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Business to resist ‘heavy handed’ labour law reform

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The private sector will resist any “heavy handed” move to impose the proposed labour reforms on it, the Chamber’s chief executive yesterday warning they were “not sitting well” with the business community.

Edison Sumner told Tribune Business that the Chamber would “take issue” with any attempt by a single party on the National Tripartite Council to force through far-reaching legal changes.

Emphasising that the private sector would likely submit alternatives to the proposals now before the Council, he added that it was also seeking to meet with Shane Gibson, minister of labour and national insurance, on the matter before providing a full response.

“Overwhelmingly, we’re finding that the response is that we cannot allow there to be any heavy-handed approach by the Government or the trade unions to pass legislation without having proper consultation done,” Mr Sumner told Tribune Business of initial private sector reaction.

“The recommendations in the proposed changes are not going to sit well with the private sector. You’ll find private sector companies will be resisting these proposed amendments to the Employment Act.”

The Christie administration wants to make it mandatory for employers to provide two months’ (60 days) notice to itself and the relevant bargaining agent (trade union) whenever they are about to make 10 or more workers redundant, with failing to do so becoming a criminal offence.

And, joining this proposal in the “emergency legislation” the Government wants to bring to the House of Assembly by September 30, the Government also wants to remove the Employment Act’s existing ‘12-year cap’ on severance/redundancy pay.

The latter move, in particular, has long been demanded by Bahamian trade union leaders, while the ‘advance redundancy warning’ measure appears to be a “knee jerk” reaction by the Government to Sandals Royal Bahamian’s termination of its 600-strong workforce.

Yet the proposals have horrified employers, who see them adding “astronomical costs” and excessive ‘red tape’ and bureaucracy to their operations - and at a time when many companies are already struggling to survive or avoid downsizing.

Mr Sumner suggested that the Chamber, and wider private sector, would have great difficulty with either the Government, trade unions or both attempting to ram the proposed changes through into law.

“The approach of amending the laws at the behest of one particular group in the Tripartite cycle is one we will certainly take issue with,” he told Tribune Business.

Mr Sumner yesterday reiterated that the proposed amendments were “not etched in stone, and not made into law” - at least not yet.

He added that they would be further debated at the Tripartite Council, the body that comprises Government, private sector and union representatives, and which was created to assess all proposed changes to labour-related legislation.

In the meantime, Mr Sumner said the Bahamas Chamber of Commerce and Employers Confederation (BCCEC) was speaking to as many of its members and individual businesses as possible, in a bid to gain the widest possible feedback on the proposals.

Besides discussing the matter at Board level, the Chamber is also talking to industry groups, such as those representing interests in the hotel and financial services industries.

Mr Sumner said that while organisations such as the Bahamas Hotel and Tourism Association (BHTA) would have their own sector-specific concerns regarding the planned labour law changes, the Chamber was hoping to establish the strongest “consensus” position possible before finalising the private sector response.

He added that the Chamber was also consulting beyond the Bahamas’ borders, seeking advice and feedback from the likes of the International Labour Organisation (ILO), Caribbean Employers Confederation and the International Employers Organisation.

Mr Sumner explained that this was being done “to ensure there is a comprehensive response, and that it is not being done from a place of emotionalism; that there is reason and logic behind the recommendations we are making”.

“It’s important to cast the net as wide as possible in taking the views of the private sector,” he added. “At the end of the day, I’m sure we’re going to come up with what are reasonable recommendations to what is being proposed.

“It’s not going to be about rebutting what has been suggested or recommended, but providing alternatives and what we’d like to see if we’re going to amend the laws.”

Mr Sumner said the Chamber had already submitted a written request to meet with Mr Gibson on the proposed labour reforms, so that it could brief him on private sector concerns prior to providing its full response.

“The Chamber, as with any right-thinking employer, is always concerned about the welfare of workers in the country,” he told Tribune Business.

“Nothing we do is to the detriment of workers, but we must bear in mind that employers are running businesses. They have certain protocols and guidelines, and certain laws, they must follow to stay in business.

“When we look at changing any law that impacts business, we need to examine the short and long-term effects. If we are going to make laws that make it more difficult to do business in the Bahamas, we will have fewer businesses wanting to operate in this country.”

Mr Sumner also implied that the proposed labour law reforms could undermine the Bahamas’ drive to attract more foreign direct investment (FDI).

“That effort could effectively be threatened if we do not demonstrate that we’re a good place to do business,” he added, “a labour-friendly environment as well as a business-friendly environment.”

Comments

Economist 7 years, 7 months ago

Amazing how quickly they can come up with a law like this but can't produce a Freedom of Information law after 5 years.

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