Sunyani-Ghana, Jan. 12, GNA – Unionization of informal sector workers is required for the nation to effectively administer pensions in the sector, Mr Enoch Okomfo Okonah, an economist and policy analyst has said.
He, therefore, called for a Legislation Instrument (LI) to push traders and artisanal workers in the country to form associations and unions to register and benefit from pension schemes.
Speaking in an interview with the Ghana News Agency (GNA) in Sunyani on informal sector pensions, Mr Okonah said the formation of the associations and unions in the informal sector was necessary to give the sector national recognition.
“Such associations can register for group pensions for its members to also benefit from the central government stimulus packages and other incentives,” Mr Okonah said.
He noted that although most of the Ghanaian people worked in the informal sector, few of them were registered on pensions, hence the “need for a legislation to compel all traders and artisans to form association, join and benefit from pensions accordingly.”
Pensions, he explained, provided and guaranteed sound financial security for both formal and informal sector workers, and advised workers in the informal sector to develop interest and join pension schemes.
Mr Okonah proposed for a regional based micro-pension licensing regime, “where a corporate trustee is specifically licensed and registered to operate within the jurisdiction of a single region.”
“Alternatively, the National Pensions Regulatory Authority can also license corporate trustees solely for the informal sector,” he added.
