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Topic: Sugar workers receive notice pay

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Sugar workers receive notice pay

After a nervous two-and-a half-month wait, sugar workers across the island yesterday began receiving notice payments under the Government's divestment deal to sell off five sugar factories to the Brazilian company Infinity Bio-Energy.

According to the Ministry of Agriculture, payments to workers at all five factories - Bernard Lodge, Frome, Monymusk, Duckensfield and Long Pond - would be concluded by the end of yesterday.

20081218T220000-0500_143901_OBS_SUGAR_WORKERS_RECEIVE_NOTICE_PAY__1.jpg
Sugar workers register prior to collecting their redundancy notice payments at the Bernard Lodge sugar factory in St Catherine yesterday. (Photo: Michael Gordon)

Notice payout to sugar workers at the factories totalled $800 million.

The ministry said that they started the redundancy payment process based on the advanced nature of the negotiation with Infinity for the divestment of the government-owned Sugar Corporation of Jamaica (SCJ) factories.

The SCJ, formed in 1993, engages in the cultivation of cane, and the manufacture and sale of sugar and molasses in Jamaica.

In July, Prime Minister Bruce Golding announced a $2.7-billion redundancy package to sugar workers and the conclusion of talks with Infinity by September 30 that would see the SCJ factories handed over to the Brazilians.

However, the negotiations stalled and the payments to the sugar workers were postponed, fuelling doubts whether or not the buyout deal would be finalised.

Yesterday's $800 million represents 14 weeks' notice payment for each worker with further payments due next month.

"The redundancy payments should begin in January," president of the National Workers Union (NWU), Vincent Morrison, told the Observer yesterday.

"It has gone well," he said.

"I have no reports of any problems," Morrison added, saying that today was reserved to "iron out any hitches".

Alan Rickards, president of the Jamaica Sugar Cane Growers Association (JSCGA), agreed that yesterday's process went smoothly. "There were a small number of workers who did not agree with the computation, but by and large it went smoothly," he said.. "The unions are now on to it".

At the Frome and Long Pond Sugar Estates in Westmoreland and Trelawny respectively, just over 2,600 sugar workers received notice payments amounting to more than $220 million.

The payout process at both facilities was said to have run fairly smooth, despite large crowds, which at times converged in close proximity to the offices where payments were being made.
At Frome, the island's largest sugar factory, just under 2,000 workers collected payments amounting to roughly $150 million.

An official at Frome told the Observer that by mid-day more than 70 per cent of the employees had received their payments, which were accompanied by redundancy letters.

He added that he was satisfied with the general conduct of the sugar workers during the process.

"I was really pleasantly surprised with their behaviour. The exercise went very well," said the official who did not want to be named.
Several workers who spoke with the Observer also expressed satisfaction.

"Everything all right, things going good," said Neville Hinds, shortly after receiving his payment.

Hinds, 42, has been working at Frome for more than two decades. He said he was pleased with his payment in lieu of notice and was looking forward to receiving the major part of his redundancy package, which is expected to be paid within six months.

Another employee, Beverly Allen, also expressed satisfaction at the outcome of yesterday's proceedings. But she, like most of the employees interviewed, expressed concern about being re-hired when the divestment is finalised.

"We not sure if we will get back our jobs when the factory is sold, but we holding the faith," she said.

But Hinds, a boiler attendant, believes that he will be re-hired when the factory is sold.

A father of three children, Hinds plans to open a small business with his redundancy payment.

"I am going to use the money to set up business and give it to my wife to run, while I am working at the factory," he said.

Meanwhile, scores of vendors selling mainly items of clothing and footwear yesterday reportedly did a thriving business outside the gates of the Frome sugar factory.

A cellular phone company was also among the businesses that cashed in on the payments made to the workers.

"Business is going very well, we have sold a lot of phones so far," said one of the clerks at the Super J booth, set up across the road from the factory.

The Jamaica National Building Society also operated from a tent on the factory compound, in an apparent bid to gain customers.
A number of vendors also reportedly did fairly good business at Long Pond where roughly $70 million was paid to sugar workers.

At Bernard Lodge in St Catherine, approximately 100 workers with various job titles turned up to collect their notice payment early in the morning. Payments ran like clockwork, but there was, however, uncertainty among workers regarding re-hiring under the new owners.

"We don't know if they will re-hire us," tractor driver Delroy Smith said, adding optimistically, however, that he was one of a few who drove the trailers belonging to the factory.

At the St Thomas Sugar Company, some workers complained that the notice payments were too small.

"I have been working here for over 30 years and this monkey money that them give me for my notice pay is too small," said Neville Milligan. His claim was supported by several other workers.



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