Dipcon agrees to pay over $5M in severance to former workers

- as complaints grow

Dipcon Engineering Services Limited yesterday agreed to start paying out over $5 million in severance it owes to 24 former employees by the end of next week even as complaints continue to be made against the company to the Occupational Safety and Health Department of the Ministry of Social Protection.

As Junior Minister Simona Broomes was finalising the agreement in her Brickdam office with company officials yesterday, she learnt that there were a group of aggrieved employees outside.

The group, made up of six current and former workers, was later invited to join the meeting, where it was revealed that some of them were not among those who had previously filed complaints with the ministry.

During the meeting, which lasted for close to an hour, Minister Broomes assured them that she is working hard to ensure that all those who are owed get their money. She said complaints against the company were piling up.

According to the agreement signed by company officials and the ministry, $1, 007,779 is to be handed over on October 9 so that the payments can begin.

The 24 employees that will benefit were from a list of 50 names which had been submitted by the company to the ministry.

The employees are owed a total of $5,038,896. The full and final payment is to be paid no later than December 4.

Any breach of the agreement will result in Dipcon being faced with legal action.

Dipcon has been awarded a number of large government contracts, including the East Coast and East Bank four-lane expansion projects, the construction of the Berbice Bridge approach road and the Hope Canal.

Broomes noted that every morning for the past two weeks she had seen a man outside her office and, after she inquired, she learnt that he was a former employee of the company and that he had lodged a complaint with the ministry.

Last Friday, she invited company officials to meet for discussions.

“When they came here and they start to put forward their difficulties, I said to them while I regret it, it had nothing to do with wages owed. They brought a list of 50 and those were just from the union with severance. Apart from those on the list, they have another 20 or 30 and you still have persons working who they owe money. You have persons who [are] not working who they owe large sums of money to and I said to them that they had to correct that,” she said.

She also told them they needed to return with a plan as Christmas is approaching and the ministry will not be closing the year with the complaints still unaddressed.

Broomes said the former employee who kept visiting her office got a cheque for $175,000 yesterday morning and will receive the remaining $205,000 owed to him. She added that there are some people who are owed as much as $1 million and other large sums as well as others who are owed small sums.

 

Accountable

Broomes said she wants to ensure all workers who are owed are paid. “We are going to hold the company accountable… because the workers have to be paid,” she said, while adding that it is a sad reality that persons would work to take care of their families but are not paid.

Broomes mentioned the case of a female security guard who often had to work two consecutive shifts while her two young children were left home alone because no one went to relieve her. “I think that is just so cruel. It is cruel. I cannot help but put it out there for persons to understand,” she said, while adding that people have been inspired to come forward since the change in government.

Outside of the initial payments for the 24 former workers, the company has given an undertaking to make additional payments. “Management did indicate that if they can make more payment money available at one time they will, because it is in their best interest to clear these monies off,” she said.

Broomes said she regretted that the company is unable to pay over all the money at one time so that everyone can be paid together. She stressed that government will be looking at legislative ways to address some of these issues affecting workers.

Former employee Eon Sancho, who said that he is leaving the country soon, expressed concerns about when he would be paid the $72,000 owed to him. “Do you think that would be fair for me to wait ’til I return back to receive the money or if I am still here to wait from now till to December? That is just $72,000,” the man said, while noting that he filed a complaint in June.

Sancho also spoke of the NIS and PAYE deductions that were never paid over to the respective agencies.

“The only thing I can ask for is for your patience [and] the company don’t give you this piece, piece money; that the company bring the money in bulk here, so that when we call you, you receive all that you [are] owed,” Broomes said.

Talesh Narine, whose employment was terminated in June, said management had promised to begin severance payments in one month. The man said that he had a bank loan to repay and a family to maintain.

“I needed to get paid. I owe the bank. What do I do?” a clearly aggrieved Narine told the minister. Clearly frustrated, he inquired whether the minister could communicate with the bank on his behalf. Broomes indicated that such an arrangement is out of her reach and his recourse would be to take private action against Dipcon.

Another former employee stated that he travelled from his home in Essequibo because he was informed that the company had received payments for the Hope Canal and East Bank road projects. However, Broomes contacted Minister of Public Infrastructure David Patterson, who informed that no money has been paid over to Dipcon.

The clearly frustrated man inquired about the complaints before the ministry and was told that the list of 50 names provided to the ministry represents severance payments for former fortnightly workers. His name was not on the list.

The two company officials then informed that they had another list of employees who are owed money. They were expected to hand it over to the ministry later in the day.

Mohamed Ishmile, who has been a nighttime security guard at the company since 2012, complained that he works a 12-hour shift but was told that he would only be paid for 11½ hours as he is given ½ hour for “tea.” Broomes, while advising that he make an official complaint with the ministry, informed him that the law states that the work period is eight hours with one hour for lunch. Anything outside of nine hours, she said, should attract overtime. He spoke of receiving less money when he collected his salary last Friday. Ishmile stressed that he has a school-aged child and is the sole provider for his family.