Business

Government Releases GH₵11.6 Million to Clear Railway Workers’ Salary Arrears

Partial payment to cover seven months as government moves to address prolonged salary delays

Story Highlights
  • Ghana Railway Development Authority secures GH₵11.6 million to pay arrears.
  • Payment will cover up to seven months of unpaid salaries.
  • Government engages stakeholders to ensure sustainable salary payments.

The government has approved the release of GH₵11.6 million to settle part of the outstanding salary arrears owed to railway workers, according to Frederick Appoh, Chief Executive Officer of the Ghana Railway Development Authority (GRDA).

The payment is expected to cover up to seven months of unpaid salaries, following recent protests by the Railway Workers Union over arrears that had accumulated to as much as 14 months.

Speaking in an interview, Dr. Appoh revealed that upon taking office, management discovered that the salary backlog dated back to 2024. He also disclosed discrepancies in workforce records, noting that while official figures listed about 1,300 employees, a forensic audit confirmed the actual number to be 960.

To address the situation, the Authority, working with the Ghana Railway Company Limited, initiated internal revenue measures, including the sale of scrap materials, which generated approximately GH₵21.5 million.

However, he explained that part of these funds was offset during reconciliation after contractors raised claims of unpaid consignments worth about GH₵10 million, reducing the amount available for salary payments.

Dr. Appoh confirmed that the Ministry of Finance has now approved and released GH₵11.6 million through the Ministry of Transport to begin payments to workers.

He added that the GRDA will engage key stakeholders—including the Trades Union Congress, the Railway Workers Union, the National Labour Commission, and the Ministry of Transport—to develop a fair and sustainable payment plan.

Efforts are also underway to identify additional funding sources to fully clear the remaining arrears and prevent future delays in salary payments.

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