Stedson Wiltshire (Red Plastic Bag) gave a vivid description of what is seen on Kadooment Day in a calypso song entitled Something Happening. The joyful song presents a stark contrast to the sobering reality unfolding in Barbados. With a backdrop of Covid-19, the cause of labour unrest is deeply disturbing as it is related to changes in the Severance Pay Act and the refusal of some hotels to pay their potion of the workers’ severance pay. As the reality of this crisis sets in, anguish, lack of information, confusion and frustration confront a large section of the population and now a once docile people seem to be erupting. Protests have become a fixture on the landscape with 40% unemployed predominately in the tourism sector; no one knows how this will end but something is definitely happening.

There is no comparison in recent history to what is now unfolding. Complexity and growth of the economy makes it distinct from the 1930’s but it is noteworthy that there was no labour union to prevent the downward spiral that culminated in the 1937 riots in Barbados. Trade unionism came into existence after the riots to protect the rights of labour in 1941. What is mindboggling is that it was out of the struggle of the black working class that both the Barbados Workers Union (BWU) and the Barbados Labour Party (BLP) were conceived and born. Now the relationship is akin to 2 children abandoning their mother. This should never have become a matter of political expediency as the BWU depends on the black working class for financial support and the Barbados Labour party depends on the black working class (the largest voting group) for votes. The action of both has shown that they have joined forces and abandoned this class.

In contrast with the song, one can see questionable union actions. One can query the BWU’s agreement to the BEST Program as it offers less than favourable relief to the workers than to the hotels. The program provides financial assistance to hotels and a wage subsidy to workers but no severance. It was stated that only $30 Million of the $300 Million dollars has been taken by the hotels. Part of the remaining $ 270 Million dollars can be used as severance for the workers. Essentially the BEST program is fundamentally flawed as it does not contain a severance payment option.

One can also query why the recently held press conference only resulted in a solution for the workers of Club Barbados and did not take into consideration the thousands of other unemployed workers. What was required is an across the board solution for the hotel industry and any other affected industries. There were so many twists and turns regarding the story of the workers of Club Barbados that it is difficult to decipher but yet it does not justify treatment as a special case as it leaves out others whose plight is the same.

Both the Prime Minister and Ms. Moore chastised the Media but one cannot imagine how the secret of 40% unemployed in Barbados could be kept, not discussed or their protests not covered if they take to the streets. A fair Press is not the enemy of the people. Highlighting these stories humanized the suffering of the workers. They became real people with real problems and in need of real solutions. We all felt their pain. Change is never a factor that comes into play with silence or secrecy; with them ignorance pervades. What the media can do in addition to highlighting the protest is to utilize the top corner of the new paper to daily post unemployment numbers, NIS payouts as a show of solidarity with the workers and carry stories of how this crisis has affected individual persons and neighbourhoods.

One can see government as having created an environment for the lack of trust. The role of government in any democratic society is to provide an enabling environment for all to flourish. This is exhibited in the provision of social services and laws. When the Severance Payment Act was amended in August 2020, the reason for its changes and the why now could not be justified as it was the midst of the current pandemic. The changes now extend the layoff period from 13 to 22 weeks before they can file for severance and that employees must give 4 weeks notice to the employer prior to the end of the 22 weeks period. It also states that the employer can contest severance. It is a punitive amendment to the law and has led to much confusion and ultimately the amended act is disadvantageous as the underlying principle is to disqualify workers from obtaining severance payments. The level of confidence in the government with regards to the treatment to workers is now at an all-time low.

One can also see that this is not only an economic issue. It is also a matter of social justice. Less than favourable treatment has been meted out to one specific class of the population; the black working class. The same people who for almost 400 years have been feeling the brunt of what occurs in the Barbadian society. This class has the highest rate of unemployment, highest incidence of crime, the highest rate of minimum wages, have a high cost of living, poor housing, reduced access to potable water, are in need of proper roads and combined they pay the highest taxes. The only positive thing that they as a group possess is votes at election time. It is these same people who are in need and are being denied the money that should be theirs. One of the women, a former Club Barbados worker lamented that she feels like George Floyd with the weight of someone’s foot on her neck and that she could not breathe. Do their lives and livelihood matter?

