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Fusion NIB problems add to staff worries

By KHRISNA RUSSELL

Tribune Chief Reporter

krussell@tribunemedia.net

WHEN Ben Brown went to the National Insurance Board to claim benefits recently, he was surprised and dismayed to learn that his employer, Fusion Superplex, allegedly had not paid the majority of his NIB contributions.

It was a “punch in the gut” for the 27-year-old father who was hoping for his case to be processed quickly so that he could receive financial assistance from NIB. Receiving the benefit was the only way he could possibly see his way through after the company placed him on unpaid leave due to economic fallout from the COVID-19 pandemic.

Instead, Mr Brown said NIB told him assistance would be delayed as they would need to verify certain elements, including past contributions before he could receive any money.

Similarly, another employee said he resigned from the entertainment centre about two months ago and was told by NIB at the time that 75 percent of his contributions, taken from his salary, had never been paid. “They told me I could not get my monies,” he said.

This situation, according to another worker Gloria Greene, has left her immediate future uncertain. The names of both workers have been changed out of fear of retribution.

“This country is in a total lockdown for one and we’re not sure we’re even going to get the NIB funds that we’re owed because two weeks ago, NIB was not paid up,” she claimed. “So we’re not even sure if we’re going to get some type of relief from even NIB.”

None of the workers were told when they could receive money from NIB, they claimed.

Similar stories have been circulating since Fusion placed its 350 employees on unpaid leave nearly two weeks ago.

Then last week, another layer of bad news came when executives said they were facing a payroll deficiency and would be unable to satisfy salaries for this pay period.

However, workers were assured they would be paid outstanding salaries as soon as possible.

Yesterday, Fusion’s CEO Carlos Foulkes said the company’s NIB contributions have been delayed, citing paperwork issues, admitting the company was on a payment plan with NIB. He said this arrangement should be no reason for employees to be prevented from getting benefits from NIB.

He said: “We do have a delay in payments to NIB and as a result of that we have been put on a payment plan with NIB, something that was negotiated between the leadership of NIB and Showcase Entertainment Ltd, which is the parent company for Fusion Superplex.

“We have had no issues with the payments stopping persons from getting their benefits. We have recognised that there has been a delay in payments and as a result NIB has said ‘do this, do this, do this and pay this amount a month,’ we’ve been doing that.

“But that is unlikely to be the reason persons are being turned away from NIB. If they are being turned away from NIB, I am not saying that they aren’t, because what we told employees is if you have any difficulties with any claims come to the HR department and get some assistance. We deal with those issues on a case-by-case basis.

“The fact that Showcase Entertainment is delayed in its contributions is not any reason why NIB would turn away somebody seeking benefits because that has nothing to do with the employee. It’s a condition between NIB and our parent company.”

Mr Foulkes said to his knowledge, the issue has come down to NIB’s processing of C-10 forms. From Fusion’s end, the forms are being submitted on time, he insisted. However the CEO said there had been errors on the forms from time to time.

“The biggest issue is the processing of the C-10, which essentially is the documentation that we submitted on a daily basis, which says this is how many people we employ, this is how much we have deducted, this is what we have to pay into the NIB fund.

“Once we put that in, the employees’ files are updated as soon as NIB can get to it. Their internal operations are beyond us but we do know that there has been some delay in the updating of the C-10.”

Additionally he said delays may have come as a result of some workers filling out certain benefit forms with the wrong employee name or being challenged by internet capability now that the process is web-based. Others had expected to receive NIB assistance but had not met the requirement of having contributed into the fund for 52 weeks, he said.

Confirming the matter was on NIB’s radar, National Insurance Minister Brensil Rolle said employees had every right to be concerned.

“We are addressing it now,” Mr Rolle said when he was contacted. “We are actively speaking with several big businesses and Fusion is one of them. This is with a view to addressing some of the critical issues.

“We have been in contact with Fusion to address the issues.”

NIB Director Nicola Virgill-Rolle told this newspaper she could not speak specifically to any particular firm. However, she outlined how NIB deals with instances where contributions have not been paid on time.

The board does not penalise employees for employers’ failures to pay contributions, she said.

“Our policy is that all persons who are eligible and meet the requirements for their benefits can be paid,” Mrs Virgill-Rolle said. “If there is ever a particular situation, a case of arrears or non payment, we have a policy whereas we don’t penalise the worker for that.

“It may delay the process because we have to confirm the C-10s; the contribution statements with employers individually and this is something that happens on a normal basis. And so we undertake that process to ensure that the persons did work there and do that process.

“It may delay, but we don’t disqualify once we can confirm that you have indeed worked at a particular location we will then seek to confirm that with the employer.”

