By Paul Turnquest
UNEMPLOYMENT in the Bahamas has reached a staggering 16.2 per cent, a figure that the official Opposition claims “is deeply troubling” as it directly relates to the performance of the government and its efforts to create jobs for thousands of Bahamians who are “desperately looking for gainful employment”.
Yesterday, the Department of Statistics released its Labour Force Survey, completed in May of this year, which showed that unemployment in New Providence increased from 13.1 per cent to 15.9 per cent, with unemployment in Grand Bahama increasing from 18 per cent to 19.5 per cent.
Of a total labour force of 195,660 persons, this represents 23,180 persons in New Providence, and 4,900 persons in Grand Bahama for a total unemployment figure of 31,665 people.
The unemployment among youth (15-24 years) on both islands continued to be considerably higher than any other age group, the report noted, with the overall rate reaching 30.8 per cent, a slight increase over the November figure.
“We hope that these numbers persuade Prime Minister (Perry) Christie and his government to take a moment to reflect on how difficult living conditions are for the thousands of Bahamians who have a hard time making ends meet every day,” FNM chairman Darron Cash said yesterday.
“We hope that they reflect on the value that each and every person places on keeping the jobs that they have, no matter how little those jobs pay. The Prime Minister’s team too often gives the impression that they do not understand how hard life is for average Bahamians.”
Earlier this week, when responding to concerns raised about the Government’s decision not to renew contracts of a number of government workers, Minister of State for Finance, Michael Halkitis said it was purely an “administrative matter” – a statement with which Mr Cash takes exception.
“It is hard for a now-unemployed mother to explain to her children how their condition is due purely to ‘an administrative matter.’ This attitude seems very insensitive. No doubt they viewed terminations from Urban Renewal, RIU Hotel, the Cable Beach hotels and other places as ‘administrative’ matters between the employers and the workers. Today, BTC has added to the unemployment lines and CIBC First Caribbean is preparing its list. We will wait anxiously to see how the PM responds,” Mr Cash said.
In the May 2013 Labour Force Survey, results that covered a six-month period, indicated that there was a 3.1 per cent increase in the labour force since the last survey was conducted in November of 2012.
However, the report did not paint all doom and gloom, as surveyors saw a decline in the number of discouraged workers, which dropped by 33 per cent since the last survey in November 2012.
This was in part, according to the report, due to “increased prospective business projects”, as more Bahamians are reportedly optimistic about finding jobs and consequently rejoined the labour force.
“According to the standard definition of the International Labour Organization (ILO) adhered to by the Bahamas and most countries, including those of the Caribbean, United States and Canada, discouraged workers are not considered unemployed and therefore were not a part of the labour force. In view of the fact that this category of persons has rejoined the labour force, the number of unemployed persons increased resulting in a higher unemployment rate. Both New Providence and Grand Bahama experienced a decline in the number of discouraged workers. The decline in New Providence was 26 per cent while in Grand Bahama the decline was 47 per cent,” the report said.
However, with this being said, Mr Cash said that the Christie administration’s jobs agenda has been a “failure” for more than one very clear reason; “they never had one”.
“After countless distractions, perhaps today’s report will persuade Prime Minister Christie to settle down, focus, and work on putting Bahamians back to work,” he added.
Comments
banker 10 years, 6 months ago
If I were the king of the Bahamas, or a benevolent dictator with authoritarian rule insuring that my plans were executed, I, for the life of me, wouldn't have an immediate fix. The solution is long term and the pain of the people will not only increase greatly, but one wouldn't see results for three or four years at best. However, the problem will not be fixed, because anyone with a solution, will not get elected.
The band-aid solution is infrastructure spending. However government deficits and massive sovereign debt preclude that as a solution for now. HAI did that, and it helped, but once the projects are over, the unemployment springs back up. And it is like dieting. After you lose a few pounds and go off the diet, not only do you gain the weight back, but you end up with more.
The ironic bit, is that we have a workforce of some 170,000 people and a robust enough GDP to fix it, if we weren't so heavily invested in tourism, mega-projects and low economic yield activities (like financial services). For example, I found out that in most countries, the financial folks constitute the 1% that the people were demonstrating against in the US. In the Bahamas, it is the half percent. Less than a thousand people are employed in Financial Services. That is a pretty low economic yield for being the second pillar of the Economy. And to boot, the money that we handle, doesn't stick to the Bahamian economy. It is foreigner money that is not lent, spent or meant for the local economy. Businessmen and regular Bahamians do not have access to this capital to borrow and create businesses and jobs.
So obviously we need a diverse economy. Economic diversification needs a fertile garden to grow. We need capital, a convertible currency, an ease of business government infrastructure, low resource cost to fuel the business, and an economically savvy population with a global outlook to capitalise on worldwide economic opportunities. Wealth creation by Bahamians (and hence jobs, businesses and industries) must spill beyond these islands to be truly successful.
