GAWU welcomes further support to sugar industry

– urges investment in workforce

The Guyana Agricultural and General Workers Union (GAWU) has endorsed the move by the People’s Progressive Party/Civic (PPP/C) Administration to inject another $4B into the ailing Sugar Industry.

Less than three months after it received $3B, the Guyana Sugar Corporation (GuySuCo) is in line to receive another $4B in government subvention to support critical capital projects.
In a statement on Tuesday, GAWU, said the funds are being released at a critical time. “During the period of the Coalition Government, capital replacement, notwithstanding the $30B bond, was reduced to a trickle and many important and necessary works were simply shelved,” GAWU said.
But the records show that outside of securing the $30B Bond, for which more than half has been released, the A Partnership for National Unity + Alliance For Change (APNU+AFC) Government injected $42.682B into GuySuCo between 2015 and 2018.

According to the Office of the Auditor General, the sugar corporation received a $12B subvention in 2015, another $11B in 2016, $9B in 2017 and $10.682B in 2018, a total of $42.682B.

The total sum pumped into the Industry is significantly higher when compared to the amount injected by the PPP/C Administration over a period of four years. According to Minister of Agriculture, Zulfikar Mustapha, between 2010 and 2014, GuySuCo received a total of $20B in subventions from the PPP/C Administration.

But not withstanding these facts, GAWU, in its statement, contended that there was an absence of the required investments under the coalition government, which affected the efficiency of the industry.

“The Union recognizes too that many of the usual suspects have lined up to offer criticism to this latest level of support to the sugar industry. Frankly, the GAWU is not really surprised by the utterances of those who have sought to denounce the assistance to the industry. Some of them, we recollect, when they had occupied the seat of power did their utmost to sideline and ostracize the industry and more so the tens of thousands who depended on it for their well-being. Undoubtedly, leopards never change their spots,” the union said.

But records have again indicate thatGuySuCo has been operating at a loss for decades, due to the cost associated with the production of sugar and the significantly lower world market price.
Nonetheless, GAWU said while it is heartened by the latest support, it is necessary for the monies now approved be properly and prudently utilised by the sugar corporation.

“Indeed we are aware, that there is a great deal of work to be done if we are to arrest the decline of the industry and begin to chart the path back to sustainability.  We know too that the process will not happen overnight and will come with hard work and dedicated efforts. It is in this light that we see the sugar workers playing a pivotal role in the march to sustainability,” the union posited.
GAWU also complained that workers suffered significantly at the hand of the Coalition Government. “They hadn’t received any rise in pay between 2015 and 2019 and several of their benefits were simply suspended without rhyme or reason. Apart from that massive increases in the cost-of-living brought about by onerous taxes further eroded their living standards,” it said.
According to the union, between December 2014 and December 2019, sugar workers real and nominal wages fell by 46 per cent. “This was and is a massive blow to them and their family’s well-being. While we know efforts have been made to reduce the burdensome taxes and this will bring some reprieve, successive years of wage freeze has taken its toll,” GAWU said.

Against that background, GAWU said it is important to investment in the industry’s workforce who have been deemed its most valuable asset. It also disclosed that it is still in talks with GuySuCo on benefits for workers.