The two unions representing sugar workers yesterday called on the new government to ensure the continuation of GuySuCo’s operations after they were told that it is unable to pay workers this month.
In a joint statement, the Guyana Agricultural and General Workers Union (GAWU) and the National Association of Agricultural, Commercial and Industrial Employees (NAACIE) say they were informed by GuySuCo’s Chief Executive Officer (CEO) Dr Rajendra Singh along with members of GuySuCo’s Industrial Relations Department that the corporation is unable to pay senior and junior staffers salaries this month.
The two unions said Singh indicated that the corporation might have to cease its operations on all estates with effect from this Sunday, unless funding becomes available within a few days.
They said should the corporation cease its operations, Singh indicated that all employees – waged and salaried – except security personnel would not be provided with work from Sunday.
The joint statement said that the CEO also advised the unions that the government has been notified of the situation.
GAWU and NAACIE said they believe ceasing of operations by the corporation would further jeopardise the state of the industry and impact negatively on some 16,000 workers.
Despite being severely in debt for some years now, GuySuCo has been able to make payments to its workers even if late. Observers say it is curious that just days into the life of this new government the corporation is saying that it is unable to pay and may have to cease operations.
Since January, the then Donald Ramotar-led PPP/C government had been trying to inject $3 billion into GuySuCo using funds from the Guyana Geology and Mines Commission.
The administration had sought to secure the funds through a loan agreement, which was challenged in court, and then by a direct transfer on the basis of Cabinet approval before it abandoned the efforts.
GuySuCo subsequently sold its co-generation plant and three Wartsila power units at Skeldon to a state-owned company specially created for the purpose at a price of US$30 million, with the funds to be used in the ailing sugar industry.
It was not made clear that the funds were intended for the ailing sugar industry until March, when former president Bharrat Jagdeo admitted that GuySuCo was the intended beneficiary.
