The government plans to enforce staffing ceilings across budget-funded institutions in 2027 as part of efforts to contain rising public sector wage costs and maintain expenditure within approved budget limits.
Finance Minister Dr Cassiel Ato Forson announced the measure during his presentation of the 2027 Budget Statement and Economic Policy to Parliament on Thursday, November 12.
The move comes as compensation of employees continues to take up a growing share of government expenditure, rising from 29.3% in 2020 to 33.8% in 2025.
Dr Forson said government would require Ministries, Departments and Agencies (MDAs) to submit quarterly recruitment reports and ensure that wage negotiations remain aligned with the approved fiscal framework.
Government also plans to pursue more predictable medium-term wage-setting arrangements to improve control over public sector compensation commitments.
The measures form part of efforts to contain expenditure pressures and preserve resources for development spending.
The Finance Minister identified rising payroll and wage commitments among five principal fiscal risks that could undermine the country’s economic recovery and fiscal sustainability.
Other risks include commodity price volatility, revenue leakages, weak tax compliance and litigation and judgement liabilities.
Government says it intends to anticipate and contain these risks before they materialise.
