Submitted by Steven Kaszab
The Pandemic has thrown the global markets and economic flow into the dumpster. What was, seems to becoming a thing of the past, with corporations amalgamating their manufacturing processes into singular locations. Labor costs, which ruled the day before the pandemic have been set aside allowing logistics, energy and shipping costs to surface as the new economic principle. Therefore many manufacturing plants and their staff are being moved or eliminated. Some examples follow…
De Fehr Furniture is shutting down a Winnipeg, Canada production plant, and more than 200 workers will be looking for work. In a notice posted to its website this week, De Fehr said it will end case goods manufacturing at its facility at 125 Furniture Park this summer. The move will affect 224 employees, the company said.
“The decision to cease operations was the result of severe supply chain disruptions and raw material sourcing challenges over the past two years, combined with balancing the pace of price increases that were passed along to customers,” the May 4 notice reads. De Fehr said the facility will officially close on Aug. 10.
“This wind down will be carried out in a controlled and orderly manner, and all obligations to suppliers and employees will be honored as we work to complete and fulfill customer orders on hand,” the notice reads. Affected employees will be offered support programs through the changes, the company added.
Nestle has announced its confectionery factory in Newcastle(Barbados) is to shut with the loss of 474 jobs. The global food manufacturer said it was holding talks with employees at the Fawdon plant but the focus was now on closing it in 2023. A spokeswoman said the majority of production currently in the North East would move to Halifax, West Yorkshire.
The GMB and Unite unions condemned the move and said closing “a profit-making factory” was “unacceptable”. The future of the former Rowntree plant had been in doubt since Nestle announced in April that it wanted to end production at the site.
Fawdon has been producing confectionery since 1958 but, according to unions, the manufacture of Fruit Pastilles will switch to the Czech Republic and Toffee Crisps will be made in Poland. In recent years the factory has made other popular brands like Rolo’s, Munchies and Matchmakers.
In a statement, Nestle said: “From the outset we wanted to provide adequate time and space for these discussions and it is only right that they are held directly with our employees and trade unions and not in public.
A feared global economic downturn is forcing corporations to consolidate their operations or eliminate those deemed unnecessary. Shipping and logistic costs must be reduced as much as possible, so facilities located in non central transport hubs will be effected. A move from the Asian Manufacturing Hub to that of Mexico or Brazil has been happening this past decade, but now the momentum is unstoppable. If your head office and primary manufacturing is in the EU, that is where relocation will happen. Manufacturing facilities within economically isolated area’s like islands will face the danger of closing. Further complications is the fear of global recession, making the maximization of corporate profits the more important. Yara Trinidad is closing one of its plants also, blaming decreased sales with increased costs in energy. Layoffs to come.
Compared to what will be our ACTUAL reality shortly, everything outlined above is relatively inconsequential and minute.,
What we are experiencing is the ABSOLUTE PERFECT STORM of Global scope in the making… and the REAL biggie is only now unfolding.
(Of course those who LISTEN to Bushie will have been well prepared for this) The World’s ‘financial backbone’ since Bretton Woods is about to collapse with unprecedented consequences for EVERYTHING that we have come to accept as normal.
The recent prophet ‘Robert Nesta’ reminded us that “he who diggers a well, shall fall in it…” and the well that the USA encouraged NATO to dig for Russia (and the rest of the ‘non-first world’ peoples) is about to swallow the US dollar….The world’s fiat currency.
Imagine the $3 Billion in ‘savings’ held by Bajan in our foreign-owned banks, suddenly being worth less than the equivalent weight in toilet paper….
Imagine the proceeds of Simpson’s sell-out of SOL and Simpson Motors (built on the backs of Black labour) to foreign interest …collectively being worth less than a second hand Swift.
Imagine having to exchange your house for a week of meals…. or starve…
Of course this is all explained in great detail, for example in Isaiah 5, but most of us will want to wait for the live action…..
It won’t e long now.
