KFC & BIU: “Commit To Discussions”

December 23, 2011

This afternoon [Dec.23] KFC and the BIU issued a joint statement saying they “commit to engage in significant discussions,” and the Department of Labour has agreed to provide facilitation services.

The statement also said that both parties will “enter a quiet period while discussions are ongoing through at least 16th January 2012 and refrain from any new public statements or media releases during that time.”

KFC and the BIU entered into negotiations in April 2011, however failed to come to an agreement.  On Tuesday [Dec.20], BIU President Chris Furbert said KFC cancelled the collective bargaining agreement, and about 36 employees were affected. Citing “declining sales and increased operating costs leading to net losses,” KFC said the agreement modifications are needed to ensure KFC “remains a viable enterprise.”

The full statement follows below:

Further to recent public statements by both parties, Kentucky Fried Chicken (Bermuda) Limited (“KFC”) and the Bermuda Industrial Union (“BIU”) wish to advise that following recent meetings between senior representatives of KFC and the BIU an agreement has been reached that both parties will commit to engage in significant discussions about outstanding labour relation matters during early January 2012.

The parties have committed that those discussions will continue through at least 16th January 2012 unless resolution to outstanding matters is reached sooner.

The Department of Labour has agreed to provide facilitation services for such discussions as the parties require.

While there remain significant differences of opinion between KFC and the BIU on certain matters, both parties believe that it is in the best interest of the labour relations process that every effort is made to resolve disagreements through a process of private, direct, and frank discussion between the parties.

Therefore, both KFC and the BIU have agreed to enter a quiet period while discussions are ongoing through at least 16th January 2012 and refrain from any new public statements or media releases during that time.

Both Kentucky Fried Chicken (Bermuda) Limited and the Bermuda Industrial Union extend wishes for a very Merry Christmas to all of Bermuda and look forward to a productive New Year

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Comments (8)

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  1. Liars says:

    Crish Shurbert for President….Chairman….Anything but the BEE-I-owe-U……..leave KFC alone man! Your going to make them go out of business or is that your plan after the dust settles you will buy it and pay them the great benifits they are enjoying today….HA l think not.

    • Maddog says:

      You all need to grow up the union is standing up for the people rights, KFC KNOW VERY WELL THEY WERE RONG ,THEY CAN’T SAY THE WORKES CAN’T HAVE UNION RIGHTS. IT IS ILLEGAL.

      • It ain't gonna matter ... says:

        Except that’s not what KFC did – all they did was not renew the existing contract. But it ain’t gonna matter because if the agreement doesn’t get drastically rewritten and benefits brought into line with the real world (or even the rest of Bermuda) I’m sure that, if you want a dirty bird fix, you’ll have to get on a plane.

      • Triangle Drifter says:

        This has absolutely nothing to do with whether KFC is unionised. It is about a new contract. The company is losing money. It is not a charity. It is a business. It must earn its existence. It is not the civil service.

        Just like the equipment, the business needs staff to operate. It needs to operate efficiently to stay in business. A huge part of that success or failure equation is the payroll & additional benefits.

        Business is down. More chickens are living. What part of overstaffed, overpaid, unaffordable benefits does the BIU not understand?

  2. Carse Yer Wote says:

    I heard the idiot on the radio today basically saying that KFC shouldn’t be allowed to terminate the contract and if they do then it will give other companies ideas of doing the same. Its just all so wrong blahblahblah I want my Mommy!!!

    What a pussy!

  3. The Fix Is In... says:

    When was the last time the BIU didn’t get its way? It’s inevitable. Just bend over and take it KFC (read Bermuda business sector)–like a man! KFC will go down to the BIU, and while KFC may be the best example of terrible customer service in the country, they will at least be admired for having gone down swinging against BIU. Redemption?

  4. Ride says:

    I’m all for worker’s rights and I appreciate that unions did some extraordinary things in the past for the common man. However, lately I am extremely confused as whether or not I support the unions, BIU in particular.

    The strikes for the daytime sick but night-time fit PTB employee, the bus driver that did not report in after the accident, the inebriated ferry pilot that smashed into the dock, and so on. I thought the goal of the unions was to protect their members from wrongful dismissal not dismissal in general. Not every dismissal is wrongful. Some are quiet justified as I believe the three above examples were.

    Further, I find it insane that a person could have a benefit of 40 days sick leave; 8 weeks. Not to mention that it boggles the mind that sick leave can accrue; to 90 days, no less. Also, the 7 weeks holiday benefit is astounding. Out of a 52 week year you have just over 15% for sick leave (the 40 days, not the 90) and about 13.5% for vacation. There is potential for 29% of the year to be out on paid leave. About a 3rd of the year! Union members don’t find this troubling? How can a business run under these conditions? How long before they say, “Fack dis, bie. Les’ close dis fettin’ place up caus dees bies ar full fullish”?

    These things, compounded by the BIU management’s apparent fleecing of its members dues for considerable salaries (95% of income), truly makes me wonder if the unions are putting its members best interest at heart.

  5. Questions 2 be Answered says:

    Reading this story and just wondering what do the members actually get from there repersentatives? Why do they have to pay such a high price for representation?
    How often do the BIU excutive meet with the business community of Bermuda to discuss the ever changing needs of the worker/ employer?
    How often does the BIU meet with the various sectors of the union to deceminate the information they have recieved from Mr. Bda Business?
    What is the annual net salary of the union excutive?
    Do they train anyone to do there roles?
    These are just some of the question i had after reading this article becasue at the end of the day as a blogger put on here “if you want the dirty bird you might have to take a plane for it”, business can shut down or rebrand and then it is square one ……….New contract, new ball game, and all the employees S.O.L. (S**t Out of Luck).
    SO please people of Bermuda look at what is really going on especially in these hard economic times.