TUC president calls alleged redundancy pay breach “criminal”
NASSAU, BAHAMAS — Morton Salt has terminated 24 long-standing employees at its Inagua facility, citing the “long-term viability” of the operation as the reason for the staff reduction.
This comes as the company, which was recently purchased by California investment firm Stone Canyon Industries, laid off 40 percent or 120 employees at its Chicago headquarters
In a statement, Morton Salt said: “We can confirm Morton Salt made the difficult decision to reduce staff at its salt production facility located in Inagua, Bahamas.
“This was not a decision we took lightly, but after a comprehensive evaluation of our facility’s recent operating efficiency and production levels, the staff reduction was necessary to sustain the long-term viability of our Inagua facility, where we have operated since 1954.”
In an interview with Eyewitness News, Trade Union Congress (TUC) President Obie Ferguson said the terminations include 17 line staff and seven supervisors, with at least six of them having worked with the company for over 35 years.
In October 2019, Morton Salt inked a new five-year industrial agreement with the Bahamas Industrial Manufacturers and Allied Workers Union, which represents line staff.
Ferguson led negotiations on the agreement.
As part of the agreement, employees are entitled to redundancy pay of up to 40 weeks, according to Ferguson.
However, the umbrella union president said Morton Salt has advised it will pay up to two weeks per year up to a maximum up 26 weeks.
He said some workers have been employed up to 46 years.
“It is criminal for a major multinational corporation to have entered into an agreement with the union, supervised to a great extent and shared by the minister, encouraged by the minister to reach the agreement and now to completely disregard what has been agreed to between the parties,” Ferguson said.
“That is the reason why I said, as president of the Trade Union Congress, we are regressing as a people, as workers.”
Ferguson also said while the company advised the government just days ago, it has yet to advise the union and follow the selection process as part of the industrial agreement.
“I made contact with the president today and up to today, they have not served a copy on the union and haven’t given the union notice,” Ferguson said.
“What I do know is that a letter was sent to the minister of labor on August 6, indicating to the minister and giving the minister notice of termination and relying on section 26 (A) 1C of the Employment Act.
“I would have thought that if the company is going to give the minister notice under section 26 (A), they are also mandated to give the union notice and they are obligated to meet the union and obligated to go through a selection process with the union, and that did not happen.”