Rethinking Wages in Ghana: A Call for an Hourly Pay System to Support the 24-Hour Economy

By: Dr. Sanusi Zankawah

As Ghana prepares for a bold economic transformation under the proposed 24-hour economy led by President John Mahama, it is crucial that the nation reconsiders not just how work is done, but also how it is rewarded.

A significant and necessary reform lies in moving from the traditional monthly salary structure to an hourly wage system, an approach that promises fairness, flexibility, productivity, and a more inclusive labor market.

This is a call to the Government of Ghana, the Fair Wages and Salaries Commission, and Trade Unions to begin serious, coordinated discussions toward the implementation of hourly wages for Ghanaian workers.

For decades, Ghana’s wage structure has been based on fixed monthly salaries tied to predetermined working hours, often 8 a.m. to 5 p.m., Monday through Friday.

While this system provided structure in a time of limited labor mobility and rigid job definitions, it has now become increasingly outdated.

The global economy has shifted towards service delivery, flexible schedules, and digitization, all of which demand a more dynamic compensation model.

Hourly wages represent a practical and just alternative, aligning pay more closely with time invested and value delivered. Countries such as the United States, United Kingdom, Germany, Canada, and Australia though not on same economic development level as Ghana have for years relied on hourly wage structures to regulate labor, improve productivity, and offer flexibility to workers and employers alike. Ghana must not be left behind.

The hourly wage system offers tremendous benefits for Ghanaian workers and the broader economy.

It creates a direct link between work done and remuneration received, fostering a culture of responsibility and output-based evaluation.

This is particularly critical for the successful rollout of the 24-hour economy, which requires round-the-clock operations in sectors such as healthcare, security, retail, logistics, and customer service.

Under an hourly system, businesses can operate in shifts and employ workers more flexibly during off-peak or overnight hours, enabling the economy to function beyond traditional time boundaries.

For workers, the hourly model offers a chance to earn based on their availability and capacity, supporting those who may prefer or require part-time work due to family responsibilities, education, or other obligations.

Beyond facilitating a 24-hour economy, hourly wages can promote job creation. Small businesses that may not afford to employ full-time workers can now engage staff for specific periods, increasing employment opportunities while managing costs.

This system also provides a bridge between the formal and informal sectors, particularly if supported by mobile time-tracking and payroll apps tailored to Ghana’s labor realities.

By formalizing work arrangements and ensuring fair pay, hourly wages can bring dignity and legal protection to workers in the informal sector, while also expanding the tax base and pension contributions.

Despite these merits, transitioning to an hourly wage structure will not be without challenges.

One concern often raised is the risk of time theft and tardiness by workers, especially in environments where supervision may be limited.

Employees may log hours they did not work, arrive late, or take extended breaks. However, modern solutions already exist. Employers can deploy biometric systems, GPS-based check-in apps, or digital punch cards linked to payroll software.

These tools, many of which are already in use in parts of the private sector, can be made affordable through public-private partnerships or subsidized national rollouts. Moreover, clear disciplinary procedures, performance-based bonuses, and workplace education can help cultivate a culture of honesty and punctuality.

Another concern is the fear of job insecurity. Critics may argue that hourly wages could lead to unstable incomes and casualization of labor.

To address this, Ghana can adopt a hybrid model where workers are guaranteed a minimum number of paid hours per month, supplemented by variable earnings from extra hours worked. Employment contracts and labor laws should also be amended to secure protection such as severance, sick leave, and social security regardless of how wages are calculated.

One of the advantages of hourly pay is the flexibility it brings not just in work schedules, but in payment intervals.

Under the current system, many workers receive their salaries monthly a structure that can impose financial strain when faced with weekly expenses such as food, transport, or school needs. With hourly wages, payment could be arranged on a weekly or biweekly basis, allowing workers to better manage their finances, avoid exploitative loans, and respond more quickly to emergencies.

This model is already practiced in many advanced economies and can be integrated into Ghana’s digital payment systems through platforms like mobile money and bank transfers.

Skepticism from employers and trade unions is expected, especially where operational costs and collective bargaining agreements are concerned.

That is why any national move toward hourly wages must begin with pilot programs in key sectors such as transportation, healthcare, hospitality, and ICT where shift work is already in use.

Government can incentivize private participation through tax breaks and technical assistance, while unions must be brought in as partners to protect workers’ rights under the new system.

A gradual, data-driven approach will ensure that policy adjustments are made based on real-world feedback and measurable outcomes.

Ultimately, Ghana’s ambition to become a 24-hour economy requires more than infrastructure and policy, it demands a labor market that is modern, responsive, and inclusive.

An hourly wage system is not a foreign concept, nor is it an experiment. It is a tested and proven model that rewards time fairly, enhances economic participation, and builds trust between workers and employers.

Ghana must act boldly, not only to keep pace with global labor standards but to ensure that every Ghanaian’s hour of work counts literally and fairly. The time to explore this reform is now.