For the first time since the recent commencement of the impasse between the Trade Unions and the Government, Prime Minister Dr the Rt Hon Keith Mitchell spoke publicly about the issue.

Dr Mitchell, during his presentation of the 2019 Budget, told the nation in what can be described as an expressive and livid tone that the country simply cannot afford to pay the public workers the 25% that the Unions are demanding. “Acceding to the union’s demands of 25% advance payment of pension called gratuity within the current construct, will cripple the country financially. It is simply not feasible given our current and projected revenue streams to meet these demands and to further sustain them over the long term.”

He said regional and international organisations had warned the Government that pension programmes must be managed. Therefore, “we must be fiscally prudent with our decisions, or we’ll run the risk of undoing the tremendous gains we’ve made in recent years.” Mitchell said this move could result in Grenada losing considerable funding acquired through fiscal discipline.
Mitchell went on to say that although the country has come a long way, there are still many miles to go. And, the Government is willing to address the issue at hand in the interest of the nation. “Government stands ready and willing to continue to engage the Unions to determine the most fiscal prudent pathway to address the post-1985 workers.”

According to PM Mitchell, it was this Government that gave more rights to workers when the Labor Relations and Employment Acts were passed into Law in 1999. He stated that it was this Government that also increased the grant to the Trade Unions Council by 38%, and extended rights to job security with the appointment of 400 teachers and others during the Structural Adjustment Programme (SAP).

Gloating about what his Government did for public workers, Mitchell reminded the gathering that it was his Government that paid the largest pay increases during an economic crisis without sending home any workers.

According to him, “between February 2013 to now, we have paid public workers, teachers, nurses, police and other public workers over 110 million in cash. In addition to salaries and other benefits.” Mitchell’s statements were met with cheers from his comrades and nods of agreements from onlookers.

Mitchell reminded the public workers that this Government had done much more for them than any other Government since 1984. The PM’s tone by this time became much more irritated as he continued to share what his Government did for public workers over the years, including the removal of income tax on retrenchment pay and severance pay.

Additionally, Mitchell stated that these workers and trade unionists ought to remember that it was this Government that removed personal income tax on pension including NIS contributions in January 2016.

“This Government must apply the principle of universal social conscience and social justice for all. We cannot give all resources of the state to who have a voice and who are represented by trade unions. We have to look at the welfare of thousands of people who are unorganized and have no real voice. We must speak for them.” He believes that the Government has other priorities that must be taken care of.

On this note, Mitchell stated that his “Government remains resolute in its position that this issue must be resolved in the interest of the workers and in the interest of the country.”

Addressing the issue of payments made in July, Prime Minister Mitchell explained that the Government honoured their commitment to the pensioners because it was “critical, necessary and morally correct.” And, the Government’s team will continue to dialogue and work together with the Unions as affordability and sustainability are key considerations, and the welfare of the nation’s children, who are the future of the country is at stake. He says government remains committed to offering the best package to the workers within the context of the Fiscal Responsibility Act.

Mitchell’s tenor towards the payments of public officers and teachers who stayed off the jobs over the past three or so weeks, was that of disdain. He went on to say that paying workers for days on which industrial action was arbitrarily taken, is fiscally irresponsible, morally bankrupt and politically unwise. “The government cannot agree to such. The union should have a strike fund in place.”