A senior manager of Kerzner International denied Tuesday that the investor is attempting to control the economic landscape of the country through its $600 million expansion, despite some union leaders expressing concern over the powers that the resort has.
Vice President of Operations at Atlantis, J. Barrie Farrington, told The Bahama Journal that the complaint of union leaders is unfounded as the company is creating jobs that are so badly needed.
Recognizing that the unemployment rate is approximately 9 percent, Mr. Farrington said union leaders and Bahamians generally should feel comfortable that an investor such as Kerzner International is willing to expand its investments to $1.7 million.
“We shouldn’t be concerned that Kerzner International will reel such an enormous amount of power that it can hold the country at hostage,” Mr. Farrington said. “I think it is an expression of confidence in the country and the people and the stability of the country as opposed to what may be seemed as a means of controlling the economic landscape of the country.”
Construction on the initial phase of the expansion of the Atlantis Resort is expected to begin by the end of this year with an expected completion date of December 2005.
Construction on the next phase – which will include the 1,200-room hotel and expansion of water-themed attractions – is expected to begin by the end of 2004, with a projected completion date of Christmas 2006.
“It’s going to be the centre of tourism in this region rivaling Disney and Las Vegas in respect of recognition in our principle market in North America and I think that it is good news all around,” Mr. Farrington said.
“One of the commitments is that Kerzner will work with government and the private sector within the tourism industry to promote training and ensure as far as is practicable, to produce a sufficient number of people to fill vacancies.”
Vice President of Public Affairs, Ed Fields, added that Kerzner International is in the preliminary stages of setting up dialogue with the government to determine the way forward on issues of training.
While the government is keen on reducing the unemployment rate which stands at 9.1 percent, there are some union leaders who are adamant that Kerzner International shouldn’t have such control on the country’s employment level.
Noting that most governments come to office on the premise of trying to provide jobs, President of the Bahamas Public Services Union, John Pinder, said he is concerned that the kind of power which Kerzner International holds, “could cripple a country.”
“I don’t think one investor should have that amount of control,” Mr. Pinder said. “As the second largest employer in the country, the government has to bend to Kerzner International. There was all that talk about the former government giving all those concessions, but in order for Kerzner to do it’s third phase, the government had to give him another 11 years in concessions.”
The Heads of Agreement recently signed between Kerzner International and the government provides for various investment incentives, including an extension by 20 years of the moratorium on new casino licenses on Paradise Island and New Providence from the completion of the expansion in 2006.
This is in addition to the extension of certain casino tax concessions for 11 years from the completion of the expansion.
While Hotel Union President Pat Bain expressed similar concerns, not all union leaders are concerned that Kerzner continues to expand its presence in the economy, by employing thousand more Bahamians.
President of the Bahamas Utilities Services and Allied Workers Union (BUSAWU), Huedley Moss, does not agree that building more resorts and creating additional jobs could cripple the country.
“Isn’t it more important to come to as close as full employment that we possibly can than to have nine percent of our working population unemployed?” Mr. Moss asked.
He said the focus at this time should be on mass training.
“The emphasis ought to be on productivity, efficiency, on being as competitive as you can possibly be,” Mr. Moss said.
He said unions should be supportive of the Atlantis expansion to ensure the right outcome for the company and the Bahamian economy.
The Bahama Journal
