The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

The Trade Union Congress (TUC) president hasslammed the “draconian measures” proposed by Bahamian employers to penalise trade unions if they fail to file annual returns or become insolvent.

Obie Ferguson said private sector demands that non-compliant trade unions “cease to exist”, or have their registration cancelled, would breach International Labour Organisation (ILO) conventions.

Edison Sumner, the Bahamas Chamber of Commerce and Employers Confederation’s (BCCEC) chief executive, set out the private sector’s position in a December 20, 2016, letter to the director of labour, calling for the recommendations to be discussed by the National Tripartite Council (NTC).

The private sector has also recommended that a mandatory obligation be placed on Bahamian trade unions to create ‘a redundancy fund’ for their members.

Mr Ferguson retorted: “That is something I have asked for years; that there be a redundancy fund established for the workers by the employers.

“Now they are twisting it and saying the unions should do it. They want the union to create a redundancy fund but they don’t want the union to collect dues, so I don’t see how we can have a redundancy fund. It’s just amazing.”

He added: “This thing about annual returns, I don’t see how that makes sense. The employers should be responsible for paying VAT and doing an audit of the accounts, so that the Inland revenue will get the proper Revenue due to it from their business.

“They can’t just make demands of the union when they, on the other hand, have freedom. The ILO Convention 87 makes it very clear that there be freedom of association, which means that the Government can’t intervene in the internal workings of the union.

“We signed the ILO Convention 87 on June 14, 2001, and the Government accepted that. These draconian measures that they are trying to put on the union are against the ILO Convention, which we ratified in 2001, so I don’t know how far they will get.”

The amendments to the Employment Act and Industrial Relations Act initially proposed raising the redundancy pay ‘cap’ by two-thirds for both line and managerial staff, something the Chamber of Commerce has warned would “cripple and/or bankrupt most businesses” in the Bahamas, resulting in mass lay-offs and company closures.

Other planned amendments to the Employment Act require companies to give 30 days’ notice to the Minister of Labour and relevant trade unions if they plan on making an employee redundant.

Should they fail to comply with this, “they will be required to pay each affected employee 30 days’ basic pay in lieu of notice” in addition to what they are due under the law.