One hopes that now we are in the post Nelson era, that governance comes with an aspect of social justice; that no decisions are made on the behalf of the people without consideration of how the disadvantaged black working class will be affected and that there will be a living wage, programs put in place not for pit toilets but for creating wealth to remove vicious the cycle of poverty. If the opportunity to create wealth can be provided to the already privileged it should also be provided to the black working class. The government saw it fit to compulsorily acquire property on Bay Street to give to a developer. It must also do the same for the black working class through co-operatives for agriculture, business development and housing. It is hoped that laws which still seem to be derived from the slave codes will be removed from the laws of Barbados. This is in reference to laws being written from the punitive point of view of ‘let us deny them that colonial mentality’; as though some things are still just too good for the black working class of Barbados.

The irony of these developments is that both the BWU and BLP have bitten the hand that feeds them.

345 responses to “Another Heather Cole Column – Something Happening”


  1. We have allowed the Caribbean to become subsumed by cultural penetration. We study overseas, we watch the TV, navigate the WWW, disproportionate focus on tourism etc. Can we haul it in?


  2. @ Mariposa

    You are right. The single most important lesson that came out of the 2008 global banking crisis is that if a firm is too big to fail, then it should not exist. Part of business planing should be its death, a smooth transition to the other world, without burdening the taxpayer. We need a new Companies Act.


  3. Mia can hate the unrest all she wants. I love it!

    The questions I have are – who reaps the sweets in the times of plenty? Are those people still eating? If they don’t plan to leave, doesn’t that mean that it was a profitable enterprise? Would they stay here if it wasn’t?

    It would be fine for the NIS to step in and pay the workers if they are having cash flow problems. The reason there is so much hollabaloo is because, based on prior bad behaviour NOBODY, trusts them to pay back the scheme even with a lenient payment plan, when profitability returns. And NOBODY expects the Government to press them.

    P.S. The problem is not only that they are not paying. The problem is also the callous and disrespectful way they are communicating or in some cases NOT communicating with the workers.


  4. Too big to fail my big foot
    These are rogue companies set out to take advantage of the system
    Let them fail


  5. Miss Ram’s company was not large. It does not qualify as too big to fail. All across the globe governments have rolled out measures to assist businesses and households to weather a man made crisis that brought economic activity to a halt. We have to add context to the discussion and stop with the generalizations.


  6. @ Mr. Skinner

    A few years ago Sandy Lane Hotel hired an expatriate human resources manager. One of the stipulations of the work permit is that a local person should be trained for the job. A Barbadian was given the job after training and the non-national left, but was paid much, much less than her predecessor.

    I also remember sometime ago when Sandy Lane advertised for an engineer, who must be fluent in Spanish. As usual, they received no suitable applications and gave notice of their intention to apply for a work permit to bring in a non-national. A Puerto Rican guy was already on the job months before the vacancy advertisement.

    I believe tourists want to enjoy whatever the destination has to offer. They prefer the local experience, which seems to be something we’re ashamed to promote.

    Fairmont Mayakoba in Mexico offers a variety of Mexican food. Another Fairmont property, the Hamilton Princess & Beach Club in Bermuda, also offers local food. Fairmont Royal Pavillion offers international cuisine for breakfast, lunch and dinner, with ONE night a week or month dedicated to Barbadian foods.

    I asked a friend who was an executive chef for a popular hotel group in Barbados, why hotels don’t push local foods more, rather than offer foods tourists are accustomed to eating in their respective countries. He told me to blame the BTA for how it promotes Barbados.

    ‘Cou cou and flying fish’ is advertised as our national dish. Yet, hotels workers have asked me, ‘you really think tourists gine come here and want to eat cou cou wid flying fish or salt fish?’ Obviously, they don’t recommend it. Or, it would be degrading to offer fish cakes and bakes on the breakfast menu.
    ‘Bermudian breakfast,’ which includes salt fish, hard boiled eggs, bananas, sweet potatoes, is Bermuda’s breakfast treat.

    We have an annual rum and food festival, yet, the hotel industry seems not to be interested in promoting local foods on menus. Then, we wonder why establishments such as ‘Mother Cat’ in Holder’s Hill, ‘Eight Ball’ in St. Stephen’s Hill, Oistins, Baxters Road and several other restaurants offering local cuisine are popular with tourists and successful as a result.

    Mr. Skinner, I know you’re a Sandals fan. ‘Government’ gave Butch Stewart 40 years tax free concessions. The house rum at his resorts is Jamaican Appleton Estate Rum and guests are encouraged to enjoy Jamaican Blue Mountain coffee.

