OBA: ‘Where Is The Economic Stimulus Plan?’

April 18, 2019 | 19 Comments

“The job losses at Butterfield Bank are a body blow but the warning signs were there for the Government to see,” Opposition Leader Craig Cannonier said, adding that “questions that must be asked are, where is the economic stimulus plan and, after Butterfield, who is next?”

His comments follow after the Bank of Butterfield confirmed that 30 employees in Bermuda accepted voluntary early retirement packages, 11 positions were made redundant, and Butterfield’s Rosebank Banking Centre and Drive-Thru Teller Services in Hamilton have closed.

Mr Cannonier said, “The volume of retail sales have fallen for ten consecutive months – it is mid-April, why haven’t we had the figures for January and February – business confidence down, back office jobs are leaving Bermuda, the cost of doing business is rising and our taxes and health costs have increased.

“We have also seen reports on the housing market from the Chamber of Commerce which said that last year prices ‘dropped beyond anything we have seen in recent years.’ People and businesses are hurting.

The Opposition Leader noted the Premier’s tone in his statement and said “although it may please his core supporters” what was “most interesting is what he failed to address.”

“The bank’s statement on the job losses contained a quote from Michael Neff, the managing director, Bermuda, which said, ‘Reflecting customers’ preferences to increasingly conduct their banking transactions through electronic channels, we have seen in-branch volumes drop by over 50 per cent during the last decade.’

“This is a form of financial technology, or FinTech, which can create but also destroy jobs through greater efficiencies. In the long-run it could actually mean fewer jobs.

“I hope all those affected by the redundancies are able to find new employment very soon, but given the parlous state of our economy, the questions that must be asked are, where is the economic stimulus plan and, after Butterfield, who is next?”

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Comments (19)

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  1. St.George's Passport and Immigration Control says:

    SS.Bermuda is slowly sinking into the sea.

  2. BS says:

    And your solution is what exactly Mr JetGate? I thought so. You and your OBA naysayers always state the obvious but have absolutely zero solutions yourselves other than to spend millions on a boat race that benefits just you and yours whilst stealing away from our education and other initiatives!

    • Question says:

      The OBA was increasing GDP and turning the economy positive. You lot have no ideas whatsoever.
      Burt is incompetent. We’re on the blacklist. Unemployment is rising. The budget will not be balanced.

    • Andrew says:

      Crazy u lot keep supporting the plp and continue to belittle the oba with what is going on now. This is what is wrong with bermuda. Quite sad.

    • John Dough says:

      You don’t want to see the solutions.

    • Enough says:

      You’re clueless.

    • Anonymous says:

      You need to swap those names around. The PLP are the only ones to throw blame around without any plans. The economy was on the way up under the OBA, now things are going to hell. When will you lot stop listening to the PLP’s spin? When your paycheck stops coming inna? It’ll be too late by then.

  3. BS says:

    And automaton of Banking processes like ATMs is not FinTech you uneducated m***n! Read a book or consult the Internet before you speak and remove all doubt about how truly clueless you and your camp are!

    • D says:

      “FinTech” aka “Financial Technology”. It’s a broad topic which includes ATMs.

    • Andrew says:

      Try again brah. Lolololol. Lost sheep

    • DeOnion says:

      Some would argue that ATMs were among the first iterations of fintech – they were a technological innovation that allowed a person to conduct financial transactions, aka fintech.
      Take that to the present and internet banking is the latest technology to allow financial transactions, aka fintech.
      Crypto currency is one small part of fintech

      • DeOnion says:

        Blockchain is technology that allows financial transactions

        • Ringmaster says:

          Paying bills via the internet is a form of fintech. Receiving payments by wire transfer is a form of fintech. Having an online bank account is a form of fintech, there are many more examples and all lead to a reduction for the need for people. Just think how efficient and cheap to run the Government would be if they modernised and went away from handwritten forms and all that paperwork. Half the staff and half the cost.

  4. Wicket Keeper says:

    And whst solutions have the PLP offered us? None! Wait Fintech right? And that has created how many jobs so far. Remind me again please. I beleive on handbshould be enough yo do the counting.

    The PLP under Burt has been a huge flop and we all know it. We all see it.

    Oh and by tge way…you do remember the PLPs own Jetgate dont you? Involving Globalhue. Ya thats what I thought. You dont want to talk about that and what it actually cost us, do you.

  5. Wicket Keeper says:

    And whst solutions have the PLP offered us? None! Wait Fintech right? And that has created how many jobs so far. Remind me again please. I beleive on handbshould be enough yo do the counting.

    The PLP under Burt has been a huge flop and we all know it. We all see it.

    Oh and by tge way…you do remember the PLPs own Jetgate dont you? Involving Globalhue. Ya thats what I thought. You dont want to talk about that and what it actually cost us, do you.

    Surely the People Campaign will rise up again and march now, right?!

  6. Ringmaster says:

    Billions of dollars of gold from Arbitrade will save the day! But where is Arbitrade? Premier Burt took personal credit for introducing Arbitrade to Bermuda so where is it? Where are the jobs and the donation to the chicken farm (Bermudians back to the plantation)? Was Arbitrade a scam? Surely not.

  7. 2 Bermudas says:

    Just wait till the airport is completed next year. Pee El Pee is hopeless!! Ewart Brown is taken care of though!!

  8. Admiralty House Saviour says:

    Economic Stimulus??? Get real Mr Cannonier! Economic Stimulus is a fancy word for DEBT! The leader of the the brain drain and immigration party wants us to borrow more money and ….presumably…..use it to import more gasoline or buy imported sweet drinks or alchohol from the wall to wall chillers in local gas stations!! His question shows he has learned all he knows from watching too much US television news. Only RICH countries with very large, well educated, populations have the ability to “stimulate” their economies – that is, increase their economic growth – by borrowing more funds and spending it on consumption. Bermuda, unfortunately is not one of those countries. Get used to it….this is what a real economy feels like in most places in the world.
    Bermuda’s economy grew far faster than its population and educational levels for 25 years, and now, now its time for growth that is tied to, and driven by, the population growth, the educational attainment, and the productivity of the island’s population to be accepted by the population. Borrowing more funds for “stimulus” is folly, and dumb!

    And please stop advocating for “increasing the Island’s population” as it is clear from this Butterfield Story that Fin Tech will ensure that Bermuda’s finance and insurance sector survive with about 60% less employment cost than currently. So no need for more foreign workers as no one is hiring, only replacing workpemits with young educated Bermudians, or new foreign talent.

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