls below benchmarks seen in other African countries.

“If we fail to act, the imbalance between contributors and retirees will continue to deepen, threatening the system’s sustainability and the dignity of our future retirees,” President Mahama cautioned.

To address the challenges, the President announced that he has directed the Minister for Finance to undertake a comprehensive review of the pension structure.

The review, he explained, will focus on expanding coverage, particularly within the informal sector, modernising contribution systems, and strengthening governance and investment management.

“Our goal is clear, every Ghanaian worker must retire with dignity, with security and confidence in the pension system,” he stated.

The engagement with Organised Labour forms part of ongoing consultations by the Presidency to address key economic and social policy concerns affecting workers across the country.

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