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Union Leaders Argue Over 15% Gratuity

Two prominent union leaders are at odds over a suggestion that the 15 percent gratuity system in the tourism sector be eliminated.

In a recent interview with the Bahama Journal, President of the Bahamas Utilities, Services & Allied Workers Union (BUSAWU) Huedley Moss spoke out against recent claims by hotel union chief Pat Bain that he was "a shameless traitor of the Bahamian masses."

Mr. Moss had suggested that the gratuity system be ended in preparation for the Free Trade Area of the Americas Agreement.

"Yes, I said that the compulsory gratuity should be eliminated. It is absolutely not an incentive for productivity, but I also said that workers who are going to be affected by this, ought to have their fixed salaries increased immediately," he said.

"One of the primary reasons why trade unions in The Bahamas are so backward is because we are addicted to doing things in a prejudicial manner that is not in the best interest of the country's macro economy."

But according to Mr. Bain, it is "incredible" that a leading trade unionist, entrusted to negotiate on behalf of workers, wishes for there to be an end to a substantial portion of the income of our lower paid sectors – the hotel and hospitality worker.

"For any unionist to initiate, or instigate such a "wicked suggestion," he said, "makes him a shameless traitor to unionized workers."

"For the record, this 15 percent has come from a position in 1979 where, in the hotel sector, maids were making $38 per week," the BHCAWU leader said.

"Today in 2003, maids are making $169," he said. "Waiters who benefited from the 15 percent were making $54 per week, now make $152 per week. The 15 percent is the income producing factor in the industry that allows these low based salary workers to benefit in such a way that they can qualify for loans and mortgages at financial institutions as well as health care and education for their families.


"If this was eliminated then, its impact would be catastrophic to the livelihood and standard of living for these people. And that is why what Mr. Moss is advocating is a cardinal sin and most disgraceful."

Mr. Bain, who is also President of the National Congress of Trade Unions (NCTU), further noted that as far back as 1982, the same 15 percent gratuity produced some $800 million for the country's expenditure.

"The actions of Mr. Moss speak clearly as to why the Trade Union Congress (TUC) and the NCTU cannot really work together," Mr. Bain said. "We have two different views on how we treat our members and the Bahamian working class"

But according to Mr. Moss, the compulsory gratuity is having nothing more than a negative effect on our economy, and the country is not enjoying the quantity and quality of goods that it should, simply because of such unfair tax structure.

"What I find shameful is the fact that Mr. Bain is charging union members $10 a week for union dues – the most expensive in the country, whether they work for one week or an hour," he said.

"At the same time, after more than 40 years of being a union, BHCAWU members are still the poorest workers in The Bahamas. After working 30 to 35 years in the hospitality industry, they still have to largely depend on National Insurance cheques to help sustain them. But what is even more disturbing is the fact that while BHCAWU members are hurting, the president is laughing all the way to the bank with a salary that he could not possibly earn in the private sector."

Mr. Moss added that while the relationship between the TUC and the NCTU is "cordial" – that relationship, however, has been strained for more than 30 years – he does not care one way or the other, if the two groups ever come together.

"The TUC has always extended open arms to the NCTU," he said. "But until we resolve issues together, some of us are always going to be winners and the majority of us the losers."

By Macushla N. Pinder, The Bahama Journal

Posted in Headlines

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