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17th May 2025 9:27:13 AM
3 mins readBy: Andy Ogbarmey-Tettey
Management of the University of Ghana has reacted to the Auditor General's report and subsequent media house articles that cite GH¢59.2m overstated employee compensation by the tertiary institution.
In a statement, UG noted that subsequent artworks and summaries of the report by JoyNews "misleads the public and distorts the facts."
The institution noted that it is "disappointed in the failure of the reporter, Anthony Manu and Joy News to contact the University for its position, which has resulted in a publication that risks damaging the reputation of UG and creating public disaffection, based on an inaccurate narrative."
UG explained that the reported figure of GH¢59.24 million that was supposedly disallowed is a gross exaggeration resulting from a misinterpretation of the University’s payroll structure.
According to managment, the school operates a dual payroll structure comprising the Government of Ghana (GoG) payroll and the Internally Generated Funds (IGF) payroll.
"These are clearly separated in UG’s records and also well-delineated in the submissions to the Audit Service. IGF payroll reflects payments made from the University’s IGF to legitimately engaged staff, including faculty on post-retirement contracts, such as professors between the ages of sixty-five and seventy, for which Cabinet approval was granted."
Management therefore noted that these were not irregular or unaccounted expenditures (disallowance), but essential payments made transparently in accordance with public financial reporting standards.
"The IGF payroll is only included for audit purposes and not a request for payment from GoG and the Audit Service is fully aware of this, so they could not be ‘disallowed’," the statement added.
In compliance with Section 48 of the Public Financial Management Act, 2016 (Act 921), UGstated that it disclosed all IGF collections and their utilisation as required of all covered entities.
The institution claims that the Special Audit Report did not acknowledge the distinction between the two payroll sources, adding that "Instead, it presented the figures as a single, aggregated total, creating a misleading impression of payroll overstatement."
UG management further provided a breakdown indicating that between August 2021 and 2024, a total of 887 staff exited the University through retirement, resignation, death and other forms of separation.
During this same period, the only Government clearance the University received was to recruit only 102 new employees in 2024.
Per the school, student enrolment steadily increased over the years, from 61,640 in 2021 to 68,126 in 2022, rising further to 76,136 in 2023, before recording 73,155 students in 2024.
"This required proactive staff recruitment measures, on the part of Management, even in the absence of government financial clearance, in order to maintain quality."
The university says it has adopted innovative financial and human resource strategies to engage critical personnel, including those on post-retirement contract, funded through IGF. These appointments were made in full compliance with institutional and national financial regulations.
"The University fully complied with the Auditor-General’s audit processes by submitting both its GoG and IGF payrolls for review. However, the standard audit protocol, which requires that initial findings be communicated to the institution for clarification, was not followed. UG was not given the opportunity to provide context or submit relevant documentation before the final report was published."
"It is important to reiterate that the GH¢59.24 million is not a loss or misapplication of public funds. It represents the cost of strategic staffing interventions aimed at sustaining teaching, research and administrative work at the University in the face of the University’s inability to recruit on government payroll, without financial clearance. These payments were necessary, transparent and responsibly managed through IGF. It indicates the University’s ingenuity to support the government’s financial provision for qualified human resources required for the quality provision of higher education," management reiterated.
UG management, following clarification, has entreated all media outlets and reporters to conduct thorough research, verify facts and engage with the university officials before publishing stories, particularly on matters of public interest.
Meanwhile, the University of Ghana has assured its commitment to transparency, accountability and adherence to all relevant national financial regulations.
"UG will continue to collaborate with the Auditor-General’s Department, the Controller and Accountant-General’s Department and other oversight bodies to enhance audit processes and institutional governance."
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