Most sugar workers turn out, LBI still facing strike

Sugar workers at the La Bonne Intention (LBI) estate continued their strike action yesterday, even as workers on other estates resumed work.

On Wednesday, the Guyana Agricultural and General Workers Union (GAWU), the main union for sugar workers, called its workers out on a national strike over what it deemed to be GuySuCo’s high-handed approach in the ongoing wage dispute.  The union, however, called off the strike on Thursday.

Komal Chand
Komal Chand

President of GAWU Komal Chand said yesterday that workers at the LBI estate were protesting the failure of GuySuCo to set a production target for the workers for this week and explained that this would have prevented them from achieving the weekly production incentive (WPI). He said that this was one of the main reasons why the workers on this estate initiated strike action on Tuesday.

On Tuesday, GuySuCo pulled out of wage negotiations with GAWU after the strike action by the LBI workers. The Sugar Company stated that it would not negotiate under duress. The rest of the industry then went on strike.

According to a press release issued by the Sugar Corporation on Tuesday, “the decision to withdraw from the talks is in keeping with standard Industrial relations practice which dictates that discussions should not take place in an atmosphere of duress.”

The release said that “this position stems from the fact that a section of workers attached to the LBI Estate resorted to strike action to vent their disapproval of the Corporation’s wage offer for the year 2009 among other issues.”

Chand said yesterday that GAWU is hoping to meet with GuySuCo early next week to continue discussions on the wage negotiations. He said that they were approaching these discussions in an open way and were hoping that the Sugar Company demonstrated a similar intention.

Chand, when quizzed about the loss that the strike would have cost the industry, opined that it would not have been that catastrophic. He said that if the cane remained in the ground for an extra day or two without being cut this would not lead to significant losses since the same value of cane was there.

Meanwhile, GuySuCo’s Communications Officer Romel Roopnarine said yesterday that the company is still assessing the loss suffered by the company due to the strike by the sugar workers.

However, he said that on average the company produces 9, 500 tonnes of sugar over a five-day period, with each tonne priced at about US$ 450. Based on these figures the value of sugar lost over the last two days may be approximately US$ 1, 710,000.

GuySuCo’s financial position continues to be grim and its management has stated that it can ill afford strikes by its staffers. During a press conference on Wednesday, its Chief Executive Errol Hanoman noted that last year the Corporation suffered a loss of $4 billion and owed banks $3 billion.

He further stated that at the end of September 2009, the company owed the banks just over $5 billion and the loss for this year is projected at $2.5 billion. Chairman of the Board of Directors Dr Nanda Gopaul at that same press conference said that, inspite of its challenging financial position, management was willing to have wage negotiations with workers while normal work took place on the estates.

Roopnarine yesterday said that the sugar company is looking towards continuing their discussions with GAWU.
He stated that the company is willing to meet with GAWU representatives on Tuesday but said that when the two entities meet is also dependent on the Ministry of Labour. Stabroek News understands that this meeting will most likely take place on Wednesday.