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Single Spine not sustainable going forward – Seth Terkper

Finance Minister, Seth Terkper says the Single Spine Pay Policy (SSPP) is not sustainable going forward because the country’s wage bill could exceed the total revenue if steps are not taken to address the situation.
The Minister disclosed that Government spent GH¢ 4.3 billion on wages and salaries alone for the first half of this year, representing 70.1% of total national revenue.
But this figure is higher than the one recorded during the same period last year, revealed the Minister.
Speaking at a public forum on the SSPP at Ho, on Tuesday August 6, the Finance Minister, said public sector wages and salaries for this year could reach nine billion Ghana Cedis.
“The key point here is just use the non-earmarked funds [the country is] using everything to pay wages, we still have some arrears which are pending…this is the reality”, said Mr Terkper.
The forum comes on the back of calls for its review due to the impact it is having on the country’s wage bill.
However, the President, who was also at the forum, assured Ghana’s public workers that despite serious challenges facing government in the implementation of the pay policy, scrapping it was not an option.
According to President Mahama, before the introduction of the system, there were over 100 different pay structures for different public service institutions, stressing the new regime, which brings the different structures into a single structure with 25-grades, is more desirable
So far 99% of public service workers have been migrated onto the SSPP.

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