Grinding operations at the La Bonne Intention, Enmore, Rose Hall and Wales estates have been brought to a standstill after about 90% of the factory and field workers went on strike yesterday over wage-related grievances.
In a statement the Guyana Sugar Corporation (Guysuco) said about 85% of the field and factory workers from Rose Hall and 90% of workers from the other three estates launched strike action after the corporation’s negotiations with the Guyana Agricultural and General Workers Union (GAWU) the day before. The company said the meeting with GAWU was the 8th such session and it concluded with the position of 4 1/2% and 14¾% respectively in relation to wage increases. It said on the first four occasions the union and the company held discussions on financial, operational and marketing issues.
Guysuco said both parties had agreed to continue negotiations on Saturday prior to yesterday’s strike, with the understanding that “if there is no sign of settlement at the next meeting then it would be procedurally prudent to refer the wage dispute to the next stage, which is conciliation.” GAWU, the release said, agreed to this proposal. The company said it was therefore “baffled and disappointed” to discover yesterday morning that four of their seven operating estates had completely shut down because of the ongoing negotiations. Further, it said those actions were “callous, reckless and unjustified” and that this type of industrial action violates the existing grievance procedure.
The company said the strike is taking place at a time when conditions are extremely conducive to harvesting and will result in 650 tonnes of sugar not being produced. It’s the first time for this crop when close to 4,200 tonnes of sugar was made in the first four days of the week. The release went on to say that production for the crop stands at 24,000 tonnes, which is almost 13,000 tonnes behind the original estimate, due mainly to the inclement weather experienced in the early part of the crop and the low turnout of harvesters on most estates. No intimation or notice was given that industrial action would have been taken at any of the locations, Guysuco said.
Guysuco’s main European customer is to be supplied with 55,000 tonnes of sugar by September 5 failing which it would lose US$70 per tonne of sugar. Of the stated amount, the release said, 16,400 tonnes have been shipped and a vessel is currently awaiting loading of another 7,200 tonnes at the Demerara Sugar Terminal and another vessel is expected on Saturday. It noted that if these vessels did not leave on time there would be demurrage expenses to pay.
The EU-imposed price cut and the high costs of fuel, freight and fertilizers have placed the corporation in a predicament the release said adding that at year end the price cuts will cause the corporation to lose almost $1.2 billion. These “senseless” strikes, Guysuco said, make it even more difficult to improve on the current wage offering and the company urges workers to “allow good judgment and sense to prevail.”
GAWU officials could not be reached yesterday afternoon on the strike.