But the bottom line, is that our retarded leadership cannot understand this, and cannot see past the ideas of yesteryear (tourism mega projects that actually impoverish Bahamians), so this frightening development will continue to spread until the socio-economic fabric totally disintegrates. I used to laugh when oldtimers would say that one day, Bahamians will be eating pigeons and coconuts again. I don't laugh any more.
john33xyz 10 years, 6 months ago
The Bahamas is trying to be just like Haiti, and succeeding. In less than 25 years, nobody will be able to tell the difference. Many Haitians will even take to the boats then to return to their more prosperous home country and some Bahamians will join them.
Colebrooke 10 years, 6 months ago
We all know it's impossible to employ every Bahamain, but we can Educate them making it able for them to migrate to countries that will employ them. With the Education and certificates they can travel abroad and work and lead a prosperous life. Wake up people educate yourselves this world just don't revolve around the Bahamas. If you look at how Sir Lynden PIndling pave they way for us, you should understand that he made opportunities accessible for all through out the world. Don't be distress give the Bahamaian people a free education that give them a high paid job in the future, many countries always needs educated people and the pay is better.
SP 10 years, 6 months ago
The two biggest impediments to development in the Bahamas and the cause of this massive double digit unemployment leading to great suffering of our country are the PLP and FNM.
No other country in the world is known to as policy offer foreigners more incentives than nationals for the building and development of their country.
We find ourselves where we are now not by circumstance, fate or chance...But by 40 years of political stupidity, greed and self imposed apartheid practiced by the PLP and FNM.
concernedcitizen 10 years, 6 months ago
@SP we don,t produce anything ,we sell sun ,sand and sea ,,how many Bahamians do you know w/ a billion dollars to build Baha mar or Atlantis ..We have to give concessions b/c our cost are high b/c of our overstaffed public corps ,we are competeing against others in the reason for the same FDI .. A Bahamian can put up money open a hotel and get the same duty free concessions ..Our manufacturing industries are subsisized and protected and we still produce inferior toliet paper that w/ out the protection from gov the companies would be out of business ..BEC pays no duty on fuel ,a subsidy , and still can,t produce reliable ,affordable electricity ,,
John 10 years, 6 months ago
A single Bahamian may not have a billion dollars to build an Atlantis or a Bah Mar, but a consortium or Bahamians can buy into these developments and share in the ownership. When some of the profits remain in the country it can generate additional wealth, empower Bahamians economically and enrich the country at the same time.
concernedcitizen 10 years, 6 months ago
@john @ sp ,,read John Rolles article about concessions ,subsidies in the Guardian .., only 25% go to tourism ,FDI the remaining 75% go to local industries ,public corps etc ,,like BEC paying no duty on fuel ..John Atlantis was once publicly traded ,did you buy any ? Cable bahamas sold shares ,The new port ,did you buy any ?? My family had shares in New prov ,develoment ,super value ,city market ,all which the public could have bougth ,,did you ?/
John 10 years, 6 months ago
No but I have family that works those places, does your family work?
B_I_D___ 10 years, 6 months ago
LMAO @ Colebrook...'How Sir Lynden Pindling pave the way for us...made opportunities accessible'. That right there is just TOOOO funny. He did not pave the way for anything except despair and ruin. He succeeded in making the education system one of the worst so that the general population are so ill equipped to move up in life. We have generations of under-educated and morally corrupt people from 'his' time in power that we are still dealing with the ramifications. Enlighten me...what did he accomplish that TRULY made this country a better place?
Emac 10 years, 6 months ago
Well I think the solution to the unemployment problem is simple. But those in the position to resolve this problem are too busy making themselves rich through crookedness. Most Bahamians fail to understand that illegals are the preferred worker over Bahamians. I know a company that has a contract for for an elite community in the West that has about 40 illegal immigrants employed. Yep those 40 jobs could be filled by young Bahamians who are willing to work. Please don’t get me wrong. I did not say work permit holders. I said illegals. This is just the tip of the iceberg of what is going on in this country. But I hope everyone is ready when the shit hits the fan. Soon Bahamians will find themselves second hand citizens in their own country. That’s all I am saying.
SP 10 years, 6 months ago
The senior Bahamas Chamber of Commerce and Employers Confederation making this report must also be a PLP operative just out to make the FNM look bad.
Bring back the chief puppeteers’ Brent Symonette and Lynn Holowesko with their master of disaster henchman Hubert Ingraham.
They will immediately continue with the Foreign National Movements’ policy to replace every Bahamian blue worker with Philippines’ and Latinos and white collar workers with Canadians, Americans and Europeans.
For the love of God pay no attention to the Department of Statistics report on the May 2013 jobless numbers.
As Loretta Butler Turners said as Minister Of Social Services "They have no choice except to bring in expat workers because Bahamians are totally unreliable and either alcoholics or drug abusers".
Secondly, Lorettas' good parents had the good sense to make dam sure she was THE ABSOLUTE BEST educated person in the country. Hence she is now amply prepaired to be the countries first female Prime Minister!
Vote the FNM back in. As all this talk about Bahamians first is proving to be......JUST TALK ANYWAY!
