SSNIT Hotels Bid: Rock City Withdraws •As TUC Threatens Strike

Bryan Acheampong

In a surprising turn of events, Rock City Hotel has announced the withdrawal of its bid for participation in the strategic investor search process for the Social Security and National Insurance Trust (SSNIT) hotels.

The decision comes amidst concerns raised by stakeholders on the perceived lack of engagement regarding the strategic partnership sought by the hotels.

Rock City Hotel, having emerged as the successful bidder in what was described as an internationally competitive bidding process, expressed their initial excitement at securing the opportunity ahead of 15 other organisations.

However, recent developments surrounding the decision to seek strategic partners for the hotels have prompted a re-evaluation of their involvement.

In a formal notice addressed to the relevant authorities, Rock City Hotel highlighted the ongoing media discussions and stakeholder engagements that have cast doubts and negativity on the bidding process.

The company pointed out the perceived lack of comprehensive stakeholder engagement leading to damaging perceptions that could impact their brand reputation and the success of the intended investment.

Expressing concern over the unfavourable narrative surrounding the bid process, Rock City Hotel officially communicated their decision to withdraw the bid and discontinue their pursuit of the investment opportunity.

The company also consented to the release of their bid documents for public scrutiny, to uphold transparency and accountability in the bidding process.

The decision by Rock City Hotel to withdraw their bid underscores the significance of transparent and inclusive stakeholder engagement in major business transactions.

…As TUC Threatens Strike
The Trades Union Congress (TUC) has declared an indefinite strike action against the proposed sales of 60% of SSNIT’s stake in four hotels to Rock City starting from Monday, July 15.

This was made known following an emergency meeting held by the leadership of labour unions at the TUC last Friday.

According to the labour unions, it has keenly followed recent developments regarding the sale of SSNIT’s interest in the four hotels, and its leadership has held a meeting with President Akufo-Addo on June 25, 2024, at the Jubilee House.

A statement signed by the Secretary General of TUC, Yaw Baah, recalled that on July 11, 2024, the Minister for Employment and Labour Relations, who is also responsible for pensions, made a statement in Parliament that the National Pensions Regulatory Authority (NPRA) has approved the sale of 60% of SSNIT’s shares in the hotels.

“We recall that on June 28, 2024, the Board of NPRA issued a directive to SSNIT to suspend the negotiation with Rock City Hotel Ltd. We, therefore, find it extremely difficult to understand how and why NPRA would turn around to approve such a flawed deal two weeks after the directive,” part of the statement read.

The statement reiterated organised labour’s “well-known position” that the proposed sale of SSNIT’s shares in the four hotels is not in the best interest of Ghanaian workers, and demanded that SSNIT terminates the process immediately.

“From Monday, July 15, 2024, all workers in Ghana must not go to work until SSNIT publicly announces the termination of the process for the sale of its shares in the hotels,” the statement added.

Following this announcement, the leadership of several workers’ unions under TUC have declared their support for the directive and have promised to abide by it and embark on the indefinite strike.

President of Ghana Registered Nurses and Midwives Association (GRNMA), Perpetual Ofori-Ampofo, has disclosed that all Out Patients Department (OPD) of health facilities will not operate from Monday, July 15.

In a posted sighted on social media, she said other departments will operate until they are directed to withdraw their services.

Next Demo

Meanwhile, Member of Parliament for North Tongu, Samuel Okudzeto Ablakwa, has warned the government that it can expect a nationwide demonstration if it proceeds with the sale of a 60% stake in the four hotels.

The MP, who led the “Hands Off Our Hotels Demonstration” against the sale, threatened a nationwide demonstration if the government went ahead with the transaction.

He promised to work with organised labour and warned of strikes to resist what he called an “obnoxious transaction.”

Mr. Ablakwa has also demanded that the NPRA publishes the outcome of their review if they are confident in its legitimacy.

He called for transparency and public scrutiny of the review, stating that the transaction should be proven to be above board.

By Vincent Kubi & Prince Fiifi Yorke