Unions move motion against closure of Wales, LBI Estates

May Day Rally 2016

– want Govt’s continued financial support for sugar industry

By Eddy Layne

Trade unions rallying for the first time in almost 30 years under one banner, have called on the one-year-old A Partnership for National Unit/Alliance For Change (APNU/AFC) coalition government to abandon its plans to close at least two sugar estates by the end of this year thereby placing hundreds of workers on the breadline.
The government, through the Guyana Sugar Corporation (GuySuCo) has announced highly unpopular plans to close the Wales Sugar Estate, West Bank Demerara and the La Bonne Intention Estate, East Coast Demerara by the end of 2016.

The plan according to the government, is to make GuySuCo more viable.
However, the Guyana Trades Union Congress (GTUC) and the Federation of Independent Trade Unions of Guyana (FITUG) on Sunday, at their first joint May Day Rally since 1988, approved a motion which called on the government and GuySuCo to abandon the decision to close the two estates.
The motion also called on government not to privatise part or all of the sugar industry, while at the same time urged the administration to provide adequate financial support to enable the industry to overcome its current challenges.
It also mandated GTUC and FITUG to engage with government and stakeholders on matters relative to the turnaround.
Komal Chand, President of Guyana Agricultural and General Workers Union (GAWU), a member of FITUG, and the leading sugar workers union, addressing the rally highlighted the plight of persons linked to the Wales Sugar Estate who could be rendered jobless very soon, thus facing even greater hardships.
“The closure decision is a step in the wrong direction especially in the absence of any impact assessment and in view of the Sugar CoI’s explicit recommendation that no estate be closed,” Chand stated.
He urged that a similar assessment be done with respect to the present operations at LBI Estate, arguing that the impact on workers there will be devastating.
The veteran trade unionist believes strongly that challenges facing the sugar industry can be overcome.
“We believe the challenges the industry faces are not insurmountable. Sugar’s success will redound to the benefit of our economy and assure the employment of thousands of Guyanese,” he stated.
Chand singled out GuySuCo’s ability to grow a sufficient quantity of good-quality canes a key factor for success of the industry.
“We have adequate land for that. And, given today’s trends, with good management, a satisfied labour force and innovations, the industry can certainly regain its profitable status in a short while,” he noted.
Meanwhile, General Secretary of GTUC Lincoln Lewis bemoaned government’s failure to consult with unions and other stakeholders to flesh out the impact of the economic wellbeing of those involved as well as the country.
“Since the government is talking about social inclusion, national unity and inclusionary democracy, Wales provides the ideal opportunity to effectively commence dialogue and engagement to realise what the government says it wants for the society,” he said.
He also lambasted the government for blaming the closure of the LBI Estate on the failures of the People’s Progressive Party/Civic (PPP/C) administration to properly manage the industry.
“To respond that the process of closure started under the Bharrat Jagdeo administration when that administration is known for its mismanagement of the industry and the attendant problems suffered today, this government should have known better,” he affirmed.
However, a visibly upset Prime Minister Moses Nagamootoo said trade unionists were not seeing the “bigger picture”, when it comes to government’s handling of the sugar industry.
“What is being said is part of the story because our commitment to make the sugar industry viable is sincere… not a single advocate and lover of the sugar workers came here to say that over the last years before we came into the government, GuySuCo was put into $82 billion debt,” Nagamootoo stated.
Despite Lewis’ concerns that government was hiding behind “mismanagement” of the past administration, the prime minister went on to highlight the shortcomings of the previous government as the reasons for the current state of the industry.
He said that over the years, some $47 billion was spent on a white elephant in the case of the Skeldon Estate for a factory and another $17 billion as a bailout to the industry.
The prime minister also highlighted the monies his government has already pumped into the industry, noting that already for the first quarter of the year, $3 billion was advanced to the industry.
The Wales Estate currently employs about 1700 workers while the LBI Estate has some 800 and while some of them will be transferred to the Uitvlugt and Enmore Estates respectively, hundreds could join the thousands of Guyanese who are already unemployed.