The Tribune

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

A Cabinet minister yesterday said the Government was mulling whether to implement National Insurance Board (NIB) rate increases that have long been put off.

Brensil Rolle, minister for the public service with responsibility for NIB , said increasing the rates has “always been in discussion”. He added: “All of the previous directors have been pushing government to do just that. The Government has not made that determination, though.”

"We have got to take into consideration that during Dorian and this pandemic, the resources and the funding to the Board has been diminished. We've got to make a decision to make sure the Board continues to be able to serve, and that may mean consideration will be given to the recommendation that has been advanced to us many, many times by actuaries.”

Mr Rolle said any conversation over an NIB rate increase needs to have a “national scope", and the Bahamian people must be involved in the decision. NIB contributions, which take the form of a payroll tax, are currently split 3.9 percent/5.9 percent between employee and employer, respectively.

Peter Goudie, the Bahamas Chamber of Commerce and Employers Confederation's (BCCEC) labour specialist, told Tribune Business that increasing NIB’s contribution rates had been discussed for many years. He pointed to a Blue Ribbon Commission that was created to look at the issue, where it was decided that the rates needed to be increased.

“Now is not the right time to try it," he warned, though. "Maybe next year would be a better time.”

Mr Rolle also spoke to reporters about the continuation of unemployment benefits, adding: “Government took the position that that benefits would go through the month of January. We did say that we will evaluate early this year, meaning this month, and a further determination will be made, but the Government has been taking the position that it can offer assistance up to January.

“From what I see in the numbers, it means the Government would have directly given to the Bahamian people or transferred back to the Bahamian people benefits in excess of $100m.”

Mr Rolle also responded to concerns about furloughed Baha Mar employees not receiving their $100 weekly unemployment benefit, adding: “Baha Mar has been taken care of."