Estimating the Fiscal Costs of Implementing Ghana’s Single Pay Spine Reform
Public sector pay policy is one of the main decisions facing a government, as it determines the ability to attract, retain, and motivate staff needed to fulfill its service delivery objectives. One option usually considered is relying on a single p...
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okr-10986-43432021-04-23T14:02:17Z Estimating the Fiscal Costs of Implementing Ghana’s Single Pay Spine Reform Cavalcanti, Carlos ACCOUNTING AGE GROUP DEBT EMPLOYEE EMPLOYMENT EMPLOYMENT STATUS EXOGENOUS VARIABLE EXOGENOUS VARIABLES FINANCIAL MANAGEMENT FISCAL IMPLICATIONS FORMAL SECTOR EMPLOYMENT FORMAL SECTOR WAGES HOUSING HUMAN RESOURCE INFORMAL EMPLOYMENT INFORMAL SECTOR JOB CREATION JOBS LABOR FORCE LABOR MARKET LABOR MARKETS LABOR PRODUCTIVITY LOCAL GOVERNMENT MINIMUM WAGE MINIMUM WAGES MINISTRY OF FINANCE PAID WORKER PENSION OBLIGATIONS POVERTY REDUCTION PRIVATE SECTOR PRIVATE SECTOR WAGES PRODUCTIVITY IMPROVEMENTS PUBLIC PUBLIC ADMINISTRATION PUBLIC EXPENDITURE PUBLIC POLICY PUBLIC SECTOR PUBLIC SECTOR EMPLOYEE PUBLIC SECTOR EMPLOYEES PUBLIC SECTOR INSTITUTIONS PUBLIC SECTOR JOBS PUBLIC SECTOR MANAGEMENT PUBLIC SECTOR PAY PUBLIC SECTOR PERFORMANCE PUBLIC SECTOR STAFF PUBLIC SECTOR WAGE PUBLIC SECTOR WAGE BILL PUBLIC SECTOR WAGES PUBLIC SECTOR WORKERS PUBLIC SERVANTS PUBLIC SERVICE PUBLIC SERVICES REASONABLE ASSUMPTIONS RURAL WORKERS SELF EMPLOYED SELF EMPLOYMENT SERVICE DELIVERY TAX TAX REVENUES TOTAL WAGE UNION WAGE PREMIUM UTILITIES WAGE INCREASE WAGE NEGOTIATIONS WAGE PREMIUM WORKERS Public sector pay policy is one of the main decisions facing a government, as it determines the ability to attract, retain, and motivate staff needed to fulfill its service delivery objectives. One option usually considered is relying on a single pay spine for all services into which jobs would be slotted, thus ensuring greater comparability of similar jobs across the public sector. This paper examines the single spine pay reform currently being considered in Ghana, highlighting the differences between the Ghanaian proposal and similarly named proposals elsewhere, and underscoring the potential cost of implementing the proposal -- which is expected to be significant. There are three main findings: (i) the implementation of the single spine pay reform would raise the base pay wage bill (salaries plus category one allowances) in Ghana to GHC2.8 billion by January 1, 2010 -- an almost 50 percent increase compared with an equivalent figures of GHC1.9 billion at end-2008; (ii) because these estimates focus narrowly on the base pay wage bill, they should be regarded as a lower bound estimate of the overall increase in the wage bill; and (iii) because these estimates are derived from assumptions regarding (1) the distribution of public sector employees across public sector services and institutions; (2) the minimum public sector wage; and the (3) the relativity of all other public sector wages with respect to this minimum wage, they are subject to changes any time these assumptions also change. 2012-03-19T19:14:25Z 2012-03-19T19:14:25Z 2009-12-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20091207095044 http://hdl.handle.net/10986/4343 English Policy Research working paper ; no. WPS 5150 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper Africa Africa West Africa Sub-Saharan Africa Ghana |
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Digital Repository |
institution_category |
Foreign Institution |
institution |
Digital Repositories |
building |
World Bank Open Knowledge Repository |
collection |
World Bank |
language |
English |
topic |
ACCOUNTING AGE GROUP DEBT EMPLOYEE EMPLOYMENT EMPLOYMENT STATUS EXOGENOUS VARIABLE EXOGENOUS VARIABLES FINANCIAL MANAGEMENT FISCAL IMPLICATIONS FORMAL SECTOR EMPLOYMENT FORMAL SECTOR WAGES HOUSING HUMAN RESOURCE INFORMAL EMPLOYMENT INFORMAL SECTOR JOB CREATION JOBS LABOR FORCE LABOR MARKET LABOR MARKETS LABOR PRODUCTIVITY LOCAL GOVERNMENT MINIMUM WAGE MINIMUM WAGES MINISTRY OF FINANCE PAID WORKER PENSION OBLIGATIONS POVERTY REDUCTION PRIVATE SECTOR PRIVATE SECTOR WAGES PRODUCTIVITY IMPROVEMENTS PUBLIC PUBLIC ADMINISTRATION PUBLIC EXPENDITURE PUBLIC POLICY PUBLIC SECTOR PUBLIC SECTOR EMPLOYEE PUBLIC SECTOR EMPLOYEES PUBLIC SECTOR INSTITUTIONS PUBLIC SECTOR JOBS PUBLIC SECTOR MANAGEMENT PUBLIC SECTOR PAY PUBLIC SECTOR PERFORMANCE PUBLIC SECTOR STAFF PUBLIC SECTOR WAGE PUBLIC SECTOR WAGE BILL PUBLIC SECTOR WAGES PUBLIC SECTOR WORKERS PUBLIC SERVANTS PUBLIC SERVICE PUBLIC SERVICES REASONABLE ASSUMPTIONS RURAL WORKERS SELF EMPLOYED SELF EMPLOYMENT SERVICE DELIVERY TAX TAX REVENUES TOTAL WAGE UNION WAGE PREMIUM UTILITIES WAGE INCREASE WAGE NEGOTIATIONS WAGE PREMIUM WORKERS |
