The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Government’s newly-announced work permit policies “will cripple our economy” if implemented, a former immigration minister warned yesterday, while its ‘no approvals’ threat to Freeport’s industrial sector would “shut Grand Bahama down full stop”.

Branville McCartney, the Democratic National Alliance (DNA) leader, urged the Government to reconsider plans to phase-out certain work permit categories within a year, telling Tribune Business he was “stunned” by the hard-line policy unveiled in the House of Assembly on Monday.

Responding to the Mid-Year Budget address given by Fred Mitchell, the current minister responsible for Immigration, Mr McCartney said his remarks were a potential deterrent to further investment in the Bahamas by new and existing businesses.

Urging the Government to reconsider its approach to the whole Immigration/work permit issue, Mr McCartney told Tribune Business that the policies outlined would both increase the already-high costs of doing business and “stagnate” the still-tepid economic recovery.

He argued that the Bahamas was “still very much a Third World country”, and regressive policies such as the type unveiled by Mr Mitchell would not help its aspirations to achieve developed country status.

And he also criticised Mr Mitchell for publicly singling out particular companies, by name, on the work permit issue, warning that this left “a bad taste” in the private sector’s mouth.

Among his House of Assembly pronouncements, Mr Mitchell said the Government wanted to phase out work permit approvals for foreign workers in jobs such as housekeepers/maids, gardeners and labourers within a year. Gemologists in jewellery stores were targeted for the same treatment.

The Minister also promised “substantial” fee increases for work permits and other forms of residency approvals, while slamming particular companies - especially those in Freeport’s industrial sector - for failing to hire qualified Bahamians.

“It is very concerning to say the least,” Mr McCartney told Tribune Business. “I was very stunned, shocked to hear that. I would strongly recommend that they reconsider this matter.

“I trust it’s just talk. I hope he [Mr Mitchell] doesn’t go through with it. It will cripple our economy. We don’t need that. Things are rough as it is. We don’t need any more handicaps.

“We need things that advance the country and move it forward. This will be a policy that will block progress in this country. From a business point of view, it turns persons away from thinking about coming to the Bahamas to work or invest. We have to look at the ramifications of that.”

While acknowledging the needs and aspirations of Bahamian workers, and that those qualified and wanting to do a job be given first preference, the DNA leader said no country in today’s world operated without using specialist expatriate labour.

Arguing that Bahamians could not build the country solely by themselves, Mr McCartney said of Mr Mitchell’s statements: “It’s almost saying only Bahamians can do the work.

“No developing country operates in that way. Look at the US, look at Great Britain, they’re melting pots. We have to be very cognisant of that. Not that we don’t want Bahamians to be employed, but let’s look at the reality - qualifications, number one, and whether they are willing to do the work.”

Asked by Tribune Business whether Mr Mitchell’s comments could deter both foreign direct investment (FDI), and expansion by existing and Bahamian businesses, plus ‘chill’ any economic recovery, Mr McCartney replied: “Absolutely. I can’t say it better than that.

“It is very challenging. It doesn’t cause us to move forward, to develop further, and it will stagnate the recovery - very much so.

“I’m involved in the law firm and several other businesses, and I know how it is from a business standpoint- how daunting it is. If government puts this policy in place, it will do more harm than good.”

As for the proposed work permit fee increase, which Mr Mitchell telegraphed as imminent in the House of Assembly, Mr McCartney added: “It will increase costs. It will turn-off persons coming to the Bahamas, and persons who can develop the Bahamas.

“It’s not only Bahamians who can develop the Bahamas. The country was not developed by Bahamians alone to-date.

“The cost of doing business is tremendous now. To place increased fees on the permits would again cause many businesses to be in a more difficult position, bearing in mind small businesses are the lifeblood of the economy. To place this financial strain on them causes the backbone to bend, and that causes a problem.”

Urging the Government to provide more incentives than prohibitive measures to the private sector, Mr McCartney also questioned why Mr Mitchell “singled out certain companies” over the work permit issue.

“I don’t think it’s the right way to single out companies publicly,” he told Tribune Business. “It puts a bad taste in the mouths of business houses, knowing they could be singled out.”

Mr McCartney said any concerns should be addressed privately by the minister or director of immigration with the companies and executives involved, with a solution “in the best interests of all” found.

As for the minister’s threat to reject all work permit applications in Freeport’s industrial sector ‘cold turkey’ unless firms implemented policies to hire and train Bahamians, Mr McCartney said: “It will close Grand Bahama down full stop if that were to happen.”

Urging the Government to be “realistic”, he added that prior to making such comments it should have done a workforce assessment to see if there were enough qualified Bahamians, able and willing, to hold all the positions referred to.

“You’ll find that’s not the case,” Mr McCartney told Tribune Business. “These blanket statements can be very concerning to these companies, and it will close Grand Bahama down full stop. Persons who those comments relate to are very, very concerned, and rightly so.

‘The Government should be in a position where they are encouraging growth, encouraging industry, and cause a speedy recovery of this economy, as opposed to making comments that will jeopardise our recovery.

“These comments do that. Locally and internationally. Think about it. We need foreign investors, foreign persons to come over. They’re going to need permits to come in and build. We have to be very careful with this.”

Mr McCartney said the economies performing well currently had a far more open work permit/Immigration policy, yet the Government was taking the opposite and “wrong approach to advancing our economy”.