The Story Within The Story…We may have to import labour

Apr 21, 2019 The Story within the Story

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By Leonard Gildarie

I have tried to shy away from the raging debate over oil. It is not that the issue is not critical. It is a hugely complex one that Guyana is still learning about. In fact, some countries that have been in it for decades are still learning.
Kaieteur News carried a piece on Friday where it was disclosed that a number of African countries are still struggling to understand their benefits from oil and gas.
I know oil and gas will be a game changer. The landscape in Guyana has already started changing dramatically. Quietly, properties are being acquired or leased. Properties are being renovated as companies in oil-related activities are renting. They want office space and storage yards.
Along the East Bank especially is in high demand. The Marriott especially would be smiling because of the filled rooms and the events.
One of the major areas, we have been advised, that Guyana should invest in, or rather focus on, is education…on building our capacity. We must demand that our people shadow the oil companies and learn. We would not be the first country where the government has demanded its people learn.
Dubai and a number of other countries, in their internal investment policies, have made it clear. You want to come, be prepared to teach us.
The debate in Guyana is now centred on what exactly we are getting.
Being ever the curious person, I like to talk to people that are in the know. I am told and I am sure that Government is aware, that we must revise our contracts or at least in the new arrangements insist education and local employment play a major role. It should not merely be a clause that says you must employ 60 percent local or allow local companies to get business. It has to also involve very clear demands on how much our local companies are benefitting from the services that would be needed. It is a must.
In fact, our deal makers must understand that the negotiations all hinge on what is our take. It is a fact we don’t have the negotiating skills to deal with the oil giants like ExxonMobil. They are masters. They have had decades of experience.
We need to protect ourselves lest we are to be blamed for authoring a dark part of this country’s history by overseeing a bad deal. It is a given that any new companies that come here must adhere to that. The direct employment of oil and gas will not be that much. The spinoffs are where we should be looking.
Rentals, leases, the provisions of services – including transportation, food, legal and construction – are but a few areas we would want to target.
ExxonMobil just awarded a contract to the Nabis for the construction of its headquarters at Ogle. So we have to be vigilant and keep demanding more. There is nothing wrong with that. We are in the driver’s seat. On Thursday, Government announced that ExxonMobil has successfully drilled another well. It will take us over the five and a half billion barrels that are estimated to be in the Stabroek Block.
It is the 13th one that has found oil. High quality oil. Guyana is on a winning streak. We need to cash in our chips. The ball is in our court.
That is why Guyana should take note when one of the country’s biggest union bodies, the Guyana Trades Union Congress (GTUC) on Friday warned that local workers have no clear understanding or guideline how they are expected to foremost benefit from these resources that belong to them.
Outside of announcements as to profit sharing between government and the oil companies and sweeping statements the revenue would be directed towards improving social services, citizens/workers have nothing concrete to hold on to, GTUC said.
The union body said that it has made proposals to President David Granger and the Leader of the Opposition, Bharrat Jagdeo.
To date, neither Government nor Opposition has made any move to activate this crucial and important aspect of the development that would assure local labour and businesses they stand to gain and be protected.
More worrisome for me is what GTUC alleged…that already, there are allegations of discriminatory practices in preference of one group over the other by local contractors involved in the sector. This, if true, is highly worrying. We are starting off on the wrong foot.
ExxonMobil and other companies who are here to exploit our resources are our partners. We need to have a hand in the decision-making process. It is simple. The oil belongs to us.
There is another worrying factor emerging now. I am being told that the rice-growing areas, especially in Berbice, are not finding workers. One would have thought that with the closures of two estates – Skeldon and Rose Hall – thousands of workers are available.
Not so. Apparently workers have been migrating to other sectors and even out of the country.
In fact, I am told, a significant number of sugar workers and their families have US visas and have been utilizing them.
Well, we have been receiving a growing number of complaints about the difficulties in finding workers. Not least so is Kaieteur News.
We have been complaining about unemployment, but what is the scientific basis of this?
We simply do not have the requisite workforce. The fact is even if there is, there is a major problem involving our people and their attitude towards working in an environment that has become not only highly competitive, but on a different plateau.
We have to be prepared to be employed in offices where performance-based work will become the order of the day. Are we ready? If not, we may have to start importing workers.

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