FITUG Budget 2024 proposals aimed at enhancing working-class

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On October 6, 2023, the Federation of Independent Trade Unions of Guyana (FITUG) was invited to participate in discussions with the Government of Guyana on the development of the 2024 National Budget. FITUG’s team was led by its President, Carvil Duncan. It included Vice President Sherwood Clarke, General Secretary Dawchan Nagasar, Treasurer Seepaul Narine, and Executive Committee members Aslim Singh, Porandatt Narine, Taramattie Dyal, and Gordon Thomas. The meeting lasted almost two hours and covered a wide range of topics.

FITUG was grateful for the opportunity to share its perspectives and ideas with the Government’s team, which Prime Minister Mark Phillips headed. Other members of the team included Finance Minister Dr. Ashni Singh, Minister of Public Service Sonia Parag, and officials from the Ministries of Labour, Agriculture, and Finance. Discussions focused on labour rights, agriculture, and financial policies. FITUG expressed its support for the government’s initiatives aimed at improving the lives of workers and their families. The FITUG team also recommended policies that could further enhance the welfare of workers in Guyana.

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During its presentation, the Federation of Independent Trade Unions of Guyana (FITUG) urged the Government to consider the circumstances of the average working man and woman. In this regard, FITUG emphasised the importance of addressing the income tax regime to improve disposable income for workers. To achieve this, FITUG suggested changes to the income tax threshold and the rate of taxation. Additionally, the Federation proposed implementing a system of tax credits for taxpayers with dependents.

FITUG also highlighted that the adjustments in the income tax regime would not necessarily benefit all workers. Therefore, it reiterated its previous call for the national minimum wage and public sector minimum wage to be equated as a starting point towards reaching a living wage. The Federation shared that its proposals in this respect were in line with the recent statements made by President Irfaan Ali, who expressed the Government’s inclination to make adjustments to the income tax regime and the national minimum wage to benefit the working class.

The FITUG has also urged the government to consider specific improvements in old age pensions and public assistance through the Budget. While the Federation is aware of regular improvements, it notes there is still some way to go. The FITUG has also called for an adjustment in the pensions paid by the National Insurance Scheme (NIS), which has not been addressed for some time. This matter needs to be critically considered the FITUG charged. Additionally, the Federation has suggested that the Budget consider the introduction of pay increments within the public service to ensure that workers who perform credibly are appropriately recognised. Such measures could encourage greater work performance and enhance such workers’ pay levels. The Federation recommends that these measures be realised through discussions with the relevant bargaining agents across the public service.

The Federation of Independent Trade Unions of Guyana (FITUG) has highlighted the urgent need to strengthen labour legislation in the country. It acknowledged that the current situation is fast-evolving. Therefore, appropriate interventions are necessary to establish a robust legal framework that would protect workers’ rights and ensure that they are upheld at work. The Federation also noted that many laws have not been updated in years and appear disconnected from contemporary issues. FITUG has also recommended that the Labour Ministry be strengthened to provide appropriate protection for workers and, in this regard, urged the Government to provide necessary resources to the Ministry. Additionally, FITUG also called for the Government to look into the question of labour productivity, as it feels that workers are sometimes overworked, which could lead to disenchantment and hinder the adoption of appropriate technologies to improve productivity. Labour productivity is paramount, and as the country progresses economically, it becomes even more critical to ensure that people and the country prosper equally.

The FITUG also advanced that Budget 2024 provides support for the sugar industry. It recognised that there had been improvements, but there was still more work to be done. In this regard, it called on the Government to continue to assist in improving the capacity and capability of the sugar industry.

The Federation expressed concern about the country’s infrastructure and its potential for degradation due to misuse. Despite the government’s efforts to invest billions in building and improving community infrastructure, the Federation urged for appropriate measures to be advanced to ensure the longevity of these assets. FITUG also emphasised the importance of maintaining government assets in the service of the people of Guyana. Furthermore, the Federation called on the government to prioritise the safety of citizens on the roadways, as the situation has grown increasingly problematic with the rising number of vehicles and reckless driving behaviour. To this end, the Federation recommended the implementation of appropriate mechanisms, including the use of technology, to protect all road users. The FITUG also expressed concern over the lack of attention paid to occupational safety and health (OSH). It recognised the unfortunate deaths of many workers and called on the Government to provide resources to ensure appropriate oversight given the increase in construction in our country.

In response, the Government expressed appreciation for the proposals. The officials felt the suggestions were reasonable and appropriate and committed to thoroughly considering the proposals. It identified not all issues may be addressed comprehensively, but the Government was committed to improving the well-being and welfare of the working class. Overall, the meeting was productive, and both FITUG and the government team expressed a commitment to continue working together towards a better future for all Guyanese citizens. Overall, FITUG’s presentation underscored the need for the Government to prioritise the welfare of the working class and to take concrete steps to improve their economic conditions.

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