SP 10 years, 6 months ago
Blah, blah, bah, blah.....PLP STOP TALKING and get rid of the 25,000 blue collar workers brought in by the FNM!
That would cut the unemployment rate back to around 8% where it should be.
SHUT UP AND DO SOMETHING SENSIBLE FOR A CHANGE!!
TalRussell 10 years, 6 months ago
My Dear Comrades of all colours of them political parities T Shirts. Bahamaland is being lost, if not done lost, and we do nothing about it? Allow me to be blunt. After tuning into 96.9 Guardian Radio where it seems they're constantly featuring "unpaid" Fun in the Sun promotions for the Turks & Caicos islands, along with endless "Haitian creole" radio spots, I wasn't sure if I was still in Bahamaland or not? Sadly, neither major party seems to understand the reality of what is quite visible, even for a blind Blake to see. Some'tin has gone wrong in we Bahamaland!
John 10 years, 6 months ago
Even though a worker may move from being a" discouraged" to being 'encouraged' it does not bring him from 'unemployed' to being 'employed'. Unfortunately, because our country does not do enough internally to generate economic activity, exclusive of the United States or other world markets, our economy will depress to an even grater depth as the world economy declines. Persons normally look at a recession as the "Bad Guy", that comes to create unemployment, to cause persons to lose their homes to banks because of mortgage defaults, cause businesses to shut down and otherwise cause hardship in the economy. But a normal recession is more like a policeman or a tool of correction that comes to set the economy right. It should cause inflated prices to be normalized, overly paid workers to have salary adjustments, more availability of goods that may be in short supply and prevention of economy burning up due to a too rapid rate of growth. just remember a few short years ago, Bahamians were servants to everything except God. They were buying brand name shoes and clothing like there was no tomorrow, little children were going to school with $800 cell phones and some people didn't even cook anymore and ate all their meals 'out". Well there was divine intervention to stop humans from self destructing, and because the false economy of illegal drugs, counterfeit money, human trafficking, counterfeit products, false credit and mortgage scams, became so entrenched in the normal economy that the regular economy virtually disappeared. Couple that with the fact that the battle in the United States, the most powerful economy in the world, to make its first Black president a failure has fueled and deepened the recession. So job creation is very difficult, because even though banks in some jurisdictions have reduced the interest to a negative amount, meaning they actually charge wealthy persons to keep their money in bank accounts, these persons refuse to take their monies out and invest in the economy. Beside this you see little or no downward movement in prices, if fact gas prices have only recently started to come down after skyrocketing and, while the price of produce has come down, food prices, especially meats have increased. While many were blaming the road works in New Providence, for the closing of many businesses, these works actually prevented the economy from deepening to the level it is today That along with the airport works, the hospital extension and Bah Mar.. Unfortunately the present government does not have resources to inject additional capital into the economy, if not to jump start it, to at least keep it afloat until the world economy rebounds. Unless there is light clearly visible at the end of this tunnel, it may even be unwise for government to engage in any additional unnecessary borrowing to pile more debt on top of debt. So the questions still remains WHAT DOES THE GOVERNMENT DO?
concernedcitizen 10 years, 6 months ago
Theres not much the government can do we shot all our bullets on infastructure during the worst of the recession ,now the kitty is empty .Also during the recession travellers looked for better value ,less expensive , vacations .That is why DR,s ,Cubas ,Jamaicas Stopover visitors has increased and ours has decreased . Unless the U/S global economy starts to cook at 5 to 6% growth we are in for a rough ride ..All our hopes are on if Baha mar can get the asain money here or are the chinese gov , content w/ just buying our vote in the UN
John 10 years, 6 months ago
The first common sense and basic thing to do was look at ways to reduce our imports and any other leakages to the economy. We have a 5 million tourist economy: Look sensibly at ways to get the farming industry back into production. Both conch and lobster (and some scale fish) are already under pressure from being overly fished or overly harvested. Inter-island trade can be better developed, where goods and services produced on any one Bahamian island is given priority to imports and a swift, efficient and reliable system of transport is developed to move goods throughout the Bahamas. Mailboats are already in place and it is just a matter of logistics to ensure that once these products arrive at their destination, they are forwarded to the consumer in an efficient manner. Government who continue to be oversize and bloated throughout the recession is going to have to right size itself to be properly proportioned with the private sector and the number of people it serves. Even though many will say this will generate more unemployment, if government cannot grow the economy to match the current size of it must reduce its own size, executive branch included. And yes we cannot grow the local economy effectively while we allow foreign entities to come here and operate under 100% foreign ownership. Some of the profits must remain in the country. Some ownership of multi-national companies must remain in Bahamians hands. Then they can be empowered to invest in smaller businesses and continue to grow the economy. It makes foolish sense (nonsense) to have mega resorts like Atlantis on Paradise, or Bah Mar in Cable Beach, or Lucaya in Freeport, or Sandals in Exuma and the resorts in Bimini, and the average Bahamian still cannot pay his light bill.
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