She also said: “For a policy where there may be arrears we will check the system and have our inspectorate also go out to confirm the information from the employer.”

Just last year, NIB’s minister warned that non-compliant employers failing to pay workers’ contributions may be running out of time to continue this practice.

At the time he said employers who do not pay on behalf of their workers owed the board between $14m to $17m.

Comments

Well_mudda_take_sic 4 years ago

Carlos Foulkes and all of Fusion's board members should be charged with fraud by way of intentional outright theft from Fusion's past and now laid-off employees. Like so many other business enterprises (remember Jones of Jone Communications), this company has been making deductions from its employees' pay for national insurance contributions but not remitting the deducted amounts to NIB along with the employer's (Fusion's) share of the required total contributions.

And National Insurance Minister Brensil Rolle and NIB Director Nicola Virgill-Rolle have been playing political favourites with many employers like Fusion that are seriously delinquent in their NIB contributions, cutting them sweet 'take-your-time-to-pay' payment plans and other deals instead of prosecuting them to the fullest extent of the law. This is absurd and most unfair to those employers and their employees whose accounts at NIB have been kept current.

Are Brensil Rolle and Nicola Virgill-Rolle now going to double down on this absurdity by wrongfully 'authorising' NIB to pay out unemployment benefits to persons whose accounts with NIB are seriously delinquent? Is Peter's fully paid-up account at NIB going to be robbed in order to pay Paul unemployment benefits even though Paul's account at NIB is seriously delinquent? What a joke!

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tell_it_like_it_is 4 years ago

Why oh why does the government allow so many people to get away with this problem? It's called stealing! If you are taking people's money for NIB and not paying NIB, that's stealing plain and simple.

So when I get a knife and rob someone of $50, I get 10 years in prison. But when these companies steal hundreds of thousands of dollars (or millions), nothing happens to them. This problem only exists because the government allows it. Where are the real consequences for businesses who continue to not pay... month after month after month???


I'm so sick and tired of the harsh penalties on the poor man. But yet, businesses continue to get away with murder. If you want to be harsh, be harsh for everyone. That's fairness. SMH

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observer2 4 years ago

Simple tax collection procedures such as mandated direct payment to the government on the same day that the employees are paid would immediately resolve this issue. In the US special payroll companies such as ADP are used as intermediaries and credit the payment to the employees bank account at the same time the government is paid social security and other tax payments.

There is zero penalty for not immediately paying the government except for customs duties (you don't get your merchandise) and VAT (interest penalties for late payments).

We can therefore expect, because there are zero penalties, that during this CoVID 19 lock down virtually no one to pay BEC, Water and Sewerage, Real Property Tax, BTC, VAT, mortgage payments and will push back out of rent payments. There are ppl in the country that can pay these bills but there is zero incentive to pay anything.

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DEDDIE 4 years ago

Until you ran a business many individual don't understand why an employer can have arrears to NIB. When a business have limited funds you have some tough choices to make. You make the decisions that allow the business to continue. Keeping electricity, water, purchasing merchandise, paying employees allows the business to continue into next week. Not paying NIB doesn't necessarily result in your business closing. Asked any employee if they prefer their salary to be payed or NIB and the response will be salary.

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Well_mudda_take_sic 4 years ago

You obviously don't fully appreciate the simple fact that national insurance deductions from the pay of an employee do not belong to the employer, but rather represent funds to be held temporarily by the employer as a fiduciary agent for the employee until such time that the funds are due to be remitted to NIB.

Not paying NIB should result in an employer's business being closed if it means the business is technically bankrupt and its employees are unwilling to take a pay cut to keep the business afloat.

Not paying NIB contributions is the equivalent of an employer secretly cutting the pay of its employees without their consent and in violation of the law. That's outright inexcusable theft that the employer cannot justify by saying it had to steal from the employees without their knowledge and consent in order to keep them employed. The end never justifies the means when it comes to blatant theft. Theft is theft no matter how much red lipstick you try put on that very ugly pig.

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tetelestai 4 years ago

Get outta here with that nonsense. Go in the bush and hide with all the other thieves, robbers and miscreants. The temerity of you to type such filth.

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proudloudandfnm 4 years ago

I really thought these guys had a good idea but damn 350 employees for a theater????

Doomed. No way this place can sustain itself. As is now obvious...

Where do these people with these dumb ideas get the money from? Fusion. Fowlco. WTH????

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Well_mudda_take_sic 4 years ago

The answer to you last question: The likes of King Sebas Bastian.

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TalRussell 4 years ago

Yes indeed be interesting review its pre launch 350 employees and heavy management payroll business financial feasibly study? Is it publicly traded or private corporate. Nod once for yeah, Twice for no?

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