    Has anyone noticed how the American cultural events, such as Halloween, thanksgiving and black Friday sales have been slowly ‘creeping’ into our culture? I won’t be surprised if July 4th becomes a national holiday.


  7. David “duffus” my point being that taking Ram as an example which would have placed employees on the bread line no talking head like yourself talk about failure across those lines
    Ram might have been a small business but for many years totally her business was a combination of putting people to work and generating financial support for the economy
    The seizure of her business did take away both of those components which were vital in an economy
    Meanwhile dirt and gravel has taken up the spot where Ram business was located
    Now we have the usual suspects of blp talking heads speaking on behalf of govt to support rogue companies who have already put in plan to rob the govt and the workers
    No one in their right mind would dare support gangster actions against govt and workers unless they too are capabale of such immoral actions
    Say what u like David big or small when an action is taken by govt or business to disadvantage a worker it is called a wrong
    A wrong which requires legal action not soft sounding cliches to massage the intelligence of a nation


  8. Steuspe


  9. Who is influencing Mia? Mia’s response to the disgruntled workers is proof that those who back her are pushing for an economy where the rights of the worker are totally removed.

    An example of this is the Republic of Dominica where black workers are working as virtual slaves on banana plantations. The country’s elite and a large number of American companies control the banana industry.

    Minority businesses in Barbados have been a force of evil for a number of decades.

    As Mia runs from post to pillar to seek out money the floodgates are open to foreign businesses to ride rough shod over their workers. Our government would be prepared to turn to a blind eye to any disgressions on the part of the business community. She would like to make Barbados a business friendly place for the business community.

    Mia is a hologram Prime Minister. The time is overdue for the people of Barbados to manage and look after their own collective interests as a group.

  10. William Skinner Avatar

    @ Artax
    “Mr. Skinner, I know you’re a Sandals fan. ‘Government’ gave Butch Stewart 40 years tax free concessions. The house rum at his resorts is Jamaican Appleton Estate Rum and guests are encouraged to enjoy Jamaican Blue Mountain coffee.“(Quote)

    I am a “fan”of the working class not Sandals. My whole argument about Sandals was not the concessions. My position remains: The cry babies in our tourism industry have had 60 years to develop a product such as Sandals. Nothing was created. They spent their time racing vendors off the beach and being racists against both locals and Black American tourists. I have said this years before BU ever appeared anywhere.
    I said then that Sandals was employing workers who would have a pay check on Fridays and construction workers will have a pay check. I am not one hundred percent happy with some of its employees practices. However, I challenge anyone to tell me that it has not been a relatively good corporate citizen to the community and if Barbados has not benefitted from the advertising Sandals does.
    Furthermore large and successful enterprises in all economic sectors and in all countries seek concessions. For example if they want to set up a car factory, they are given hundreds of acres of land. It’s not Sandals fault that the concessions were indeed over generous.
    However, you should note that failure of the current administration, to get the Sandals project in the North going because it chose to renege on the agreement of the previous administration, has stunted employment opportunities in that area. Now that COVID has hit, nobody has benefitted. So, in both cases we have had poor government negotiations. One perhaps too generous ,the other extremely high handed. In one case hundreds of Barbadians went to work and still working. In the other nothing completed in two years.
    Finally, You are correct about how we are basically ignorant when it comes to promoting our local culinary arts and products. Here is a personal example:
    I had interest in a small tour company. One day we took out some tourists. A couple asked about cou cou. I explained how it’s made etc. They told me they would like to try it but they were told by a white Bajan tour rep that it can choke them and the locals usually feed it to dogs!
    I took those tourists to a local home and they were served cou cou and some fish, they had mauby and banks beer all free. They went back to the hotel and told a few others. I then took about five or six over to the same home and they enjoyed the same meal and paid, back then , about $20USD each.
    I can give example after example of how we have ruined and priced ourselves out of the industry. I can tell you how big tour companies literally drove around the island like race car drivers in order to do three trips a day. I can tell you how they served tourists inferior food and only showed a couple of sites. BTW ,I also was night manager at a small establishment on St.Lawrence Gap back in de day as the youngsters would say and I sold cruises for the Jolly Roger. Tried to make a dollar.Yuh done know how it is .
    I know of what I speak.
    However, I concur with all you have written.
    Peace.

