Protecting Employees' Rights During Insolvency in Ghana: A Critical Analysis
Year: 2025
Type: article
Abstract: The increasing number of corporate insolvencies in Ghana has significant implications for employees, who often face uncertainty and vulnerability in the event of their employer's insolvency. This research aims to analyse the current legal framework governing employee rights during insolvency proceedings in Ghana. The paper then identifies gaps and challenges in protecting employee rights with a view to proposing recommendations for reform and improvement. The study reveals that while Ghanaian law provides some protections for employees, such as priority payment of wages and benefits, there are significant gaps and challenges in the current framework. The paper argues that a more comprehensive and effective regime is needed to safeguard employees' rights during insolvency. In this regard, the paper calls for a mixed approach to employee protection during insolvency proceedings. The paper concludes that to enhance the protection of employees during insolvency, there should be bankruptcy priorities as well as a combination of employer mandates, private insurance and government backed guarantee funds.
Author: Kweku Ainuson
Institution: University of Ghana
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: hybrid
OpenAlex ID: W6893351760
FWCI:
Cites:
Cited by:
Related to: