GuySuCo has no monies to pay redundant sugar workers

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The Guyana Agricultural and General Workers Union (GAWU) was dismayed and surprised to learn during an engagement with the Guyana Sugar Corporation Inc (GuySuCo) yesterday (December 20, 2017) that the sugar company has absolutely no monies to pay the some 4,000 sugar workers whose jobs have been deemed redundant at Skeldon, Rose Hall and East Demerara Estates. Those workers last working day will be on December 29, 2017 and the affected workers expected to receive their payments at that time to sustain themselves and their families during the difficult period brought about by the harsh and heartless plans for the sugar industry.

The Corporation’s admission is in complete contrast to what Government officials have been saying over the past days. We drew to the GuySuCo’s attention for instance that Minister of State, Joseph Harmon pointed out that a significant chunk of the State support flowing from the 2018 Budget was intended to offset the severance payments to the redundant workers. The Corporation, however, clarified this was not the case and the $6.3B allocation was intended solely and wholly to support the operations of the three (3) estates that would remain under GuySuCo’s control. We also queried about the $2.5B loan the Corporation recently obtained. GuySuCo advised that the sum was intended to sustain its operations until the 2018 first crop commences. We noted that Corporation’s explanation was vastly different from what we read in the press. The December 07, 2017, Guyana Chronicle reported GuySuCo Chairman, Professor Clive Thomas as saying that “the sugar company has been able to negotiate for an advance on a temporary loan from a local bank to the tune of $2.5billion and that would not only assist in paying the workers their severance, but aid in covering the company’s expenses for the remainder of the year”. Professor Thomas, in that article, went on to say “workers will receive their severance by December 31”.

In our engagement, the company advised our Union that sometime earlier in the year the Corporation advised the Government on the need for support to finance the payments and, at that time, a preliminary figure was submitted. And, then a few days ago, an updated figure to meet the payment was submitted to the Administration. The recently submitted figure, GuySuCo informed, was still not final as the Corporation’s audit department was examining the data. When pressed, the GuySuCo said the audit process would be completed sometime in January, 2018 and, thereafter the final sum required from the Government would be submitted. At that time, it follows, the Government would have to consider the request and, in all likelihood, approach the National Assembly for a supplementary allocation in order to meet the expenditure. That aspect will take a few weeks at least and seems that the earliest the workers would be paid could very well be towards the end of February, 2018.

The admission by GuySuCo only serves to make matters worse as the beleaguered workers are now being told that they have no job and will not receive their legally entitled severance payments when the Corporation kicks them out on to the road on December 29, this year. This for the GAWU is most upsetting and only serves to rub salt in the wound. Our Union, in view of the Corporation’s depressing information, has requested that GuySuCo retains the workers in suitable employment until it is in a position to honour the workers severance payments.

Together with the workers and well-wishers, the GAWU will continue to diligently represent the thousands of aggrieved workers and to fight on for the authorities to act in according to the legal requirements on the severance pay question.

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