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Will Exuma be another Hatchet Bay?

“THE sharp falloff in resort tourism in the Bahamas has claimed one of its largest victims: The financially struggling Four Seasons Resort Great Exuma closed Tuesday after failing to stem the flow of red ink,” wrote Maura Sadovi as the Wall Street Journal on May 27, 2009, announced that the “tourist drought sinks Four Seasons in the Bahamas.”

Four Seasons struggled with a magnificent property into which it poured many millions, struggled with untrained staff, never broke even, and when the international economic collapse came, defaulted on a $120 million construction loan with a Tokyo-based insurance company.

The expense of running a five-star hotel on a relatively undeveloped island, without the infrastructure and staff to support it was just too much when the world downturn came.

While business writers concentrated on the expenses and the world’s dark economic picture, hotel guests explained why Four Seasons could no longer risk its good name on a hotel, advertised as five-star, but which never achieved its reputation because it did not have enough local talent to maintain a five-star rating.

A look at the guests’ complaints gives a graphic picture of what helped close the Four Seasons, and what now threatens the same property — known today as Emerald Bay Resort — under its new owner Gordon “Butch” Stewart of the Sandals resorts.

“If it weren’t for the magnificent beach and crystal clear waters,” wrote one Four Seasons guest, “this hotel would not garner much attention.”

The beach and its surrounding waters were the only attractions appreciated by all the guests. However, they complained about the incompetent staff and the poorly cooked food.

“Having stayed at a number of Four Seasons around the world, this one is not up to par,” wrote another guest. Many complained of the power outages on the island.

“There is an abundance of staff,” explained another, “but it basically amounts to a handful of ‘outside’ (aka European and American) Four Seasons staff that have been brought in to train the local Bahamian staff. It’s like Hospitality 101 all around the resort. It’s never fun to be the ‘trainee’s’ subject.”

“Four Seasons,” wrote another guest, “have set high standards for themselves which we love and will gladly pay for however this resort does not even come close to earning it’s namesake.”

At the time one local insider commented that Four Seasons had made its mistake by paying US rates for a staff that had no training and could not produce at the level expected of a five-star resort. The hotel was being operated by staff on work permits who were desperately trying to train local staff, many with a poor work ethic who felt they were being discriminated against when asked to perform at a higher level — “dis we island, who you tink you is?” We all know the types, and, unfortunately, like it or not, these are the ones who are putty in the hands of politicians at election time. We saw a display of this pre-election this year when they wanted the PLP, if they became the government, to see that they got higher wages and the “foreigners” — that is the work permit staff brought in to train them — off the island. To hear them talk this is what certain PLP politicians promised, and now that they are the government, these Exumians expect delivery. If they get their wish they certainly will also lose their jobs and every person depending on the Emerald Bay continuing to exist also will be looking for other avenues of revenue.

The 183-room Four Seasons remained closed for more than two years, leaving about 500 Bahamians jobless. When the Sandals group decided to take on the challenge in 2009, their financiers immediately saw one of the problems — an overpaid staff.

And so when Sandals acquired the hotel, staff found that they were no longer receiving Four Seasons’ salary levels. They believed they were being cheated.

We always remember the story that Sir Etienne Dupuch used to tell about his friend George Murphy, the American who built the now non-existent Montagu Beach hotel.

One day, so the story goes, a Bahamian painter came to Mr Murphy and complained that his American counterpart’s salary was higher than his. Not one for argument, Mr Murphy told the Bahamian that he would divide one wall of the hotel in half — one half to be painted by the Bahamian, the other by the American. If the Bahamian could keep up with the American and do as good a job, he would be immediately put on the same salary as the American.

They both started — same paint brush, same paint, same type ladder — the contest was on.

By noon the Bahamian gave up. He went to Mr Murphy:  “Boss,” he said, “I give up, yer right, I’s only a four shilling a day man.”

Mr Stewart has publicly admitted that the Exuma property is facing “severe difficulty in continuing operations.”

“Among the problems faced by the resort in Exuma are high utility costs, airlift to the island and a lack of trained talent on the island,” said the Sandals release as it asked for the Prime Minister’s understanding and cooperation.