spellingShingle |
ACCOUNTING AGE GROUP DEBT EMPLOYEE EMPLOYMENT EMPLOYMENT STATUS EXOGENOUS VARIABLE EXOGENOUS VARIABLES FINANCIAL MANAGEMENT FISCAL IMPLICATIONS FORMAL SECTOR EMPLOYMENT FORMAL SECTOR WAGES HOUSING HUMAN RESOURCE INFORMAL EMPLOYMENT INFORMAL SECTOR JOB CREATION JOBS LABOR FORCE LABOR MARKET LABOR MARKETS LABOR PRODUCTIVITY LOCAL GOVERNMENT MINIMUM WAGE MINIMUM WAGES MINISTRY OF FINANCE PAID WORKER PENSION OBLIGATIONS POVERTY REDUCTION PRIVATE SECTOR PRIVATE SECTOR WAGES PRODUCTIVITY IMPROVEMENTS PUBLIC PUBLIC ADMINISTRATION PUBLIC EXPENDITURE PUBLIC POLICY PUBLIC SECTOR PUBLIC SECTOR EMPLOYEE PUBLIC SECTOR EMPLOYEES PUBLIC SECTOR INSTITUTIONS PUBLIC SECTOR JOBS PUBLIC SECTOR MANAGEMENT PUBLIC SECTOR PAY PUBLIC SECTOR PERFORMANCE PUBLIC SECTOR STAFF PUBLIC SECTOR WAGE PUBLIC SECTOR WAGE BILL PUBLIC SECTOR WAGES PUBLIC SECTOR WORKERS PUBLIC SERVANTS PUBLIC SERVICE PUBLIC SERVICES REASONABLE ASSUMPTIONS RURAL WORKERS SELF EMPLOYED SELF EMPLOYMENT SERVICE DELIVERY TAX TAX REVENUES TOTAL WAGE UNION WAGE PREMIUM UTILITIES WAGE INCREASE WAGE NEGOTIATIONS WAGE PREMIUM WORKERS Cavalcanti, Carlos Estimating the Fiscal Costs of Implementing Ghana’s Single Pay Spine Reform |
geographic_facet |
Africa Africa West Africa Sub-Saharan Africa Ghana |
relation |
Policy Research working paper ; no. WPS 5150 |
description |
Public sector pay policy is one of the
main decisions facing a government, as it determines the
ability to attract, retain, and motivate staff needed to
fulfill its service delivery objectives. One option usually
considered is relying on a single pay spine for all services
into which jobs would be slotted, thus ensuring greater
comparability of similar jobs across the public sector. This
paper examines the single spine pay reform currently being
considered in Ghana, highlighting the differences between
the Ghanaian proposal and similarly named proposals
elsewhere, and underscoring the potential cost of
implementing the proposal -- which is expected to be
significant. There are three main findings: (i) the
implementation of the single spine pay reform would raise
the base pay wage bill (salaries plus category one
allowances) in Ghana to GHC2.8 billion by January 1, 2010 --
an almost 50 percent increase compared with an equivalent
figures of GHC1.9 billion at end-2008; (ii) because these
estimates focus narrowly on the base pay wage bill, they
should be regarded as a lower bound estimate of the overall
increase in the wage bill; and (iii) because these estimates
are derived from assumptions regarding (1) the distribution
of public sector employees across public sector services and
institutions; (2) the minimum public sector wage; and the
(3) the relativity of all other public sector wages with
respect to this minimum wage, they are subject to changes
any time these assumptions also change. |
format |
Publications & Research :: Policy Research Working Paper |
author |
Cavalcanti, Carlos |
author_facet |
Cavalcanti, Carlos |
author_sort |
Cavalcanti, Carlos |
title |
Estimating the Fiscal Costs of Implementing Ghana’s Single Pay Spine Reform |
title_short |
Estimating the Fiscal Costs of Implementing Ghana’s Single Pay Spine Reform |
title_full |
Estimating the Fiscal Costs of Implementing Ghana’s Single Pay Spine Reform |
title_fullStr |
Estimating the Fiscal Costs of Implementing Ghana’s Single Pay Spine Reform |
title_full_unstemmed |
Estimating the Fiscal Costs of Implementing Ghana’s Single Pay Spine Reform |
title_sort |
estimating the fiscal costs of implementing ghana’s single pay spine reform |
publishDate |
2012 |
url |
http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20091207095044 http://hdl.handle.net/10986/4343 |
_version_ |
1764391010875473920 |