  11. NorthernObserver Avatar
    NorthernObserver

    @ac
    “Furthermore accountability is a crucial part of achieving good governance”
    Every now and then you give us a gem. And in the public sphere, this is the crux.


  12. Her gems apply to the BLP only.


  13. @ William

    Like most things, we have talked about this matter before. You may remember I said that Brits will prefer the Bajan experience ie Oistin’s, while the Yanks like to take the US with them ie McDonald’s.
    The problem is that our tourism officials and politicians want to be what they think is world class, they have a view of what it means to be a global citizen, but none of what it means to be a traveller. It is cultural.
    I recently mentioned sometime ago a group of English friends, staying at Almond in Holetown, walked out of what the hotel thought was a posh Friday night meal to go to Oistin’s,
    It was funny, because one of the women in the team was the restaurant manager (it was her who took the pictures with the armed BDF soldier patrolling the beach) at a genuinely posh place in London and was giving us a running commentary on the service and quality of food and wine.
    The food was awful and so was the service. Anyone familiar with the service in a middle market London restaurant would have been embarrassed.
    Tony Grazette was the entertainment and I was more interested in him as a young up and coming singer in my day.
    Oistin’s was so good that one of the young girls in the party pulled a local guy. The only trouble with Oistin’s is that local bureaucrats will try to convert it to their idea of a tourist destination.
    The other problem, of course with what the chairman calls our tourism brand, is that they do not talk to the Barbadians who live, work and talk to these tourists everyday.
    They prefer to come up to the University of Surrey and do some tourism management course and then see themselves as experts. By the way, we have a professor of tourism economics at UWI. Has he got anything to say?


  14. DavidDecember 6, 2020 8:45 AM

    Her gems apply to the BLP only

    Steupse

  15. William Skinner Avatar

    @ TLSN
    “ Who is influencing Mia? Mia’s response to the disgruntled workers is proof that those who back her are pushing for an economy where the rights of the worker are totally removed.”(Quote)
    Suddenly we are promoting Mottley as a victim. Mottley is the longest or second longest serving parliamentarian; she is an accomplished politician way above all her peers in parliament; she has been Deputy Prime Minister, Leader of the Opposition; Minister of Culture; Minster of Education, Minister of Economic Affairs etc. Mottley is perhaps one of the most experienced politicians that ever became Prime Minister. She is not being controlled by anybody. She is doing exactly as she wants. This pretending that she is some political lamb being pulled to and fro is insulting to my intelligence.
    Within a month after using her might, to skillfully manipulate, the leader of the biggest and most powerful workers union in the country, into her party and parliament, Mottley chose to assault the workers in the country and had the audacity to tell them behave themselves in a way that would not offend “ outsiders”.
    It was one of the most vicious and insensitive attacks on the unions and workers . To think that it was done as an Independence speech makes it even more alarming and distasteful.
    She is no victim; she is ruthlessly flexing her muscles and she knows full well that she will be PM for at least another eight years and possibly twenty.
    Peace


  16. Accountability = Michael Carrington

    Go and scratch for grain.


  17. David instead of scartching at my scratch grain comments
    Go read William Skinner response to TLSN
    That gives a well defined and versed summation of accountability and its application to good goverance and good leadership which Mia in her independence nonsensical moments of intelluctual snobery fails to understand or put forward in her now infamous speech herald with loud out burst to attack workers and freedom of speech
    But then again the application of commonsense aint common might also rightfully apply to you


  18. I was willing to let a lot slide, but the protests had nothing to do with Mia and her sellout labor law amendment and everything to do with the workers being robbed by thiefing, exploitative white hoteliers and others as usual, and the HUNGER THEY AND THEIR FAMILIES ARE EXPERIENCING, including the inability to meet debt obligations…..without even caring that the later could cause them jail sentences….so even i was surprised that she came out swinging at the media to shut them up… and telling the workers to shut up about their hunger and hardships, which showed a vicious side of her that i only heard about previously, but really didn’t believe existed although i was warned REPEATEDLY, was still willing to give her the benefit of the doubt until she SHOWED EVERYONE THAT she lacks a moral and social conscience at it pertains to the majority black population and would do anything to promote and support disenfranchisement, robbery of black people, racism, and and their generational exploitation.

    but when it was time for her to write off 1 BILLION DOLLARS IN VAT these evil criminals for employers/business people STOLE FROM THE BLACK POPULATION…..she had no problem with that whatsoever….and that will remain her down fall.


