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Government Issues Further Policy Directive on Contract Mining to Safeguard Workers

The Ministry of Lands and Natural Resources has issued additional measures to guide the effective implementation of Ghana’s contract mining policy and safeguard workers’ rights, conditions of service and welfare during the transition from owner mining to contract mining.

In a press release dated 21 October 2026, the Ministry informed the general public and all mining companies and stakeholders that, in accordance with applicable regulatory requirements, indigenous Ghanaian companies shall undertake contract mining for surface mining operations. Contract mining for underground operations shall be undertaken through a partnership in which a Ghanaian-owned company holds not less than a 50 per cent interest.

This requirement was formally incorporated into the 6th Edition of the Local Procurement List with effect from 1 January 2025, pursuant to the Minerals and Mining (Local Content and Local Participation) Regulations, 2020 (LI 2431). Since its introduction, the majority of multinational mining companies operating in Ghana have successfully transitioned their operations into compliance.

The successful transition undertaken by the majority of multinational mining companies demonstrates that the local content requirement is practicable and enjoys broad industry support. The Government has, nonetheless, taken due cognisance of concerns raised by the Ghana Mineworkers’ Union, human resource experts and other stakeholders about the potential unintended effects of the transition on workers’ salaries, wages and conditions of service.

Accordingly, the Ministry and the Minerals Commission have been undertaking extensive consultations with the leadership of the Union, industry experts and other relevant stakeholders. These engagements have clarified the regulatory and policy basis of the contract mining directive and reaffirmed the Government’s firm position that no worker shall be rendered worse off as a consequence of its implementation. The Ghanaian contract mining worker shall enjoy salaries, wages, allowances, benefits and other incentives equivalent to those applicable to an owner mining worker performing comparable work before the transition to contract mining.

To give immediate and effective expression to these safeguards, the Government has directed the Minerals Commission to ensure that no worker engaged, or to be engaged, by a mining contractor or analogous service provider shall suffer any deterioration or diminution in wages, emoluments, entitlements, benefits or conditions of service as a result of the transition from owner mining to contract mining. The Commission is also to take the necessary steps to harmonise salaries, wages and conditions of service across the mining industry value chain, and eligible contractors shall be categorised according to their capacity to provide mining-related services.

These measures are supplementary to all existing regulatory requirements and shall not preclude the Minerals Commission from taking any further lawful action necessary to advance the objects of the Minerals and Mining (Local Content and Local Participation) Regulations, 2020 (LI 2431).

The Minerals Commission is required to conclude all processes necessary for the implementation of these measures and to submit the requisite documents for approval by 30 November 2026.

The Ministry further affirms that, under the Reset Agenda of the Government of President John Dramani Mahama, there shall be zero tolerance for unfair labour practices, cartelisation, bid rigging, fronting, or any other conduct that undermines local content objectives or operates to the detriment of the Ghanaian worker. The Government remains resolute in ensuring fairness, transparency, genuine Ghanaian participation and the protection of workers across the mining industry value chain.

The statement was signed by Zambaga Rufai Saminu, Director of Communications.

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