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'BEC is at risk of breaking labour laws'

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Shane Gibson

By AVA TURNQUEST

Tribune Staff Reporter

aturnquest@tribunemedia.net

UNILATERAL changes to policy regarding sick leave benefits at the Bahamas Electricity Corporation will be in breach of labour laws, according to Minister of Labour Shane Gibson.

Mr Gibson explained that no employer can alter a

long-standing written or verbal contract without consultation, adding that labour disputes were a healthy part of the democratic process.

In an interview with The Tribune, Mr Gibson also took issue with the term “double-dipping”, a phrase used to describe the trend of getting both regular pay and NIB benefits while out sick.

Mr Gibson’s comments come amid a row between BEC chairman Leslie Miller and the Bahamas Electrical Workers Union over the decision to discontinue the practice of allowing unionists to collect sick benefits from NIB in addition to their full salary this month.

Last night, BEWU president Stephano Greene said that any changes made to pay slips next week will be without consultation, or agreement from the union, adding that one conciliatory meeting has been held on the matter thus far.

Although the practice is not enshrined in the BEC industrial agreement, Mr Gibson said: “Any organization that allows you over the years to keep your NIB, they can’t just come and decide one day that they’re not going to do it anymore, even if I tell you verbally or allow something to happen over time. If I hire you under those conditions, I cannot unilaterally change it.”

He added: “Whenever you can’t solve a difference you file a dispute, it’s why the law is put in place, that’s democracy. If I’m your employer and I’m trying to convince you to do something and I’m wrong, why do you think the courts are there? There are many different interpretations of the law and you are allowed recourse. It’s been working all these years, it’s nothing new. Whenever you have differences, you have recourse on any dispute that would arise out of the terms and conditions of your employment.”

According to Bahamas Public Services Union (BPSU) president John Pinder, as many as 20,000 public servants “double-dip” when on sick leave. Mr Pinder said the system was costing the public up to $10 million extra a year and created the potential for massive fraud.

Earlier this week, Mr Green said the union would give Prime Minister Perry Christie a chance to override Mr Miller’s decision before taking legal or industrial action.

The sabre-rattling by the BEWU comes after Mr Miller issued a corporation-wide memo telling staff they will no longer be allowed to collect from National Insurance for certain benefits, such as sick benefit, while being paid by BEC.

Mr Miller said beginning November 1, BEC employees will no longer be allowed to “double-dip” by collecting both NIB and their full salary.

Comments

TalRussell 11 years ago

My Comrades know I kept no secret that it has always been my personal viewpoint that this man was one of four who regardless of the political party's colors should never have been allowed to run for a House seat, much less be invite to rejoin the PM's cabinet. I've said enough already. Two of these House MP's are always in the news battling someone or something. Why, why PM did you have to inflict such unnecessary pain in the backsides of your Bahamalander's? PM do you no longer hold an ounce of respect toward us?

Tarzan 11 years ago

Tal as far as Mr. Gibson is concerned, you have it on the nose one more time! Mr. Miller is doing what he can to bring sanity to this situation. The power rates in Bahamas-land are breaking the back of the economy while the government loses millions, and yet no one supports Mr. Miller's efforts to enforce efficiencies. Unnecessarily high electricity rates are killing jobs and opportunity for our youth. Does Mr. Gibson care? Of course not. He cares about the votes of a special interest group.

ThisIsOurs 11 years ago

And the fox continues to guard the henhouse.

There was some talk earlier this week that this "benefit" was in their contract, that has now been dispelled by today's editorial and by Mr Gibson. This practice is against NB policy and it is against BEC policy. This is what happens when someone who neither understands legality, ethics or professionalism is in charge. Anything that benefits "me" goes. THIS IS ILLEGAL MR GIBSON, as far as I'm concerned (and I'm assuming any court of law) the participants could all be arrested for committing fraud. It is in opposition to the NIB contract.

Anyway, while we're on this track pissing our country away, please release all the drug kingpins from prison, at least let all the poor neighbourhood kids get a bicycle this Christmas and tuition and books in January. They'll be high on coke by 16 but hey, the drug king pins have been saving Christmas for years, why stop now?

ThisIsOurs 11 years ago

Excuse me but isn't company policy a written communication? Different for practice? The policy may be work starts at 9AM, but practice that everyone shows up at 10AM. When the employer puts down their foot and says I need everyone to be here at 9AM sharp, no one can take him to court and say, but we've been coming at 10AM for years.

