A $2.7-billion redundancy package will be made to sugar workers by September 30 this year, upon divestment of the Government-owned sugar estates, Prime Minister Bruce Golding disclosed yesterday.

Golding, addressing his first annual general meeting of the Jamaica Agricultural Society (JAS) as prime minister, at the Denbigh show ground in Clarendon, assured the
farmers grouping:

"At the end of September, we will be in a position to make redundancy payments to sugar workers. It will cost in excess of $2.7 billion."

He said that two-thirds of the redundancy package was being funded by the European Union and the other third by the Jamaican Government.

The Brazilian-owned Infinity Bio Energy Limited will take over five state-owned sugar estates - Bernard Lodge, Frome, Hampden, Monymusk and St Thomas (Duckenfield) - on September 30.

Yesterday, Golding told the farmers that he could not say how many workers would be rehired by the new company after the redundancy, but said that provisions were being made to assist displaced workers in starting new business ventures.

"It's not that we are going to hand you the redundancy money and walk off," Golding said, adding that funds allocated through the Development Bank of Jamaica (DBJ) would be on-lent by

PC banks and credit unions for the displaced workers.
"We have put in place an alternative option for persons who may not want to be re-employed or are not re-employed by the new company," Golding said.

He advised that sugar workers could present their redundancy cheques to the specified financial institutions and make applications for assistance through the programme.

"Just show your redundancy cheque and a viable project and you will be able to get a loan to start a new business venture," said Golding. He, however, cautioned that trading would not be accommodated in the projects for funding.
"We are not into buying and selling," the prime minister declared. "It has to be either producing goods or a service."

Under the terms of the sugar industry divestment, sugar factories would be sold to the Brazilian company, but sugar-producing lands were being leased, the prime minister said, noting that the Jamaican Government would retain 25 per cent equity in the venture.