ICU Raises Concerns Over Rural, Community Banks’ Governance System

Morgan Ayawine, ICU-Ghana General Secretary

 

The Industrial and Commercial Workers’ Union (ICU), Ghana has raised concerns on the governance system practiced in rural and community banks at the Upper West Regional Conference in Wa, citing it as a clear contrast to the generally accepted corporate governance system in the country.

The association noted that it is against labour regulations for Board Chairmen of rural and community banks to paddle into the administrative functions of Chief Executive Officers or General Managers, to issue query letters to staff of the banks, or go to the extent of signing termination and dismissal letters of staff.

The union emphasised that the role of Board of Directors is entirely different from the role of Management, specifying that the Board of Directors formulate major policies to guide the operations of the organisation, whereas Management is entrusted with the day-to-day administration of the organisation in terms of employment, non-employment, staff training, discipline, collective bargaining etc. to ensure an orderly and systematic operations at the workplace.

The union stressed that interference of Board Chairmen in the administrative work of rural and community banks disorganises worker-management relationship at the banks and sometimes create industrial disharmony.

The union has urged Board Chairmen who interfere in the day-to-day administration of rural and community banks to desist from such acts, as it negatively impacts the efficiency, effectiveness and the corporate image of the rural and community banks.

ICU-Ghana has also urged the government to be purposeful and consistent about the Women’s Bank project, and also make it sustainable, in order to bring economic relief to Ghanaian women and the nation as a whole.

The union added that the establishment of a Women’s Bank should not be abandoned half way due to lack of funds, highlighting that the initiative will create a quick and easy financial access to women as well as resourcing them to undertake productive economic activities that would impact positively on the nation’s economic growth.

The union stressed that management relationship described as misunderstanding and unfair treatment, damages the working relationship between the workers and employers, leading to strikes and lockouts which affect productivity.

The union advised all workers and employers to be guided by the orders of the Collective Agreement and the Labour Law.

 

By Florence Asamoah Adom

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