Workers from six of the seven sugar estates again staged picketing exercises yesterday after learning that the Guyana Sugar Corporation (GuySuCo) would not be paying any increase in wages and salaries again this year.
They told Stabroek News yesterday that they were looking forward to the increase, which the other public servants would be benefiting from. The workers demanded that they be paid but said that the strike would not continue. Uitvlugt workers did not join the strike.
At a meeting on Wednesday, GuySuCo informed the Guyana Agricultural & General Workers Union (GAWU) that it was financially challenged and that the increase would not be possible.
This would be the second consecutive year that the cash-strapped and heavily-indebted corporation won’t be paying a wage hike, unprecedented in the recent history of the sugar industry.
The disgruntled workers also held a strike on Monday “because GuySuCo said they had no money to give us.”
A source from GAWU said that the board of directors of GuySuCo met on Tuesday before meeting with them the following day.
The corporation had said in a release that previous meetings were held with the union and it informed the members of the losses that they suffered over the years.
The release said that the projected loss for 2016 and 2017 would be almost $13 Billion and more than $12 Billion respectively.
To cushion the impact of those losses, GuySuCo noted that the government had provided a subsidy to the tune of $12 Billion in 2015 and $9 Billion in 2016.
However, the corporation was now seeking an additional $3.5 Billion to sustain its operations to the end of this year. It added that the union was also advised that in 2017, the Corporation would require a further subsidy of more than $18 Billion in the face of lower production and reduced market prices, resulting in lower revenue.
However, the source said the union was not buying GuySuCo’s account of not having money to pay because the members have copies of the audit report.
Meanwhile, some of the Wales workers have received their severance benefits but the others were told that they there is no more money and that they can seek employment at Uitvlugt.
This has caused some outrage among workers who lamented that the severance was budgeted for.
They further pointed out that GuySuCo “would find $1.5B to build the road [from Wales to Uitvlugt] and $500M for diversification but they can’t find money for workers.”
Sugar cultivation is to end at Wales following the current crop and some workers had opted for severance from GuySuCo.
The source said too that GAWU asked to see the financial reports but GuySuCo did not provide them with any.
He said GAWU asked for an increase of eight percent and GuySuCo invited the union to show how that can be made.
The union also asked GuySuCo to make an offer and they would start a negotiation but the officials informed the union that “the decision is final and that they have nothing to give.”
They also told the union to take it in stages, which includes conciliation and arbitration.