Privatisation of utility services threatens jobs – TUC SG

By Samuel SAM

The Trades Union Congress (TUC) has strongly opposed privatisation of public utility services, warning that the policy threatens job security, workers’ rights and equitable service delivery.

According to the TUC, privatisation is not the best solution to challenges confronting state-owned enterprises such as the Electricity Company of Ghana (ECG), Ghana Water Company Limited (GWCL and Northern Electricity Distribution Company (NEDCo).

“These service providers are essential to the functioning of society and must remain under public control and accountability. The move to privatise them risks mass layoffs and a decline in stable employment,” said TUC Secretary-General, Joshua Ansah.

He made these remarks at the Northern Regional Council of Labour meeting held in Tamale, which brought together various union executives to deliberate on pressing issues and explore ways of enhancing productivity for industrial and economic growth.

Mr. Ansah government to focus on improving service delivery quality instead of turning to privatisation. “Government must put in place the necessary measures to enhance service provision, which would in turn encourage consumers to honour their obligations,” he noted.

Highlighting instability in leadership at ECG, Mr. Ansah said: “It is astonishing that in the last five to six years ECG has had about seven to eight managing directors. Such frequent changes hinder progress, as it takes time for new directors to develop and implement strategic plans – plans that often get shelved due to sudden replacements”.

He recommended stakeholder participation on the boards of all state-owned utility companies to harness the expertise of trade unions, industry leaders, think-tanks and civil society.

Mr. Ansah emphasised that investment in public infrastructure, protection of decent work, fair wages and sustainable employment should remain government’s top priorities. “There is no evidence that any privatisation exercise in this country has benefitted workers. We have many poor examples of such policies,” he asserted.

He further criticised government policies for the challenges facing utility companies, stating that: “Much of the crisis in ECG is a result of governmental interference. The solution does not lie in handing these companies over to foreign interests, but in collaborative efforts to resolve the underlying issues”.

Northern Regional Secretary-TUC, Madam Felicia Kraja, also underscored the need for government to consider the welfare of citizens in policy-making. She noted that privatising utility services would adversely affect union members.

She added that the regional event was held to unify all sectors of the union, elect new executives to serve a four-year term and discuss strategies to address challenges affecting members’ welfare and economic advancement.

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