The Tribune

By KHRISNA VIRGIL

kvirgil@tribunemedia.net

WORKERS at City Market have raised concern over the security of their pension funds as the store approaches an impending closure.

Whanslaw Turnquest, the foodstore chain's chief inventory auditor, said yesterday that staff now fear that the pension fund, worth millions, might have been depleted.

He said employees have no choice but to believe circulating rumours of what might have happened to the money as the owners remain tight-lipped on the company's fate.

City Market employs 400 persons.

Referring to notes from a consolidated financial statement for the year ended June 28, 2000, Mr Turnquest said the fund was worth $21 million in 1999.

He said: "It has been said that our money isn't there, if not, why isn't it? In 1999, there was $21 million."

The Tribune last night learned that the fund should be valued at more than $40 million given the more than 10 years since it was last reviewed.

Attorneys representing the line staff and management have also sent a court order to external auditors, KPMG to release all financial records from 1983 to 2007.

"We are now trying to establish how much money should have been there and the interest on it. If the money isn't there, we want to know where it went and who signed off on it."

KPMG served as the custodian for the fund during that time.

Mr Turnquest said there is now widespread speculation among employees that the pension money could have been used to purchase store equipment.

"We have documentation verifying that the pension fund actually purchased equipment at several of the store locations. So before the company can actually be sold they cannot sell that equipment because they were purchased with retirement fund money."

Last night managers and employees met at the Central Church of Christ, Yellow Elder Gardens, to discuss many issues, including electing new board members.

The group also raised concerns of severance pay packages, outstanding vacation pay compensation as well as unpaid salaries.

On Tuesday, Rosalie McKenzie, Bahamas Commercial Stores, Supermarkets and Warehouse Workers Union (BCSWWU) administrator, said talks of an impending closure of City Market's four remaining stores, had employees worried they would be left without compensation - especially as some of them have not been paid for three weeks.

Reports of a possible closure circulated earlier this week following reports that Mr Finlayson, principal of 78 per cent majority shareholder, Trans-Island Traders was negotiating with two separate international groups over the purchase of a majority stake in the struggling five-store chain.

Speaking with Tribune Business on Monday, Mr Foulkes said he was "very concerned" about the job security for City Markets' remaining 400 employees.