The National Union of Ghana Students (NUGS) has called on the government to scrap the Value Added Tax (TAX) system in order to prevent the current spate of labour unrest from engulfing the entire nation. A press statement issued by the union in Kumasi said the series of strikes and demonstrations embarked upon by various trade unions to demand increased salaries due to the introduction of VAT was undermining the political and economic stability of the country. It pointed out that the implementation of the new tax system had "created hardships for the already over-burdened Ghanaian citizenry, with their meagre salaries, dwindling as a result of general price hikes."

The statement also condemned the government's proposed school fees policy and warned that every available means at the union's disposal would be used to resist what it termed the "obnoxious policy" that had been programmed for implementation next academic year.

The NUGS appealed to Vice-Chancellors and principals of the tertiary institutions to ensure a refund of academic facilities fees "forcefully extracted from our freshmen last academic year and the beginning of this year, to prevent confrontation between students and school aurthorities."

The statement expressed the union's concern about the disruption of the semester's academic calender resulting in the premature closure of the Universites due to the impasse between the University Teachers Association of Ghana (UTAG) and the government over salaries and book allowances.

It pledged the NUGS unflinching support for the university teachers. It said "the National Union of Ghana Students will not hesitate to organise the students for a positive action in support of the lecturers should the government continue to dilly-dally with the future of the youth.