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Melia offers salary advance in lieu of gratuity payments

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

THE Meliá resort has offered its employees a salary advance option equal to three months’ gratuities calculated at nine per cent while accusing the Bahamas Hotel Catering and Allied Workers Union (BHCAWU) of having “little or nor regard” for the financial difficulties of its staff.

In a letter dated April 8, Andrew Tilly, the all-inclusive resort’s general manager, informed employees that despite having reached a verbal agreement with the BHCAWU on a three-month gratuity payment trial period, the union had at the “last moment” refused to sign off on the agreement.

“As a responsible employer, we cannot understand the union’s posture in this matter as their actions are not that of a responsible agent,” Mr Tilly wrote. “As such, we have no alternative but to wait for the Supreme Court to decide how the situation is to be handled. This can take many more months.

“While we have been waiting for the trial of the issues before the Supreme Court we became aware of the serious financial hardships this protracted situation has been causing to most of you. We are concerned because we know that we may not receive a ruling of the court for several months once the trial is completed.”

He went on to explain: “We proposed to the union that they agree a trial payment and distribution of gratuities on the basis of our proposal for a period of three months. This would enable us to immediately pay out to you three months worth of gratuities held in the escrow account.

“Although the union verbally agreed to this arrangement  and we prepared the payment calculations and were ready to pay the same, at the last moment and to our great disappointment, the union refused to sign a simple agreement  we had prepared acknowledging the intended payment.

“This latest decision makes it very clear to us that the union has little or no regard for your interest or the financial difficulties many of you may be experiencing.”

Mr Tilly’s letter stated that the resort could “no longer allow the union to continue preventing us from assisting you in this difficult situation”. 

Meliá will therefore offer employees a salary advance equal to the sum of three months gratuities, calculated at 9 per cent of the all-inclusive package costs which is presently being held in the resort’s escrow account.

“These gratuities will be distributed according to a formula that we proposed to the union and in our recent communication to the Director of Labour,” the letter stated.

BHCAWU secretary general Darren Woods confirmed to Tribune Business yesterday that Melia employees had been offered a nine per cent gratuity payment, although he explained that this was not something that the union had negotiated or agreed to.

“Our position is that we didn’t want to get involved and sign off on any agreement because we don’t know what amount of gratuities they are holding up to this point so we could not agree on anything. We could not agree for them to pay nine per cent when the employees are entitled to 15 per cent.”

The union and Meliá  are scheduled to head back to court over the gratuity dispute on April 30.

Comments

Cornel 9 years ago

I agree with the Melia GM. The Union does not care about it's members. Its time to get rid of Woods and the rest of the under performers at the union

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TheMadHatter 9 years ago

I'm glad they have finally presented their side of the story.

TheMadHatter

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