$2.7 Billion Redundancy Package for Sugar Workers

Prime Minister Bruce Golding has announced that by the end of September this year, some $2.7 billion would be spent on a redundancy package for workers employed to the sugar industry.
Mr. Golding made this disclosure at the 113th Annual General Meeting of the Jamaica Agricultural Society (JAS), at the Denbigh show ground in Clarendon on Wednesday (July 9).
He explained that two-thirds of this payment would be made from funds procured from the European Union (EU) towards the transformation of the sugar industry, while the Government would find the remaining one-third.
“At the end of September, we will be in a position to make redundancy payments to sugar workers. It will cost $2.7 billion,” Mr. Golding stated.
He further informed that some of the workers involved in the redundancy exercise would be re-employed to the Brazilian-owned Infinity Bio-Energy Limited, which will take possession of five state-owned sugar estates soon. They are Frome, Hampden, Bernard Lodge, Duckenfield and Monymusk.
The Prime Minister said that persons who are not re-employed by the Brazilian company, for whatever reason, would be assisted with funding through the Development Bank of Jamaica (DBJ), to become involved in any venture which is deemed sustainable.
“It is not that we are going to hand you the redundancy money and walk off. We have put in place an alternative option for persons who may not want to be re-employed or are not employed by the new company,” he explained.
“Just show your redundancy cheque and a viable project and you will be able to get a loan to start a new business venture,” he informed.
The Prime Minister warned that trading would not be accommodated for funding, as eligible projects would either have to be providing a service or producing goods.
He further noted that while the sugar factories would be sold to Infinity Bio-Energy Limited, sugar producing lands would only be leased, with the Government retaining 25 per cent equity.