The Sandals group has not admitted it, but we understand that renewal of the necessary work permits for foreigners to train Bahamian staff are being threatened. We know this because one Exumian admitted that once the PLP came in the “expats” would be out. According to him this is what was promised by the PLP during the election campaign.

This is so reminiscent of the Hatchet Bay, Eleuthera story, which we will tell tomorrow for the sake those who do not remember.

We cannot speak for Mr Stewart — as a matter of fact we have never even met him — but recalling what happened in the Pindling era when ill-trained Bahamians called the shots and the Pindling government danced to their tune, we predict another closure at Exuma. Like Alice Town, Eleuthera, there will be a tearing of hair and gnashing of teeth should that dread day ever come.

Comments

bahamainabroad 11 years, 6 months ago

Tell me why is the tribune so F.N.M. ITS like you would like to see the Bahamas. And the plp fail, if our government fail FNM OR PLP WE ALL FAIL . By the way is Atlantis 5* or greycliff oh how long we been in tourism again. From the days of rum running to the present to the future we will be OK so f#$k all doom Day preacher. ONWARD FORWARD TOGETHER

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EllenStrachan 4 years, 9 months ago

Can I tell my story I was a worker at the four-season resort in Exuma from conception supervisor. four season-closing was down by bad management. If for 4 years we were having a return guess before they leave they book returning for the following year we had bookings in advances for years how it is that they close. The real story is yet to b told . my name is Ellen Strachan I slip and fall while at work at the four seasons I injured my back in four places never was the same after that am writing my story because we the workers are not secure on these jobs my story will shock you I would like to know how it was that I hired a lawyer because of my injured and not thing happen..before the resort close MP HUBERT INGRAM stated in the house of assembly before this resort leave this country they have to settle allowed I went to his offer and ask if the people were included in this settling he said yes so my question is how the people what had this company in court surfing or what really sent down from lawyers to lawyers

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Exumian 4 years, 6 months ago

The writer is very wrong and should really reyract.this story. Four Seasons did not lose any monies here as it never owned a hotel here. It merely managed the facility for Emerald Bay. Four Seasons pulled out because Emerald Bay could not survive under the poor contract deal it signed with Emerald Bay. The writer seems politically motivated. If you really want to know what happened try starting with the Contract between the twonparties. More businesses fail due to poor management than poor staff. STOP BLAMING BAHAMIANS FOR THESE FAILURES. Look instead at the huge management fees and exhorbitant salaries paid foreign staff compared to local staff for the same job. And for that matter very little training is done by those brought in. After a few years here they work harder to stay here complaining that BAHAMIANS are unable to learn the job. I have personally know instances where Bahamians had to train thier imported supervisors.
I am speaking as someone who held top positions a major hotel chain and in the industry for over twenty years and enjoyed a very successful career. Most of these failures thT you mentioned were caused by initial under capitalization. Companies that come here and are allowed to purchase land, semi develop it then sell lots at highly inflated prices, line their pockets and then look to the Government to BAIL them out. Or flip the properties and disappear leaving the next under capitalized entity and the country holding the bag. Then YOU cone with half a story blaming Bahamians for the closures. Another reason for these closures is poor getting by the authorities when agreeing to let knowing unsuitable characters to make promises the never intended keeping.Who never had the monies to do projects. Heads of agreement that were never adverted to. Some of these deals will shock you in the manner in which they are brought about. And all to provide a few low end jobs.If any shame is to be had it is on some of our leaders who are overly complicit in these dealings..some obviously NOT above board and to the unscroupolous supposed developer who should never have been allowed to "invest" here in the first place. Yes, we have some worker with terrible attitudes. Who know the job but fIl to perform. That is more the exception that the norm. Most of us are hard working, long suffering people, sometime too quick with a smile and totally open and friendly. This country pioneered tourism. Sir Stafford Sands developed the Tourism model adopted by many destinations in the Caribbean and elsewhere that allowed them to have an economy. And he did that with his own BAHAMIAN PEOPLE. So it is annoying to say the least to read this utter trash by writers who prefer to make up stories rather than research and write the truth. Having said ALL THAT..I do believe that BAHAMIANS need to wake up to the reality that WE alone are responsible for our Good name. The country is too open. Time to close ranks. More later.

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