Sugar workers back at work-- likely to accept higher pay offer
By Mark Ramotar
Guyana Chronicle
November 4, 2006
SUGAR workers who went on strike for five days on separate occasions last week and this week, have returned to work and are likely to settle for a 5.5 per cent increase in wages and salaries for this year, according to the Guyana Agricultural and General Workers Union (GAWU).
Following the strike this week and similar industrial action last week by the sugar workers, a meeting was convened yesterday morning between GAWU and the Guyana Sugar Corporation (GUYSUCO) with Chief Labour Officer, Mr Mohamed Akeel as conciliator.
Following the meeting, GAWU President, Mr Komal Chand said GUYSUCO’s latest offers to the union are either 5.75 per cent increase for 2006 and 5.50 per cent for 2007 or 5.50 per cent increase for 2006 should the union opt for a settlement of this year only.
He said the corporation insisted that it could not agree to an escalator clause for 2007.
Chand said members of the union delegation at the meeting considered the two offers and those from the eight sugar estates decided to return to their workplaces to consult the rank and file on which of the offers to accept.
He said the final decision will be communicated to the Chief Labour Officer and the sugar corporation late next week.
But in the light of the corporation not approving an escalator clause, Chand said “the workers are likely to settle for 5.5 per cent increase in wages and salaries for this year”.
The meeting yesterday to discuss the proposed wages and salaries increase the corporation is offering took place at La Bonne Intention (LBI) estate, East Coast Demerara.
Workers in the sugar industry took industrial action on two previous occasions between October 24 and November 02, lasting for five days altogether.
After a two-day strike last week, GUYSUCO employees returned to work to allow for further discussions on the wages and salaries dispute.
However, at a meeting last week Friday between the two parties, the Chief Labour Officer sought to have them refer the disagreement to arbitration. At that meeting, the union delegation, after considering its options, disagreed.
Negotiations between GAWU and GUYSUCO reached an impasse under the chairmanship of Akeel on October 23, over an escalator clause for the year 2007. The clause stipulates an automatic increase in pay if the inflation rate surpasses a certain level.
GAWU yesterday noted that the two strikes impacted adversely on the corporation’s ability to meet its overseas and local market commitment since during the strike periods, sugar production slumped to under 400 tonnes of sugar from an expected production of 9,000 tonnes.
Speaking to the Guyana Chronicle Thursday afternoon, GAWU General Secretary, Mr Seepaul Narine and GUYSUCO Human Resources Director Mr Jairam Petam both stated that the strike called on Tuesday had ended that day (Thursday) and that Akeel, the union and GUYSUCO officials would be meeting yesterday to discuss the proposed higher pay package in a committed effort to arrive at an amicable solution to the existing industrial conflict.
Petam had written Narine a letter on Wednesday outlining the corporation’s position and putting forward a new proposal of a 5.75% pay increase for 2006 and 5.50% for 2007.
In the letter, Petam stated that the pronouncement of this new offer must take into consideration that the corporation is facing a 36% price cut imposed by the European Union, which has already commenced, and would be fully effected in the next three years.
Head of the Presidential Secretariat and Cabinet Secretary, Dr Roger Luncheon, on Thursday told reporters the industrial unrest in the sugar industry was both “regrettable and unhelpful”.
“Again, the unprincipled and unsanctioned resort to strike action has placed sustainability of this important sector under significant strain,” he told a news conference at the Office of the President.
Alluding to the adverse effects on the sugar industry from the 36% price cuts imposed by the EU and successive floods in 2005-2006, Luncheon said the performance of sugar in the face of the strikes, would now be under “even more stress”.
According to him, it is evident that the current situation calls for sound judgment and well considered actions by all players.
“Sadly, the strike action by the workers organized by both GAWU and NAACIE is unhelpful and is neither in the interest of the industry, the workers themselves nor the economy,” Luncheon posited.
“What the workers are demanding is unsustainable; what the corporation is offering is also unsustainable but is being offered in the interest of industrial peace and ensuring success with the implementation and outcome of the strategic development plan for sugar in Guyana,” he added.