IMPACT – MEDIUM

What is the change? Ghana’s Petroleum Commission is scheduled to impose new labor market testing rules for oil and gas sector companies that employ foreign workers.

What does the change mean? Beginning Sept. 1, oil and gas sector companies must fulfill advertising requirements in specified local news media.

  • Implementation timeframe: Sept. 1.
  • Visas/permits affected: Work permits.
  • Who is affected: Oil and gas sector companies and employees.
  • Impact on processing times: None.
  • Business impact: Companies will have to conduct the required labor market testing and provide evidence of their efforts to hire local workers with their applications for work permits.
  • Next steps: Employers should prepare now for the new requirements so they will have the necessary documentation for work permit applications.

Background: Current regulations require that companies in the oil and gas sectors test the local labor market by posting job ads; however, employers have not been bound by any specific rules on the number, content or duration of ads.

As of Sept. 1, these companies must advertise in at least two local print media and must include the Daily Graphic and the Ghanaian Times newspapers. Authorities have not specified a minimum duration for the advertisements.

BAL Analysis: The new rules represent a tightening of labor market testing consistent with a general trend toward increased scrutiny and enforcement of work permit rules in the petroleum sector.

This alert has been provided by the BAL Global Practice group and our network provider located in Ghana. For additional information, please contact your BAL attorney.

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