Minerals Commission is drafting wage, tender floors for mining contractors, official says

The Minerals Commission in Ghana is crafting minimum wage and tender standards for mining contractors in an effort to prevent aggressive underbidding, according to a senior official. Ghana, the world's leading gold producer, mandated miners in January 2025 to outsource surface activities to Ghanaian-owned firms and shift underground work to joint ventures with at least 50% local ownership by the end of the year, or face penalties.

This move aligns with a broader trend among resource-rich African nations seeking to maintain more local value from their mineral resources. However, Ghanaian mine workers have protested the directive, contending that contractors provide lower wages and less secure employment. Ben Birch-Mensah, director of local content at the Minerals Commission, stated that officials are aiming to prevent a decline in workers' pay and conditions, announcing that they are developing a baseline to safeguard against such scenarios.

Officials are also formulating minimum tender thresholds to deter contractors from submitting bids that fall below sustainable levels. In some instances, excessive underbidding has left contractors unable to cover operating expenses, prompting the formation of a committee to finalize policy specifics. Several mining firms, including Newmont, Zijin, and Ghana Manganese Company, have yet to comply with the December 2026 deadline for local contractors.

The Ghana Chamber of Mines has criticized the mandatory policy, arguing that contract mining should be voluntary. The chamber supports efforts to tackle underbidding but warns that unsustainable competition among contractors could compromise worker welfare, safety, and training.