The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The One & Only Ocean Club yesterday effectively confirmed it is the Paradise Island resort identified as the one which may lay-off some employees, but promised: “Any changes will be minimal.”

Kerzner International, the luxury resort’s operator, released a guarded statement that seemed to be a response to comments by Shane Gibson, minister of labour and national insurance, that a Paradise Island resort set to undergo renovations was contemplating staff redundancies.

Using heavily-coded language, Kerzner International said itself and the One & Only Ocean club owner, Access Industries, were unable to give details until they had met with the Government and the hotel union.

It added that the planned upgrades were “critical to the continued success of the resort, and the long-term sustainability of hundreds of Bahamian jobs”.

“As soon as we have finalised plans, and have met with both key government officials and the union about these plans and related impact, we will share further details,” Kerzner International said. “Any changes will be minimal.”

John Conway, the One & Only Ocean Club’s general manager, did not return Tribune Business’s calls seeking comment.

This newspaper revealed yesterday that Mr Gibson was likely referring to is the One & Only Ocean Club, which was purchased last year by Access Industries, the conglomerate owned by Ukrainian billionaire, Len Blavatnik.

Kerzner International confirmed in its statement yesterday: “Access Industries and Kerzner International have been planning for a significant renovation of One & Only Ocean Club, and working through the approval process with the Bahamian Government.

“The renovation of One & Only Ocean Club to upgrade facilities is also being complemented by investment from One & Only as the management company, in training programmes to improve the future growth of team members and the overall service quality expected by today’s discerning travellers.

“These upgrades and improvements are critical to the continued success of the resort, and the long-term sustainability of hundreds of Bahamian jobs. Our long-term commitment remains to work closely with the Bahamian government and the Ministry of Tourism to safeguard the future of the resort and Bahamian employment.”

The hotel union on Tuesday said it knew nothing of impending lay-offs on Paradise Island.

However, Prime Minister Perry Christie, in closing the mid-year Budget debate, confirmed that Access Industries had plans for a $50 million expansion of the One & Only Ocean Club.

He said: “The first phase will include a $12 million renovation of the Hartford Wing this summer, with 35 construction employees, adding $1.2 million in taxes through VAT and Business Licence collections, and will maintain current levels of employment of 435 staff following the renovations.”

And Mr Conway previously told Tribune Business: “Everyone knows it’s an old wing and needs to be updated to make it really spectacular again.

“Right now we are open and budgeted for a full normal year, but there is serious discussion about what if we keep the resort open and take those rooms off-line for renovations some time in May 2015 through October 2015.”

Taken together, the comments by the Prime Minister and Mr Conway indicate that any lay-offs, if they do happen, will likely be temporary.

Mr Conway previously added: “The new owners certainly intend to put money into the property over time, and one of the projects is the Hartford Wing.

“If we go ahead it would be pretty thorough. It would be a very expensive full bring back. They’re even talking seriously about making the rooms significantly larger.”