  19. Miss ram businesses are in the forefront of workers exploitation in Barbados

    Every loop hole laws she takes advantage of to exploit the workers and enrich herself

    When it come to workers exploitation in bim
    RAM wrote the book that the other businesses/ hotels are now following.

    Ask gabby


  20. @ Mr. Skinner

    Although I agree with the points you raised about Sandals, please ignore them for the moment and try to understand the point I’m trying to make.

    Sandals was granted 40 years tax free concessions. Appleton Estate Jamaican Rum and Jamaica Blue Mountain coffee, which are imported tax free, are the resort’s house rum and breakfast beverage respectively, ahead of Barbadian products.

    Should not happen. That’s just my opinion.

    I wonder if ‘government’ has ever examined Sandals’ audited financial statements, purchasing history or their employment practices. I remember Sandals Resort in Antigua was not remitting national insurance contributions and when the NIS wanted to conduct an audit, Butch Stewart closed the resort on the premise he was refurbishing the property. The Antiguan government wrote off the debt, but enacted legislation to prevent any hotel from similarly holding government to ransom.


  21. OSA fought tooth and nail to stop Mia from becoming PM
    He gave many hints even calling her a despot

    Unfortunately he fell for her deceit under the hoisted flag of patriotism
    Today OSA in no longer around to see his truths about Mia come to fruition
    Her tactical attempt to clobber workers over their heads is only the beginning of her monsterous inner beginnings


  22. lest we forget
    we were warned


  23. @ William

    Don’t be surprised if Sandals ends up still with the old Heywoods. We will be told that a ” compromise” has been reached which allowed it to happen.

    We hungry and vulnerable now so it is the perfect time for liquid foreign investors to pounce on us for an easy meal. After all we have no apparent plan to diversify the economy so as far as our leaders are concerned tourism is the only way forward. .

  24. NorthernObserver Avatar

    @Artax
    Your second point on strict monitoring to compliance with the rules/laws is sound.
    The first….not so much. Do you think I can demand that Home Depot carry the paint from a local manufacturer vs Behr? Dealing with these large organizations can be a nightmare, they beat up your prices, take long to pay etc etc. And what are we going to replace the coffee with, Mt.Hillaby roast? Appleton is widely distributed, and therefore known to the vast majority of Sandals rum drinking guests. Appreciate the two with more widespread brand appeal, will be Bacardi and Capt Morgan.


  25. Yes agree Mrs
    Ram business exploited business but her business was seized to favour an International corporation whose benefits for the country is yet to be of evidence
    Furthermore govt application of power towards Ram was not one that would have secured long term benefits for blacks
    Standing on that property would be a huge financial institution whose financial interest would be embedded in what corporations like best a profit manager
    More slave labour and top level positions given to overseas corporate employees who knows the ins and outs of Hyatt business profile
    Meanwhile govt have given free land to Hyatt as concessionary favours taken right out of taxpayers coffers


  26. Northern Observer

    I have called for a new Companies Act, which would meet all your concerns. In the UK companies have a set time, unless otherwise agreed, in which to pay suppliers – usually about 30 days.
    There is a regulatory body overseeing how big companies treat small suppliers. But the idea of the free market is that companies, large and small, compete, but not unfairly.
    There are other business models which should be adopted in Barbados, but it is not the culture. I will give an example, if Cave Shepherd is selling a product made by a small joiner and it is a popular product, it is good business to pay that supplier in advance to buy materials and so guarantee a steady supply of the product.
    It is clear the old fashioned way of taking an advance order to the bank to raise capital is not working. Government can help small businesses to get over this hurdle, but they either hesitate or do not know what to do..
    The fundamental problem, however, is one I have been on about for years: the incompetence of our lawyers, bureaucrats and politicians.
    Who draft the agreements with these foreign companies? If you are going to give a company a tax break (ie Texas Instruments), then you tie them up so they cannot up and leave at the end of the tax holiday. Or, look at Sagicor’s venture in to high-risk alternative residential property and mortgages market. Not a word from the regulator.
    We need proper expertise and we are giving away the family silver as a result. Look at LIAT; the case of Air Jamaica is taught in UK business schools as an example of incompetence. Guess what, the same thing continues in almost everyone of the islands.
    It will end in tears. That is one of the reasons why we are a failed state.


