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Uncertainty over govt policy on contract terminations

By RASHAD ROLLE

Tribune Senior Reporter

rrolle@tribunemedia.net

THE Davis administration’s policy on termination clauses for contract workers is unclear, with former Minnis administration officials saying they met a number of fixed contracts when they took office after the 2017 general election.

Critics have pounced on the fact that former Disaster Reconstruction Authority Managing Director Katherine Forbes-Smith had a contract with no termination clause, potentially leaving taxpayers on the hook for 26 months’ worth of salary in her agreement. Mrs Forbes-Smith recently filed a lawsuit alleging breach of contract. Mrs Forbes-Smith was appointed to the post by the Minnis administration.

Former Minnis administration officials told The Tribune last week such arrangements are used to entice qualified professionals who demand stability after leaving other opportunities to work for the government. Fearing political reprisals, people see contracts without termination clauses as a safety net, officials said.

One former senior Cabinet minister said the Minnis administration encountered a number of fixed term contracts without termination clauses at the National Insurance Board when it came to power in 2017.

“The contracts all had to be paid out,” the official said.

However Pia Glover-Rolle, Minister of State for Public Service, said all contracts issued by her ministry have exit clauses. In these cases, the government can terminate the “services of an officer after giving him/her three months notice in writing or on paying him or her one month’s salary in lieu of notice.”

However, Mrs Glover-Rolle noted yesterday that not all contracts are issued by her ministry.

“In fact,” she said, “there are contracts that come through social services, the Ministry of Youth, the Ministry of Education and definitely the DRA that don’t come through the public service. Anything that says authority, Airport Authority, Disaster Reconstruction Authority, they are their own body and so they handle all matters of their contract, human resources and the like. In some instances those agencies can contact the public service for advice on contract structuring, but they don’t have to.”

At a press conference last week, Press Secretary Clint Watson said administrations must become “well learnt” about best practises when it comes to contracts.

“We always think about what’s good right now and not what’s good countrywide and that’s unfortunate in the past administrations,” he said.

“Prime Minister Davis has been very clear that it’s not about self, it’s about country. He is adamant I should say about that, that we do what’s in the best interest of the country and while of course we have to present contracts that are attractive to people who are skilled and qualified and we need their work ethic and their work ability in government, we still have to do what’s prudent for the country and it’s a discussion that’s going to be had.

“I reached out to the Minister of State for Public Service, Pia Glover-Rolle, and we’re gonna have a conversation on it and find out what is the trend of thinking and whether that’s going to be built in. So give us about two weeks and we’re gonna come back and say if that’s going to be specifically built into contracts and whether it has already or whether people are still continuing with these clauses that are quite strange.

The Office of the Attorney General likely has ultimate oversight over policy regarding government contracts, not the Ministry of Public Service.

Mr Watson suggested his contract has a termination clause.

“I know for my colleagues and I, we don’t have (special privileges) in our contract,” he said. “We have what’s called normal contracts, normalised contracts but we don’t have those special luxury privileges. From personal experience, I can disclose that don’t exist with me and I know several of my colleagues but as for whether it’s a policy across the board, I’ll get back to you on that.”

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