In the very recent past, the Barbados Employers’ Confederation has been engaged in various discussions on how best to manage layoffs and mitigate job losses.
Discussion on the severity of the current economic and financial situation facing the country has been held at several forums. These continued as we prepared for the delivery of the national budgets since 2010.
As we go forward, our discussions must focus on remedies to protect the viability of businesses; remedies to avoid further job losses, and initiatives and ideas to get the productive sectors of the economy going in the right direction.
Set out below are some areas for national consideration, which we believe are easily implemented and do not require significant amounts of legislative intervention to get them off the ground.
Unemployment benefit provisions
We propose that the issue of extending the period of short-time and layoff beyond the 13 weeks within a 26 week period should be given urgent attention.
Such an extension would protect many companies from incurring a severance liability when they are faced with the difficult decision of having to lay off workers or reduce working hours beyond the 13 week period.
The unemployment benefit scheme currently provides a cushion for 26 weeks.
Productivity and competitiveness
There needs to be a national dialogue to address productivity and to review key component areas for reductions, whether it be operating flexibility or addressing the issue of the high levels of sickness and absenteeism in the workforce.
Productivity and labour flexibility
The rigidity presently in place within the public sector which sees many state offices working slavishly to a schedule of 8:15 a.m. to 4:30 p.m., for example, Land Tax Department; Licensing Authority; National Insurance Department; post offices; polyclinics and several others, where electronic commerce/payment arrangements are not available, results in a significant loss of man hours by persons having to take or seek time off during the normal working day to conduct legitimate business with these agencies.
Along with an expanded Internet based facilitation programme, we believe the time is right for greater flexibility in scheduling opening hours where such facilities can be open to the general public for the undernoted periods:
• Monday to Friday – 6:30 a.m. to 8 p.m.
• Saturday – 9 a.m. to 2 p.m.
This can be achieved without the need to hire a significant number of new staff to meet customer needs as staff will be scheduled to ensure that they will be available at core periods of 10 a.m. to 3 p.m. and still be able to provide service to those who require it before the normal start of their work day or after the end of their work shift, assuming the typical work day may be considered to run from 8 a.m. to 4:30 p.m.
This approach will require three key adjustments: The promulgation of legislation which recognises that we are fully a services economy operating on a 24/7 basis. The need for private sector employees, outside the retail sector, to accept that their opening hours can also be adjusted in line with the following:
• Monday to Friday: 6:30 a.m. to 8 p.m.
• Saturday: 9 a.m. to 9 p.m.
Recognition and acceptance by the respective workers’ unions that with improvements in technology, standard of living and public transportation since Independence in 1966, the issues of employee safety and ease of commuting do not bear the same rigid considerations.
Employment creation/retention strategies
Allow the National Insurance Scheme (NIS) registered householders who employ NIS registered domestic helpers and gardeners to claim wages and employer portion of NIS contributions up to a combined maximum of $20 000 per year in tax relief. At present, relief is limited to claiming for the employer portion of NIS contributions made for NIS registered domestic helpers.
Implement an Employment Creation Grant Scheme modeled on the Apprenticeship Scheme which will provide employers with a grant for every unemployed individual brought on to be provided with hands-on exposure/experience. Assignments shall be for a specified period with a Certificate of Competence issued at the end of such assignment.
Training scheme
Increase access to vocational training for unemployed local and documented migrant workers; make individuals more employable. Identify and publicise the skills required to take the country to 2025 and beyond. Use local non-state resource persons to provide orientation sessions to young persons on developing entrepreneurial skills.