Shrinkage of economic life is a misnomer in a zero sum game where winners and losers are equal
Rich get richer poor get poorer and the little that the poor man has is taken away do you hear what I say
Wealth inequality was no issue when it was along lines of racial inequality like crack cocaine in 80s
but when it crosses over into white neighbourhoods there is weeping and wailing and gnashing of teeth
Whites were deluded when they thought they were stakeholders bosses and assets of white companies
when they were liabilities and and dispensable as toilet paper to be used dumped in the pile of shit when old and unemployable
@ Bush Tea who wrote ” It won’t be long now.”
How long is ” long ” ? months ? Years ?
Wunnuh cannot stop reporting what everybody knows already? Is this another effort to raise the level of anxiety in this beloved country of Barbados? I am going to petition the GoB to raise a tax on all items that are used to spread malicious and mischievous news. Furthermore any publisher that cannot produce evidence to support his assertions will be deemed a liar in whom there is no truth for life.
“How long is ” long ” ? months ? Years ?”
Excellent question. One that has been asked, and answered, eons ago according to Matthew 24:3
The answer given back then should be instructive.
Bushie likes this particular part of the answer given back then… (Verse 24… translated into Bajan of course 🙂 )
…In those times, wicked Shiite men (like Fauci and Gates?) will perform great tricks of deception, such as would deceive the WHOLE WORLD – and even to trick God’s chosen people – IF THAT WAS POSSIBLE!!!
You can pick some sense from that…
@ Hantsie boy…
Bushie suggest that you don’t make too many major plans for 2023….. besides basic survival….
Better yet, …come home…. LOL.. cause..
It a go dread ina Babylon.
It looks as if RJ’s article would have been well suited to post under WS’s mirror image post.
This is part of what he sees
‘Call a public office and no one answers the phone. Call a private business and one is told to press this or that number or hold for the operator. No one answers. You call back the operator and apparently there is no operator or at least no one answers.’
Are we still punching above our weight?
This bothers me.
from CM’s article
“At this point, sometimes it is about trading down, so if you can’t get Arm And Hammer liquid detergent but you are satisfied using one of the brands from the regional producers, then that is what customers have been doing. It is a situation that is hard to call because it is a weekly challenge.”
I have always bought the cheapest detergent for I do not believe in the magical powers often described in ads. Hopefully, regional producers will get a good nibble and firm grip on the regional market.
Will Barbados follow the Vincies ?
“The World’s ‘financial backbone’ since Bretton Woods is about to collapse with unprecedented consequences for EVERYTHING that we have come to accept as normal.”
they did not want to listen to you, they love disrespectful sellout LIARS, their heroes…..
warning yall again to stay very FAR AWAY from house negros, political pimps and fowls…..give them a VERY WIDE BERTH…they are triggered to spread more and more poison to keep Black Afrikan people in a LOCK and FIXED position for centuries to come, unable to be masters of their destiny, forever under criminals….chase them from too close around you or just monitor their every word and moves…
Barbadians need a pep talk from their leaders.
Three deaths reported at a Sandal’s resort in the Bahamas.
Maybe, maybe not.
Will be interesting to hear if they had fluid in their lungs.
Aunty goes to Washington with the “Gold Standard” of Caribbean financial experts: Mottley/ Sinclair/ Persaud/ Mascoll.. Highest taxes in the Caribbean?
61-0 tek dat!
Cost of living higher than NYC (without the infrastucture or economy).
61-0 tek dat.!
Looks like Bajans got the govt they deserve!
Well, I have decided to plant quinoa this summer along with my winter squash and potatoes. I will add to my canned veggies and I should be good. Going to buy more canning jars before there is a run on them. Went to the allotment and water the garlics and asparagus today. I should start reaping asparagus on Tuesday.
This is the time to plant your own food…reap your own food, no excuse, there are indoor tents and all the tools available..if you don’t do outdoor growing….plenty choices, no reason to listen to lying politicians or depend on them for anything.
Jonny B GoodMay 8, 2022 3:34 PM
Aunty goes to Washington with the “Gold Standard” of Caribbean financial experts: Mottley/ Sinclair/ Persaud/ Mascoll..
She may not return given what happened with Bernard Fahie and his plan to name names!!