  27. mari

    Wasnt it you that was pushing this same hyatt, when it was proposed under the dlp, as the economic savior/ revival of bridgetown, employment for bajans etc???


  28. Yes i did but
    However putting all things in its context presently
    Mia utterances coming from her independence speech now gives way to be critical of Mia treatment towards the rights of workers and her protection of big corporations
    There is a an unfair and loopside attitude taken by Mia which should be address
    Hence my comments in attempt to address such issue


  29. We all know the truth.

    ith should have been ” hence you hatred for mia ………..”


  30. My criticisms are bent towards Mia Policies not hate
    Top heavy policies that are sitting on the necks and shoulders of blacks while the upper echelon of business elite are showered with favours and benefits
    Not good


  31. you could fool me


  32. @ David
    I am waiting to hear from the Comrades, who embraced Mottley, denounce this vicious assault on the working class.
    Peace


  33. @William

    Remind the blogmaster of the vicious assault?


  34. WS

    Are you referring to your “comrades” from the NDP that are now BLPites?

    I support the workers in their strike/protest until they get every cent that they are entilted for..


  35. @ Artax
    I concur. I also said in my post that I’m unhappy with some of its employee practices.
    Peace


  36. https://platform.twitter.com/widgets.js

  37. NorthernObserver Avatar

    @HA
    I do not know enough about the Barbadian Companies Act to comment.
    However,
    1) If you try to tie up after 10, the companies will not come. There are too many options, both formal and informal, to get a deal which ‘works for them’.
    2) Sagicor is not a rookie to residential? Didn’t they do Fort George (I may have the name wrong, but they’ve done similar before). The regulator issue is separate, for I am not knowledgeable in the regulations governing them.
    3) Your concept of CS supporting a supplier is “nice”, but what controls do you place on the supplier? Years ago, I supported a small company which supplied me with a ‘coated silica’ used for its reflective properties in a road marking coating. They’d been in business for 20 years. They took that advance money, which was supposed to help them increase inventory and hence timely supply, and used it to try and ‘expand their business’. Ended up bankrupt, I was minus a supplier, and $40,000. My fault. I didn’t control, beyond some legal mumbo jumbo, exactly what they were doing. Never again.


  38. @ NorthernObserver

    No, I don’t believe anyone could demand Home Depot to sell paints from a local manufacturer. But, Home Depot hasn’t benefited from 40 years tax free concessions.

    I believe you’re also missing the point. It doesn’t matter if Appleton is widely distributed or anything with “widespread brand appeal.” Tourists come here to enjoy the Barbadian experience. Whether they drink in the local village shops or purchase from convenience stores or supermarkets, tourists usually purchase Barbadian rums.

    Sandals’ “rum drinking guests” are offered Appleton as first choice, because it is advertised as the ‘house rum.’ Hotels’ ‘HOUSE’ beverages are usually LOCAL PRODUCTS. I’ve read several comments on Trip Adviser from Sandals’ guests who complained about asking for local rum only to be served a Jamaican brand.

    Picture this. We have a Jamaican all-inclusive resort, with top level management that’s predominantly Jamaican nationals, who also benefit from tax free concessions; restaurants serving foreign food and beverages, which are imported duty free…….. and the first choice beverages are Jamaican products. How is this supporting or boosting the local economy?

    I may be wrong, but, in MY opinion, Barbados’ ‘return on that investment’, should be much more than having to settle for ‘free’ advertising, a few jobs and saying Sandals is a ‘good corporate citizen.’


  39. @ Northern

    I am not an expert on the Barbados Companies Act either. The Act we have now, like most company Acts in liberal democracies, is based on 1920 conditions, which are outdated.
    What I am saying is that we need a need Companies Act that takes in to consideration all the scams such as some loopholes that allow some directors and shareholders to escape their responsibilities, the most important of which is the myth of a company as an entity in its own right. A company is inanimate.
    Phoenix companies are a good example of this: a new company, using the same premises, and equipment, sometimes employing the same people with the same directors, with only a name change and the evasion of taxes and other debt responsibilities.
    I do not agree with your suggestion that if we try to tie up overseas companies with conditionalities in order to get tax breaks they would go elsewhere.
    First, some no doubt would, so good riddance; others will stay. This depends on what they are getting apart from tax breaks, including what they are offering and what Barbados expects. If you mean you have no confidence in Barbadian policy negotiators, I can agree. If that is not what you mean, then what do you mean?
    As to Sagicor.. It is my belief that its core business is insurance. If that is so, then illiquid residential properties and mortgages are not its core business and, in fact, presents, in my view, a high regulatory risk to its potential beneficiaries. Have a look at Northern Rock. It is my view the regulator should have intervened in this project and stopped them.
    As to Cave Shepherd, or any other company, taking an interest in a business by making advanced payments, they will have to negotiate that deal.
    But similar deals work in the UK and are seen as an alternative way of raising capital for small businesses.
    Sorry about your loss, but invest with care.