Does BEC have a written policy, communicated to staff that says they will be paid for sick pay and they can claim NIB. I seriously doubt it, it's the height of silliness. We need to get rid of this wickedness in high places.

john33xyz 11 years ago

Gibson would say you are requiring them to work an extra hour for the same pay which in effect lowers their effective per hour rate. That is a breach of "verbally communicated" contract.

ThisIsOurs 11 years ago

Yeah he would. But 9AM to 5PM is in the contract and no one would have told them the new hours are 10 AM to 5PM.

TalRussell 11 years ago

While no human being other than union works at BEC would take the idea of Comrade Shane seriously, it must be treated as an attempt by this minister to legitimize an double dipping salary program that goes beyond human greed. This is an economic terrorist attack upon the people's public treasury. Have you no shame, Shane?

Onlooker 11 years ago

You would think that the Minister responsible for NIB would be aware that the benefits section the NIB website says the following:

If full salary is paid while an employee is on sick leave, does the employer have the right to request the Sickness Benefit cheques paid by National Insurance? Yes. The employer is empowered by law to adjust his/her employee's sick leave pay to take into account the benefit payment/s received from National Insurance. So, if a worker receives full salary while on sick leave, then the employer has a right to adjust the salary either by deducting the difference National Insurance paid, or by requesting the Sickness Benefit cheques. Does the employer have the right to find out what the employee received as Sickness Benefit? Yes. The National Insurance Act, Chapter 320 Statute Laws of The Bahamas, directs the National Insurance Board to comply with any reasonable requests made by the employer in terms of his/her employees' benefits.

1voice 11 years ago

I agree with you and the National Insurance Act speaks to an employer not taking out an employee's contribution while they are incapacitated from work. But with government employees, the contribution is taken out regardless of whether or not you are on sick leave.

I have attached the following snapshot of the regulation:

http://tribune242.com/users/photos/2013…

john33xyz 11 years ago

Newly hired govt employes are not allowed to take one week's vacation after six months service, like the law says all employees in the Bahamas can do. They have to work their first year without any vacation.

bahamian242 11 years ago

That is correct Onlooker! Leslie Miller take note!

john33xyz 11 years ago

Perhaps Mr. Miller can take a different tack - in light of the threat of power shutdown. He can publicly say that "Obviously the BEC union has the country's head in noose, and not wanting to see my country hang by the neck - I hereby recognize the lofty authority and superior value of BEC employees - and therefore now ORDER that BEC employees on sick leave will be paid DOUBLE-TIME from BEC and also be allowed to collect their NIB benefit - in effect changing double-dipping to triple-dipping - because if they are allowed to double-dip - then why not triple-dip. This policy will take effect as of Dec 1st."

John 11 years ago

You would have to wonder what is Shane Gibson's intention for attempting to muddy the waters where BEC employee's are clearly benefitting from what is a legal 'mistake' in their contract or from a situation that was not the intention of their agreement with BEC. In either event it does not take both parties to stop the actions of the agreement. The aggrieved party has the right to discontinue the benefits until a new agreement is reached, and Shane Gibson knows this. Now one starts to wonder about the fire that destroyed NIB files and what exactly was burned....Why would Shane attempt to stop Mr. Miller putting an end to a situation that is costing the government millions at a time when they are crying out all sides of their mouth for money

9“Warning: If you are reading this then this warning is for you. Every word you read of this useless fine print is another second off your life. Don't you have other things to do? Is your life so empty that you honestly can't think of a better way to spend these moments? Or are you so impressed with authority that you give respect and credence to all that claim it? Do you read everything you're supposed to read? Do you think every thing you're supposed to think? Buy what you're told to want? Get out of your apartment. Meet a member of the opposite sex. Stop the excessive shopping and masturbation. Quit your job. Start a fight. Prove you're alive. If you don't claim your humanity you will become a statistic. You have been warned.” ― Chuck Palahniuk, Fight Club

ThisIsOurs 11 years ago

Mr Gibson says it's not in the contract. Its therefore a legal misinterpretation. His argument is that because the employees have come to expect these fraudulent receipts you can't just take it away all of a sudden.

I'm not a lawyer and stand to be corrected but it seems like a silly argument to me. Didn't he just say the other day that in review of NIB operations that as they found unethical practices, practices that had gone on for years, they were cutting them out?

Based on his argument no Bahamian in arrears should be required to pay real property tax. No business behind in NIB payments should be required to pay that either.

(Fight club?)

John 11 years ago

Since criminals come to expect that they will not be arrested and charged with serious crimes, even murder, the police should not waste their time or our resources bothering criminals right?