Yep we are in for a tough summer season for sure. Couple that to the high cost of items including fuel and we undoubtedly will see higher levels of inflation in the 3rd and 4th quarter.
If HA was on like before I would ask him why the Church of England is apologizing for the anti Semitic laws in England of 1290 that existed over 200 years before it came into existence under Henry VIII in 1530.
Looks like the herd of HOGS in CARICOM is being culled!!
More corruption getting exposed, this time in the US.
“COVID-19 predicted to impact pensions and NIS earnings, says actuary
Barbadians should brace for a reduction in future pension benefits due to protracted unemployment, while National Insurance Scheme (NIS) operators can expect reduced income from investments in the short to mediumterm, given the impact of the COVID-19 pandemic.
Those predictions have come from independent consulting actuary Judy Veira who also warned that self-employed individuals across the Caribbean should take their payment of NIS contributions more seriously.
“Of course, you are going to have some reduction in future pension benefits because of the loss of contribution weeks whilst unemployed. I think there should be, I would expect hopefully, an increased appreciation for NIS benefits and possibly an increase in compliance,” said Veira.
“I would like to think, certainly even among the selfemployed, they realise ‘I really should be contributing to the NIS and contributing on a consistent basis because you never know I may need short-term sickness benefit’. You may never know there is another pandemic, maybe this may encourage others to step up and be active contributors to their respective NIS schemes.”
Veira made the comments during a recent webinar hosted by the social security subcommittee of the Caribbean Actuarial Association (CAA), under the theme Social Security Around the Region and the Response to COVID-19: What lies Ahead? Veira, president-elect of the CAA, explained that national security schemes should expect a reduction in contributions due to several factors, including the loss of jobs among the expat workforce and the reduction in new employment.
“Also, the temporary unemployment benefits may have reduced the sustainability of some national insurance scheme funds. Time will tell,” she said.
The actuary said she did not expect the cash flow as a result of the COVID-19 pandemic to materially impact the long-term financial stability of regional security schemes.
“Certainly in the short to medium-term, I think they can all expect lower investment income. I think they would have some concern in terms of their investment. A lot of them are heavily invested in government bonds and now these governments are under a lot of financial pressure due to the pandemic . . . so will those governments possibly default or delay in their bond payment? Because these national insurance schemes are invested in these government bonds, there are some credit risk to them too,” she explained.
Veira pointed out that in the case of Barbados, which paid out some $155 million to satisfy over 35,000 unemployment benefit claims in 2020, there will need to be a review of that fund to ensure its sustainability.
“[They] will need to take a step back and look at ‘did we prepare ourselves sufficiently and ensure our contribution rate is still at an acceptable level, is it consistent with the benefits being offered, do we need to make any changes?” she said.
Veira said if schemes were planning to reduce benefits, increase contribution rates or make any other changes to their schemes, they may have to do so sooner rather than later.
“Whatever reforms these schemes had pre-COVID-19 are still going to have to do it and they may also have to do it a little bit more aggressively and hasten it a little bit more to offset any short-term consequences of the pandemic,” she warned.
“So, it does beg the question in the end, will these national insurance schemes have to give more in-depth consideration to one-off significant events such as the pandemic, volcanic eruptions that [affected] St Vincent and Barbados, hurricanes and other natural disasters when assessing our long-term financial sustainability?”
Veira also raised the question of whether social security schemes should give greater consideration to how much they support governments.
She encouraged countries that did not have a permanent unemployment benefit fund to implement such a system.
The actuary also urged operators of the security schemes to carry out a careful assessment to determine what areas needed to be strengthened in an effort to better prepare for future events and to know how the past two years might have impacted on projected cash flows.
“Because of the protracted period of unemployment that was experienced in the past two years, there is going to be lower than expected contribution income. The pandemic has also exposed the financial vulnerability of self-employed persons, they were just darn lucky that a lot of these national insurance schemes and governments [stepped in],” Veira said. (MM)”
Source: Barbados Today
“Gov’t and IMF review Extended Fund Facility
A visiting International Monetary Fund (IMF) team here this week for the Seventh Extended Fund Facility (EFF) Review has been assured that despite battling economic fallout from COVID- 19, Government had achieved several macroeconomic benchmarks.