  40. William Skinner Avatar

    @ John 2
    No I referring to those in the Pan African movement: Commissiong , Prescod etc

  41. NorthernObserver Avatar
    NorthernObserver

    @Artax
    “Tourists come here to enjoy the Barbadian experience.” (your opinion and one you confirm from those who complain online)
    Then don’t stay at Sandals?
    It is made very clear in all their advertising (that I have seen), that you as a guest, are supporting the “Sandals experience”. Whether that is in Barbados, Jamaica, Antigua etc That you can enjoy whatever facilities are provided, incl food and beverage, 24×7. (all inclusive) The McDonaldsization of accommodations. You are free to object to the benefit, or lack thereof, of the concept, but that’s what they do. And their results confirm, customers buy into it.
    You maybe ‘right’ on how you view the ROI. But I can guarantee you, there was a line of ‘other locations’ willing to cough up incentives to get a Sandals. And, hasn’t Sandals spent much on construction. I am sure all suppliers are not tax free imports. Aren’t Jamaicans CARICOM nationals? (ie) no work permit required. Didn’t Sir Kyff have Bajans working for him all over the place? When Cow built Hess in St.Lucia, weren’t the bulk of his supervisors and a bunch of the equipment operators all Bajans? Weren’t a bunch of the GEL Flight Kitchen staff once trained and exported from Barbados? Gradually that changes. Actually, it happens everywhere. When Home Despot first came to Canada, most of their senior staff were Americans. Gradually, they promoted Canadians from within the employee base. Ditto for wal-mart.
    I understand the concessions given to Sandals were “extra-ordinary”, and the complaints which followed, especially by competitors who didn’t get similar benefits. But that’s life. The GoB were faced with an opportunity, and they took it.

  42. NorthernObserver Avatar
    NorthernObserver

    @HA
    the ‘scams and loopholes’ will emerge from any Act. The day any government makes a change, an army of brains go into action to discover ways to ‘get around’ whatever ‘saves money’. Your “phoenix” is a fair example, the “in term” is ‘special purpose’ [lol] This is similar to how Sagicor got onto the Canadian trading exchange. {Alignvest Acquisition II Corporation}

    re tax holidays, what I mean is….With the drop in Barbadian corporate tax rates, the concept of ‘tax holiday’ is practically valueless?

    You know a lot more about financial/insurance regulation that I do. My concern, is how do such firms attain any kind of return on their portfolios without going beyond their historically limited boundaries? What do they do with a pile of $BBD. They already own significant slices of many companies. Government paper is very risky (even before default #1). Deposit rates are 0%. Do they just keep buying up their competition? Then they’ll have the ‘too much concentration’ arm attacking them. They’ve already been down the Bank route. I see no simple/obvious answer.


  43. @ Northern

    A special purpose vehicle is not the same as a phoenix company where I come from. And, as the top brains try to exploit loopholes, you close them down. You do not give up.
    As to tax breaks, it depends on the purpose of the tax holiday. They are not ‘useless’, they are, or should be, part of an overall plan. I do not know any more about financial or insurance regulation than anyone, but an insurance company speculating in residential property and mortgages are taking a chance, it is high risk, especially after the Clico mess. We still have some of the Clico plantations, ten years after the mess. It is bad, weak, or non-existent regulation.


  44. @ NorthernObserver

    You ‘said’ “hasn’t Sandals spent much on construction” and you’re “sure all suppliers are not tax free imports.”

    Beaches and Sandals have been exempted from paying ALL import duties, taxes including VAT, imposts and levies of any nature whatsoever, on the importation or local purchase on all capital goods such as building materials, articles of hotel equipment, furniture. furnishings, fixtures, fittings, construction machinery and for the cyclical re-furbishing undertaken from time to time in order to maintain the Hotel to the standards of the Sandals brand.

