Managing Employment Challenges Amid USAID Funding Cuts

The government of the United States of America recently issued an Executive Order suspending all foreign assistance for 90 days, prompting USAID to halt its international program operations. This decision has disrupted USAID-funded projects, creating uncertainty for employers reliant on USAID funding. Employers must assess workforce adjustments while ensuring compliance with Ghanaian labour laws. Some strategic options for employers to consider include:

• Termination with Notice: Under Ghanaian law, an employer may terminate an employee's employment at any time by giving the agreed notice or paying the employee the equivalent salary in lieu of the notice. Upon termination, employees are entitled to all statutory and contractual benefits owed to them at the time of termination.