Oil companies to report use of Guyanese goods and services by value not volume

Dec 25, 2021 News

Local Content Bill 2021 Series Pt. 6…

– Must provide annual breakdown of salaries and positions given to citizens

By Kiana Wilburg

Kaieteur News – Oil companies and their subcontractors will soon have to provide a series of plans to the Government’s Local Content Secretariat which detail how they intend to increase employment, procurement and capacity development over a period of five years. A statement on the estimate of the value of local content rendered to Guyana on an annual basis would also be required.
With respect to the Employment Sub-Plan to be submitted, the government will instruct that it has the following:
(a) A forecast of the hiring needs or training needs of a Contractor, Sub-Contractor or Licensee which includes:
• A specification of the skills and competencies needed;
• The anticipated shortages of skill sets in the Guyanese workforce;
• The specific training and competency requirements;
• The anticipated expenditure that will be incurred by the Contractor, Sub-Contractor or Licensee in implementing the forecasted Employment Sub-Plan;
• A timeframe within which the Contractor, Sub-Contractor or Licensee will provide employment to Guyanese nationals for each phase of their petroleum operations; and
(b) Programmes for –
• Accelerated industrial and technical education and training for Guyanese nationals and Guyanese companies consistent with the performance standards of the Contractor, Sub-Contractor or Licensee;
• Ensuring that first consideration shall be accorded to Guyanese nationals having the relevant qualification and experience: Provided that where a Guyanese national has the relevant qualification but does not possess the requisite experience, that Guyanese national shall benefit from necessary training, and work, alongside a non-Guyanese national who will serve as a coach or mentor for a period determined by the Minister, after consultation with the Secretariat;
• Ensuring that equal treatment and opportunity be afforded to all Guyanese nationals irrespective of race, political opinions, colour, creed, age, disability, marital status, sex, gender, language, birth, social class, pregnancy, religion, conscience, belief or culture or geographical location in Guyana; and
• Enhancing the skills of Guyanese nationals that will allow Contractors, Sub-Contractors or Licensees to meet the minimum local content levels set out in the First Schedule.
Oil companies and subcontractors will also be mandated to provide a half yearly report on:
• Employment and training activities for the reporting period, including the percentages of managerial, technical and non-technical staff;
• A comparative analysis of the Employment Sub-Plan and the employment and training activities to monitor compliance; and
• The number of Guyanese Nationals employed during the reporting period, their job descriptions and salary scales.