ThisIsOurs 11 years ago

What Shane Gibson and Mr Greene fail to realize, (or maybe they do), national insurance is not medical insurance. You don't go to the pharmacy and claim national insurance to offset your prescription bill. National insurance was started to cover lost wages due to sickness. If the employee receives full wages when sick no national insurance does not kick in. At least try to be honest stewards....maybe that's asking too much

ThisIsOurs 11 years ago

Is this why his constituents vote for him? Because he games the system for them? "Helps them out"? How many houses in that constituency are receiving money from the UR small homes project, what do those houses look like now? Are they dropping down in need of repairs or does someone just want nicer windows and new paint?

TalRussell 11 years ago

Just because you happen be a member of this government, or are accepting a workers paycheck from the government, shouldn't stop you from breaking the law of decency, if not legality. This BEC double dipping thing awakens all of us as to why the numbers 'bosses," despite the verdict of the voters, are allowed to conduct business in plain view of the government of the day, and policeman's. Even a member of the House is a self-confessed "gambling" customer of a web shop. Things just like the old times, before the referendum. They too plead Bahamalander's likes play their numbers, legal or not, cause they is use it. What an example to set for our young people. Don't like a law, then damn well break it. After all, it's the new Bahamalander way. Thanks PM!

JohnDoe 11 years ago

Where is the leadership or just simply the adults in this government? If this is the position of the labor Minister then why is it that the PM has not instructed the AG to get involved in this issue. Of course one of the reasons can be that this issue is not really important to the PM, merely a red herring so that the public would not focus on the larger BEC issues that are occurring behind the scenes.

akbar 11 years ago

In retrospect I think that law needs to be changed. How can someone take back what I have already contributed to. NIB is an insurance. When you of sick it doesn't pay your salary it is designed to be a supplement to your salary. Its true intent ( that's why it is contributory) is that in a case where an employee is incapacitated the extra funds would help with things such as medicine, doctor visit etc. This is an contributed insurance. No one giving you anything, this is what you already contributed to. BEC is in the state it isin because it doesn't want to renegotiate its fuel bill with FOCOL, who has more than its share of political croonies on its board. One thing I does listen carefully what people say. The Chairman himself on a talk show said that "employees benefits account for about 1 million dollars"..... so what is accounting for the other $280 mill + losses. You watching the mouse but obviously there is an elephant in the room no one wants to talk about. All this is just a smokescreen Mr. Miller and Mr. Greene trying to protect their jobs by running on with this in front of potential investors. Get on with the PRIVATISATION and stop all those clattering empty noise. So we can stop this political interference in this corporation and curtail some of these over ambitious wanna be politicians, union leaders.

ThisIsOurs 11 years ago

"Its true intent ( that's why it is contributory) is that in a case where an employee is incapacitated the extra funds would help with things such as medicine, doctor visit etc."

WRONG, WRONG, WRONG (sorry about those caps)

NIB is NOT medical insurance, if it were the company would not be paying for a medical plan. NIB is not meant to help you with your prescription or doctor's bill. NIB is insurance against lost WAGES. So you are paying contributions so that in the event you are sick, and you have exhausted your paid sickness benefit from your employer, you would still receive "some" of your wages.

The current argument by Mr Greene i.e., "man in hospital worried about medical bills" is deliberately meant to muddy the waters. One has nothing to do with the other. Certainly if some generous benefactor came along and gave me a cheque for 60% of my salary when I was sick, I "could" use that money to help with my hospital bill. But that's not what NIB is.

The argument actually makes no sense. We know people are already gaming the system, they get a letter from the doctor because they simply do not want to go to work. If you then have a rule that says when you are sick I will double your salary, what do you think people will do? It flies in the face of what insurance is, insurance NEVER restores you 100% much less 100+%. It does incentivize you to bring about the insured against event. (e.g. No insurance company pays life insurance for a suicide. Or fire insurance if you poured the gasoline)

In reference to "this is what you paid for". Do you pay car insurance? Fire and theft insurance? Hurricane insurance? Life insurance? If none of those insured against events happen, can you go to the insurance company and ask for some of your money back? NO. That's why it's called insurance. There's a risk that something bad could happen and you pay a fee to the company for them to watch for that risk and to restore you PARTIALLY to your original position (well, except life of course)

You've lost sight of what the insured against event is, it is Lost Wages. If you are receiving full pay, the insured against event has not happened, so you are not due any insurance money.

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