By Daniel DaCosta
As the bauxite unions continue to lobby for support, General Secretary of the Guyana Bauxite and General Workers Union (GB&GWU) Lincoln Lewis last week briefed members of the Berbice Chamber of Com-merce and Development Association (BCC&DA) on a proposal submitted by the Bermine Employees Group and Centrotrade Minerals and Metals (CTMM), the strategic investor for the takeover of Bermine.
Stabroek News
July 3, 2001
Speaking at the Dr. Pat Munroe Auditorium on Chapel Street in New Amsterdam, Lewis said "we will bring about new investment in the form of new money to retool Everton, improve the efficiency of the driers, maintenance of the storage capacity and provide Kwakwani with the required equipment."
According to the trade union leader, the new company would expect to mine some 1.1 million metric tonnes of ore annually. "We will be looking at product diversification, including one new product. We want to change the whole structure of the company but this will require a strong business plan and strong management. We are looking at a model in which employees, the immediate community and the wider Guyanese public will become shareholders in the new company."
Lewis told the business group that the new company has no intention of asking the Government for anything. "We are not asking for any subsidies but we do not want the Government in the new company," he declared. Lewis said too that the new company will be prepared to pay royalties, "but we are arguing that some of it should be used for the improvement of health and education in Regions Six and Ten."
According to Lewis, the merger of Bermine's operations with Aroaima under Alcoa's proposal will see the loss of 554 permanent jobs "at the end of the day. If we allow jobs that we now have to go by the wayside, more pressure will be brought on the marketplace for jobs. Loss of jobs will create more beggars in New Amsterdam while businesses will be seriously affected."
The GB&GWU General Secretary told the Chamber "we have a commitment for funding to the tune of US$7 million to retool and re-equip Bermine."
He argued that in Berbice there is some 106 million metric tonnes of ore reserves "which is more than enough for Bermine and Aroaima Bauxite Company to continue to operate. We are saying pay all the workers their redundancy packages and we will offer shares to all employees."
A committee has been established to initiate negotiations with Alcoa and the Bermine Employees Group and CTMM on their proposals for the Berbice Mining Enterprise (Bermine). The committee includes Dr. Clive Thomas and Robeson Benn and two other members named by the two co-chairmen.
The proposal by the employees group would see CTMM providing working capital to rehabilitate the kiln at Everton to allow for the production of up to 70,000 tonnes of abrasive grade bauxite annually.
CTMM will be allowed to market and sell all of the company's products. It will also provide the technical/managerial skills required to beef up operations at Everton. The proposal requires the Government to turn over its shares to the employees and for the new company to raise its own capital, pay royalty, harbour dues and the relevant taxes on its operations.
The Berbice Chamber recently expressed its opposition to the acceptance of any proposal which could result in the closure of the Everton Operations. In a recent statement, the Chamber said "any such action would impact adversely on the future prospects of the town and inhibit its efforts to forge ahead with its development plans."