Minister in the Ministry of Finance and Economic Affairs, Ryan Straughn, along with other Government officials, met with the IMF team on Monday to provide an update on the island’s performance.
The IMF’s EFF supports the Barbados Economic Recovery Transformation (BERT) programme which was implemented by the Government in 2018 to generate economic growth and restore debt and fiscal sustainability over a three-phase, five-year period.
Acknowledging that adjustments had to be made to the EFF due to the COVID-19 pandemic, Minister Straughn insisted that Government was still “very committed to seeing the reform efforts through”.
“We have responded to a number of social pressures which have eased somewhat, but we still need to continue some aspects of social spending until all of the population can see an ease in their living circumstances,” he pointed out.
Based on the agreed targets on both sides, Straughn said that as the pandemic and the crisis in Ukraine rage on, the execution of the Government’s capital works programme and private sector investments coming on stream will provide a much needed boost to the economy.
“The Prime Minister is a very strong advocate, as you know, with respect to finding a different trajectory to the debt that has accumulated specifically for COVID-19. We continue to make those arguments with all the multilateral institutions. We believe that in order for us to be able to respond to climate adaptations and other issues, you will need to ensure that the appropriate fiscal space is available so as not to inhibit the normal development trajectory of the country,” Minister Straughn insisted.
Cognisant that the challenges had become greater since entering the programme, he added: “As we exit the programme now, obviously we have to recognise that we are in a different space and, therefore, I think that as we seek to respond to our own climate adaptation needs, that we are able to look at a suite of potential financial options in order to allow not just Barbados, but certainly the rest of the region to fully recover from the threat of COVID- 19.”
The IMF’s Mission Chief for Barbados, Bert van Selm used the opportunity to inform the meeting of the proposed visit of the Managing Director of the IMF next month to give Barbados’ assessment, instead of issuing a press release at the end of this visit.
“So, first, we will do the seventh review and then of course we have a very important step in between; we now have this visit of the Managing Director that is planned for mid-June and that is, of course, a great opportunity to sort of highlight and celebrate the success of four years of economic reforms….
“For the Managing Director to come here to Barbados and use her weight to bring that message, saying that everything is fine, has much more impact.”
Van Selm noted that with the global increases, especially in fuel prices, there would be discussions on the macro framework and what other policies would be put in place to shield the populace.
While on island this week, the IMF Mission Chief will receive updates on Barbados’ renewable energy thrust; and engage in talks with the Government and the private sector on a range of issues, including renewable energy, the financial sector and the National Insurance Scheme (NIS).
On Friday, Prime Minister Mia Mottley is expected to participate in a wrap-up meeting. ( BT/BGIS)”
Source: Barbados Today
LOL @ David
One has tp wonder if these ‘experts’ bother to look around the world at the NUMEROUS examples of what happens to brass bowls who follow the path that we have adopted in Barbados.
Take Sri Lanka as an example…
Future reduced pensions are the very LEAST of their worries.
What makes us different?
We are following a path to nowhere. We borrowing to satisfy and unsustainable lifestyle of unbridled consumer consumption.
Bushie could understand back in the days of OSA, when we were ‘punching above our weight’ (ie swimming in deep waters) that some people could be misled into thinking that such shiite was sustainable. This is why Bushie had a whacker back then, to attack that kind of idiocy.
But how the HELL can anyone in 2022, NOT see that we are in duck’s gut…?
…and if we see that, what does it take to NOT undertake a SERIOUS review of all that we have taken for granted…?
Only sheep and topsies ( ‘bowls of brass’) have the capacity to continue taking abuse in the form of repeated piss, and of being fattened and led to the slaughterhouse in broad daylight….
Even pigs would squeal, fight, and do dixie…..
Maybe it can be explained that the majority are followers and can be led/manipulated with right messaging. Targeted messaging is supported by a sophisticated technology which feeds on human weaknesses. Think Cambridge Analyatica as one example.