Question Tag: Employee Obligations

Search 500 + past questions and counting.
Professional Bodies Filter
Program Filters
Subject Filters
More
Tags Filter
More
Check Box – Levels
Series Filter
More
Topics Filter
More

ABA Venture was set up recently and John is an independent electrical contractor working for ABA Ventures for the past 3 months under a contract that requires him to ensure that all electrical facilities are well maintained. Abena is a fresh graduate who has also completed level one of the ICAG professional programme and has been given a one-year contract as a Cashier of ABA Ventures. Your firm is designing the conditions of service for ABA Ventures.

i) List the FOUR (4) rights of employees.
(4 marks)

ii) Indicate whether ABA Ventures will have obligations to pay Social Security on behalf of John and Abena who are both working at ABA.
(6 marks)

 

i) Rights of Employees:

  • Right to work under satisfactory, safe, and healthy conditions.
  • Right to receive equal pay for equal work without distinction of any kind.
  • Right to have rest, leisure, and reasonable limitation of working hours, and a period of holiday with pay as well as remuneration for public holidays.
  • Right to form or join a trade union.
  • Right to be trained and retrained for the development of skills.
  • Right to receive information relevant to the work of the worker.

(4 points for 4 marks)

ii) Obligation to Pay Social Security:

Abena’s Engagement:

  • ABA Ventures has an obligation to pay Abena’s social security because she is an employee by her working situation. Abena’s employment constitutes a contract of service, making her eligible for social security contributions. The employer controls her work, regular salaries are paid, income taxes are deducted at the source, and social security contributions are made on her behalf.

John’s Engagement:

  • John’s engagement is under a contract for services, meaning he is an independent contractor. In this situation, John is responsible for his own social security payments, as well as other tax obligations. He is not an employee, thus ABA Ventures is not obliged to pay social security on his behalf.

(3 marks for Abena’s engagement, 3 marks for John’s engagement = 6 marks)