Key Insights on Hiring in Ghana

Understanding Types of Employment Contracts in Ghana

Employment relationships are governed by clearly defined contractual arrangements that outline the expectations and obligations of both employers and employees. Employment contracts in Ghana may differ based on the nature and frequency of remuneration. Whether the worker is paid monthly, weekly, or at another interval, the type of contract is classified accordingly. Understanding these distinctions is essential for both employers and employees to ensure compliance with labour laws and to promote transparency and fairness in the workplace.

We have:

• Permanent/Indefinite Contracts
• Fixed-Term Contracts
• Short-Term Contracts
• Part-Time Contracts

Understanding Probationary Periods in Ghana

In Ghana, while the law does not explicitly define the length of a probationary period, it is widely recognized in practice and must be reasonable, fair, and clearly outlined in the employment contract. Properly managed probation periods help ensure that new hires are aligned with the organization’s standards, culture, and performance expectations.

A typical probation period lasts between three to six months, during which the employer evaluates the employee’s suitability for the role before making a decision to confirm or terminate the appointment.

Understanding the Rights and Duties of Workers in Ghana

Ghanaian labour law clearly defines the rights and responsibilities of workers to promote fair, safe, and productive workplaces. Employees are entitled to fundamental protections such as safe working conditions, equal pay for equal work, paid rest and leave, access to training, and freedom of association, including the right to form or join trade unions.

In return, workers are expected to report to work regularly and on time, perform their duties diligently, follow lawful instructions, prioritize workplace safety, protect employer property, and contribute to a harmonious and efficient work environment.

Understanding Working Hours in Ghana

The standard working hours for employees are work not more than eight hours per day, amounting to a maximum of forty hours per week.

Introduction: Understanding Leave Entitlements in Ghana

Employees in Ghana are entitled to various forms of leave to promote rest, well-being, and work-life balance. The law guarantees a minimum of 15 working days of paid annual leave after one year of continuous service.

In addition to annual leave, the law makes provisions for other types of leave, including:

• Sick Leave
• Maternity Leave
• Public Holidays
• Casual and Special Leave

Overview of Taxation and Social Security in Ghana

Ghana has a structured tax and social security system designed to ensure that both individuals and businesses contribute to national development while safeguarding the welfare of workers. The key components of this system are:

• Income Tax (Pay As You Earn – PAYE)
• Corporate and Other Business Taxes
• Social Security and Pension Contributions; Ghana’s social security system is managed by the Social Security and National Insurance Trust (SSNIT) and regulated under the National Pensions Act.

Penalties for Non-Compliance

Delays or failure to remit taxes or SSNIT contributions can result in:

• • Interest penalties
  • Fines
  • Legal actions
  • Suspension of business operations