The Social Security and National Insurance Trust (SSNIT) has recorded a steady increase in the number of private sector contributors signifying that the country’s private sector is on a path of economic recovery.
The latest Monetary Policy Report from the Bank of Ghana reveals that private SSNIT contributors rose by 4.8% in the first five months of 2024. The report explains that private SSNIT contributors increased to 5.06 million between January to May of this year from 4.8 million during the same period last year.
The figures for May 2024 alone show a 2.7% increase in private sector contributors, reaching a little over one million (1,007,341) compared to a little below one million (980,808) in May 2023.
This is an indicator of a steady rise in formal employment within the private sector signifying recovery, growth, expansion, and employment formalization.
“Total number of private sector SSNIT contributors, which partially gauges employment conditions, improved by 2.7 percent to 1,007,341 in May 2024, compared with 980,808 for the same period in 2023,” portions of the report revealed.
It further added that, “cumulatively, for the first five months of 2024, the total number of private sector contributors increased by 4.8 percent to 5,063,676, from 4,829,487 recorded over the corresponding period in 2023.”
This development in the private sector SSNIT contributions is further corroborated by the number of advertised jobs further revealed by the report. There was a marginal 2.4% increase in the number of advertised jobs recorded in the first half of this year.
The BoG report noted, “cumulatively, for the first half of 2024, the total number of advertised jobs went up by 2.4 percent to 17,278, from 16,866 recorded during the same period in 2023.”
The growth in private SSNIT contributors as well as a marginal increase in the number of advertised jobs analysts suggest is a clear sign that the private sector is on a trajectory of rebound. This follows external and internal disruptions like skyrocketing inflation, supply chain disruptions due to the COVID-19 pandemic and the Russia-Ukraine crisis.
This also signifies improved financial security for private sector employees, access to pensions, and social protection.
