Training of locals should be built into arrangements between the country and companies like Exxon

Dear Editor,

I take the informed view that Government should not have to mandate training initiatives in a company, especially a foreign company operating in the local economy. Training should be built into the arrangements between the company and the country, and the government’s role should be as enforcer. If we look back at many of the contracts under which foreign companies operated in Guyana during 1980s and 90s, we would see that a training component was present in each. The provision of training programmes for new or upgrading skills benefitted both, the company and Guyanese. The same kind or better arrangements should be expected today of Exxon or other foreign firms operating in Guyana.

The world is now engrossed in the idea that firms are increasingly becoming knowledge-based and network driven, and the impacts such innovations may have on the populace in specific contexts. Today, a nation’s welfare and competitive advantage depend heavily on tacit knowledge, skills and innovative capacity of employees. This emerging economy is characterized by the need for continuous learning of both codified information and the competencies in its use. Thus, individuals with high-relevance qualifications and training have a key role in managing and sustaining the ‘knowledge-driven’ economy.

Companies in America, Britain, Japan and elsewhere take pride in the training of their employees. In many of the huge corporations, as much as 20 percent of the budget was allocated for research, training and staff development. At job interviews, one of the first things that the interviewers would mention as part of the firm’s package(s), is the opportunity for training, both internal and external, to boost performance(s) and promotional opportunities.

In 2016, the law department at the University of Guyana had commenced preparation of new courses, and had submitted one on oil and gas to the relevant body for consideration and implementation. When I left in 2017, it was still receiving or awaiting attention. Further, I had asked Professor Pollard, who was at the time teaching International Environmental Law, among other courses, to attend discussions and public events organized by Exxon. Professor Pollard willingly attended and reported that he had twice raised the issue of training for Guyanese. He queried whether any plan(s) was in place and told the gatherings that given the imminence of oil operations, Exxon should indulge in training activities to prepare Guyanese for smooth entry into the emerging oil and gas sector. Exxon officials reportedly stated that training would come at a later stage. It would be interesting to hear whether Exxon has since  started/encouraged/paid for such training.

In a nutshell, all smart firms incorporate training programmes in their activities to boost performance(s). In some cases a firm may attempt to cut costs by downplaying a training component. The government’s role should be to ensure that training and skills upgrading are built into any contract/arrangements with companies, especially foreign companies, and act as enforcer on lagging entities.

Yours faithfully,

Ronald Singh