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Estimating public and private sectors' union wage effects in Ghana: is there a disparity?

John Owusu-Afriyie (Department of Economics, University of Ghana, Accra, Ghana) (Department of Research and Macroeconomic Management, West African Insitute for Financial and Economic Management, Lagos, Nigeria)
Priscilla Twumasi Baffour (Department of Economics, University of Ghana, Accra, Ghana)
William Baah-Boateng (Department of Economics, University of Ghana, Accra, Ghana)

International Journal of Social Economics

ISSN: 0306-8293

Article publication date: 25 December 2023

38

Abstract

Purpose

This study seeks to estimate union wage effect in the public and private sectors of Ghana, respectively. It also seeks to ascertain whether the union wage effect in the two sectors varies.

Design/methodology/approach

The authors use data from the Ghana Living Standards Survey 6 (GLSS 6, 2012/2013) and Ghana Labour Force Survey (GLFS, 2015). In terms of estimation technique, the authors employ the Blinder–Oaxaca decomposition technique to estimate union wage effect in public and private sectors, respectively.

Findings

The findings indicate that union wage effect in the public sector is positive and higher relative to that of the private sector.

Practical implications

The findings imply that strict enforcement of Section 82 of Labour Act 2003 (Act 651) will curb the political influence of public sector unions over their employer (Government).

Originality/value

This research paper has not been presented to any journal for publication and it is the authors' original work.

Peer review

The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-01-2023-0045

Keywords

Acknowledgements

The authors appreciate the contribution of Dr William Bekoe of blessed memory (Former Senior Lecturer, Department of Economics, University of Ghana) to shaping the objectives of this study. The authors are also grateful to Gabriel Yaw Asante [Senior Programme Manager, West African Institute for Financial and Economic Management (WAIFEM), Lagos, Nigeria] for proofreading this article. The authors also acknowledge the moral support of the Director General of WAIFEM, Dr Baba Yusuf Musa and all the directors of WAIFEM namely, Dr Emmanuel Owusu-Afriyie, Amadou S. Koora, Yakubu Alieu and Dr Alvin Johnson. Last but not least, the Corresponding Author specially acknowledges the mentorship of Prof Douglason Omotor.

Citation

Owusu-Afriyie, J., Baffour, P.T. and Baah-Boateng, W. (2023), "Estimating public and private sectors' union wage effects in Ghana: is there a disparity?", International Journal of Social Economics, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/IJSE-01-2023-0045

Publisher

:

Emerald Publishing Limited

Copyright © 2023, Emerald Publishing Limited

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