Illegal to delay severance payment to sugar workers - GAWU

Illegal to delay severance payment to sugar workers – GAWU

Jan 12, 2018 News

The Guyana Agricultural and General Workers Union (GAWU) is not happy that some 4,000 sugar workers made redundant last year have to wait almost three weeks more to receive half of their severance pay. In fact, the announcement of President David Granger on Wednesday that the other half of the payment will not come until the latter half of the year could be illegal.
Yesterday, GAWU noted that ‘while the grass is growing the horse is starving’.
The union made it clear that workers’ redundancy payments are a legal requirement.
“Certainly it is due in full payment at the end of the month’s notice period – December 29, 2017.”
On Wednesday, President Granger, in a statement read by Prime Minister Moses Nagamootoo to the National Assembly, underscored the administration’s commitment in ensuring sugar remains in the Guyana configuration.
The decision to close four estates in the last 12 months has to do with safeguarding the long-term viability of the industry and halting the bleeding of the treasury.
Since coming to office in May 2015, the administration says it has plugged almost $32B into the Guyana Sugar Corporation, but can no longer afford to do so.
GAWU, responding to Granger yesterday, said that he has confirmed the worst fears of many workers – that their full redundancy payments would not be honoured in a timely manner.
“For many of the thousands of families affected, the receipt of those payments is critical to their sustenance at this sorrowful time.”
GAWU also pointed out that the President’s statement would be in contrast to that of his Minister of Agriculture, Noel Holder, who had committed to a month-end payout of the severance.
“This only adds to the confusion of what is clearly an upsetting and depressing situation. This type of confusion or game-playing seems to be characteristic of this Coalition Government and, certainly, does not do the distressed workers any good.”
The union said that for the sugar workers who last received earnings on December 29, 2017, the repainting of “perfectly good buildings or building impressive fences as well as other extravagances” do not seem to illustrate there is a lack of finances.
With regards to the Government’s claim it has invested heavily in the industry in recent times, the union stressed that it is a fact that two-thirds of that expenditure took place during his (Granger’s) term of office.
“That fact of notoriety, we believe, should have leapt out at him and cause him to question why sugar production has slumped 40 per cent during the period of the Coalition Government, especially at a time when employment costs have fallen by 15 per cent in the same period.”

Protest action at the Rose Hall area, East Berbice, earlier this week.

President David Granger

GAWU noted that from the message, it can be concluded that just 100 or 2.5 per cent of the displaced workers would benefit from training programmes that are organized.
“In terms of the sum of $100M being made available to workers for the pursuit of other economic endeavors, this is equivalent to a measly $25,000 per displaced worker. Such sum, we contend, is hardly sufficient to engage in any serious economic activity. That sum is even inadequate to get off the ground the heavily touted plantain chip and cook-up rice endeavours.”
The union called on Government to explain more about the work of the sugar industry’s Special Purpose Unit (SPU) which has been tasked with finding investors.
“We noted too the President’s commitment to engage the workers’ organisations. Our union looks forward to meeting with him and his administration on the question of the industry’s future and the plans for workers. Just a few days ago, we sent to Minister of State, Joseph Harmon, a request for such an interaction and we have every reason to believe, in light of the President’s statement, such an engagement would be soon forthcoming.”
GAWU urged the administration to visit affected sugar community areas to engage the workers and others.

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