    Additionally, the resort has also been exempted from paying all import duties taxes, imposts and levies of any nature whatsoever on all vehicles required for the operation of the Hotel including vehicle assigned to senior managers; personal and household effects and vehicles for staff who are contracted to work in Barbados and are not citizens or permanent residents of Barbados.

    Do you know if the Bajans Sir Kyffin have working for him all over the place; C.O Williams’ Bajan supervisors and equipment operators that worked on the Hess project in St. Lucia and GEL Flight Kitchen staff that were trained and exported from Barbados, benefited from a similar luxury of 25 years tax free concessions that were offered to Sandals’ Jamaican employees, as indicated above?

    If you take into consideration how diamond, star and luxury class hotels in Barbados, such as Sandy Lane Hotel, Fairmont Royal Pavillion, Elegant Hotels and other international brands, have a history of employing non-nationals for managerial positions, do you actually believe Sandals Resorts will promote Barbadians “from within the employee base?”

    As it relates to complaints from competitors that “didn’t get similar benefits” as Sandals Resorts, what I can ‘say’ is, let them complain. Many of those hotels have been operating in Barbados for several years. Yet, the owners have not been creative enough to develop and export a brand similar to Sandals.

    Although I understand the points you have made, I don’t necessarily agree with all of them. But, that’s the nature of having a friendly ‘discussion.’ We can agree or disagree, while respecting each other’s opinions and ultimately each other in the process.


  45. Looks like Big Works has to get involved. A meeting called at 7pm to try to avert strike action at GAIA.

  46. NorthernObserver Avatar
    NorthernObserver

    @Artax
    I know where you are going.
    All I can say, is a scan of linkedin suggests Sandals has many people of colour, within their senior ranks. So they are currently pro Jamaican, which is no surprise, all the Cdn Banks have had Canadian managers for umpteen years. Sandals also has a very good training school (that from my JA friends). But I ‘think” balans have a better chance of upward mobility with them, than with a bunch of the other actors you mentioned. So I guess only time will tell who gets promoted and who does not?
    I was aware of the business concessions, not those pertaining to employees.

  47. NorthernObserver Avatar
    NorthernObserver

    @HA
    you are correct. Notice the [lol] I used….even the Phoenix can take on different forms, the end result being similar…to get around the laws/rules. Every day in the business press I read of some previously unknown ‘special purpose’ entity, and the goal is similar, to get around or bypass. Just yesterday, I received in the mail paperwork regarding a buyout of a publicly traded firm I had a few shares in, and the acquisitor is using a ‘special purpose acquisition company’. That is how Sagicor got a TSX listing. I see them in litigation daily. And a lot of them are ‘splitting’ and ‘stripping’ not unlike the Phoenix.
    You are also correct on the risk framework. Yet, as I posed to you, what can they do to seek a return? Abandon all their local investments and seek more fertile ground.


  48. Government awaits legal opinion from AG
    Kareem Smith
    Article by
    Kareem Smith
    Published on
    December 8, 2020

    The Prime Minister on Monday did not break the deadlock between the Barbados Workers’ Union (BWU) and G4S Secure Solutions (Barbados) Limited on their ongoing pay dispute but has thwarted a strike – for now.

    The union has been asked to hold strain on a planned strike for at least the next 36 hours as Government contemplates its next course of action against the alleged discriminatory practices of the London-based security firm.

    After more than six hours of intense talks, it was clear that G4S’ refusal to deviate from the practice of hiring security stewards at a rate of $7.42 per hour, to perform the same duties as security officers at $8.79 per hour had raised the ire of Prime Minister Mottley.

    https://barbadostoday.bb/2020/12/08/government-awaits-legal-opinion-from-ag/


  49. @ Northern Observer

    In this investment climate, a good retail investor would prioritise minimising risk, against going for income or growth. In fact, it is an ideal opportunity for the government to capitalise.
    We have retail banks paying savers interest rates below the base rate, and charging for every service, from having minimum amounts in their accounts to getting new cheque books and some even charge for using the ATMs.
    We also need new investment vehicles aimed at retail investors. Here is an idea for a new savings product: save from taxed income, tax-free growth and tax-free withdrawals. A win-win for ordinary people.
    Then that money can be put in ring-fenced vehicles that could only be used for certain purposes, such as infrastructural development, taxing only capital growth.
    In that way, government gets endogenous money to spend on development, savers get income and growth and the nation gets better infrastructure.

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