Gov’t appeals to sugar workers not to strike

The government yesterday appealed to sugar workers not to go on strike, while maintaining that wage talks currently being demanded by their unions cannot begin now as a 10-year road map is being devised for the industry.

The appeal was contained in a statement from the Office of Prime Minister Moses Nagamootoo, which also warned that no more bailout money is available from the state for the beleaguered GuySuCo.

The statement came in advance of a key Guyana Agricultural and General Workers’ Union (GAWU) General Council meeting today, which could lead to a second industry-wide strike in as many weeks.

GAWU had warned last week of another potential strike being called if there was no movement on the wage negotiations.

Prime Minister Moses Nagamootoo
Prime Minister Moses Nagamootoo

GAWU, the National Association of Agriculture, Commercial and Industrial Employees (NAACIE) and the Guyana Labour Union (GLU) have been pressing GuySuCo to begin negotiations on wages and salaries, while the corporation has been urging patience as a plan for the industry is being developed.

In response to the government’s appeal yesterday, GAWU President Komal Chand told Stabroek News that he expected that it would be considered by workers but he did not want to preempt today’s General Council meeting.

“Knowing the workers for so long, they will take note of the letters but they will be strong on this issue,” he said as he noted that any decision would be the will of the sugar workers.

“…Maybe we should not preempt what the people on the ground, that is the team from the respective estates, rank and file, what will be their position—whether they want to strike or not. They will report on what the sugar workers want and what is in their best interest. What I can tell you, though, is that this week, what we have been getting is that the workers are saying, ‘We ought to be given an increase. Other government employees got increase,’” Chand stated.

“I have had a very long relationship with the sugar workers and I know that such an appeal to them will be considered. However, I must tell you that what will be uppermost in their mind is that they are entitled to increase in pay. They should not be treated differently,” he added.

Komal Chand
Komal Chand

However, the statement issued yesterday by the Prime Minister’s Office warned of the implications of strike action by workers, while saying the government finds the agitation, mainly by GAWU, for workers to engage in strike action to be most disturbing.

“Such action could cripple operations and close down the sugar industry. This is especially alarming and regrettable now that efforts are being made to breathe life into the industry,” it added, while noting that for the first time in years the industry has reached and surpassed weekly targets.

It also said the government encourages sugar workers to remain committed to their jobs and, with the holiday season approaching, to earn as much as they can before the current crop comes to an end.

The statement said government has been looking at all options to revive the industry and it noted that it is analysing the interim findings and recommendations of the Commission of Inquiry (CoI) into the sugar industry.

“GAWU as an integral part of the CoI ought to know that industrial agitation is not an option at this time,” it said, while also urging that all sugar workers and their unions to aid in rescuing the industry and to partner with management for its recovery.

According to the statement, after a mere five months in office, the coalition government is seeking to put a 10-year road map and action plan in place to return the industry to viability and as a result it would be “ill-advised and indeed premature” to commence wages talks before the plan is considered. “Unions that seek to drag the sugar corporation to the table to do so are obviously pursuing a political agenda which unfortunately is not in the interest of sugar workers,” it added.

The statement also blamed the former PPP/C government for bringing the industry to almost total ruin.

The CoI’s interim report, it noted, has confirmed the poor and declining state of GuySuCo as a result of political interference, poor management and squandermania. It further pointed out that between 2009 and 2015, GuySuCo not only failed to make a profit but suffered estimated total losses of $67.8 billion, and when the last administration left office, the corporation’s debt burden stood at $82 billion.

According to the statement, due to GuySuCo’s virtual insolvent status under the former regime, taxpayers were forced to dole out $28 billion in the last five years alone (2011 – 2015) to keep the sugar industry afloat. It further said that with its debt load of $82 billion and an expected $5 billion needed for capital investment together with anticipated further bailout in 2016, any strike action in the industry would bring sugar finally to its knees. As a result, it appealed for the understanding and the full cooperation of all sugar workers at “this time of great peril” to ensure that production targets continue to be met. “It is government’s view that any industrial action at this time will place the industry into further jeopardy. Government is regrettably unable to increase the bailout package above the $12 billion for 2015 and strike action will not change this reality,” it said.