Ghanaians are living in very hard times. Economic hardships caused by low incomes, general unemployment, depreciating currency, high birth rate, rural-urban migration and many more have had a negative toll on families, thereby limiting the ability of such families to take good care of the elderly.
Before independence and well into the 1970s, Ghanaians were proud to belong to an extended family system which supported its members from infancy to old age. In current times, the plight of elderly women and men, especially in deprived rural areas, can be described as “deplorable”.
The ageing population
When Ghana attained independence in 1957, its population aged 60 years and above was estimated at 6,726. This figure was about 0.1 per cent of the population at the time. By the year 2010, the same population aged 60 years and above had reached nearly 1.5 million, representing six per cent of the total population.
This age group is expected to grow to nearly 2.5 million by the year 2025. The vast majority of these retired women and men worked in the informal sector as traders, farmers, fishermen, labourers, tailors, seamstresses, musical artistes and artisans and earned meagre incomes. As they grew weaker and weaker through old age and other factors, these elderly women and men were taken care of by their working children, grandchildren, nephews, nieces or other not-so-close relatives as the case may be.
The formal sector
In the formal sector, we have women and men who have worked as civil servants, nurses, bankers, lawyers, teachers, artisans, priests, scientists, lecturers and many others. Prior to the 1960s, only senior officers in the Civil Service were provided with income security upon retirement. However, since July 1965, income security for the aged has been assured for all categories of workers. From 1965 to 1990, Ghana practised the Provident Fund Scheme which was converted into a Pension Scheme in 1991. Under the Provident Fund scheme, a one-off payment was given to each member.
The Pension Scheme (SSNIT)
In Ghana, all workers who contribute to the Social Security and National Investment Trust (SSNIT) Pension Scheme receive monthly payments once they have retired and satisfied the minimum requirements. Statistics indicate that currently, SSNIT, which manages pensions for Ghanaian workers, has a total of 168,455 pensioners on its pension payroll and about 13,000 pensioners are added to the payroll annually. This number is about a tenth of the total population aged over 60. How are the other 90 per cent catered for?
Source: Are we doing enough for the elderly? – Graphic Online
