Kim Wilson on Economy & Unemployment Levels
Minister of Economy, Trade and Industry Kim Wilson spoke on Economy and Unemployment Levels today [Jan 13], saying “the stark reality is that our local economy is contracting and jobs are being shed across industries.”
The Minister went on to describe how data is collected, and speak of efforts being undertaken to assist the situation including an economic roundtable discussion, $250,000 worth of work available through the Bermuda Small Business Development Corporation’s Construction Incubator Programme, procedural changes being implemented as it relates to work permits, collaboration with the island’s churches and more.
Minister Wilson’s full statement follows below:
Good afternoon and thank you for joining me.
In recent days, there’s been vigorous discussion throughout the community surrounding Bermuda’s unemployment levels.
I’ve watched, read and listened to a national debate on unemployment which seems to have escalated to a rancorous noise. Recently, I called in to a talk radio show, something I rarely do, in an attempt to clarify some misinformation in the community
So today I wanted to do two things.
Firstly, I will clarify – for the sake of the media and the public – the latest official statistics regarding unemployment and outline the process and tools that Government uses to collect this official data.
And secondly, I want to highlight steps we are taking as part of our action plan to address the current economy and employment in Bermuda.
Let me start by reminding all that we still remain in the throes of an economic downturn, not just here in Bermuda – but worldwide.
And the stark reality is that our local economy is contracting and jobs are being shed across industries.
However I must stress – and this is a critical point – that the rate at which jobs are being shed, the extent of the issue and the numbers and figures being disseminated from other entities is purely speculative at this stage.
I want to remind the public that Government’s main objective during this economic challenge is to facilitate and stimulate economic activity wherever possible in order to sustain employment levels and household incomes.
And as the Minister of Economy, Trade and Industry, this is a mandate that I am strongly committed to executing.
Now let’s take a moment to look at the data collection methods.
The Labour Force Survey:
In May 2009, the Department of Statistics conducted its first ever Labour Force Survey.
This survey was administered to a sample of Bermuda’s households to gain a reliable measure of both employment and unemployment.
The results of the survey, released to the public in February 2010, revealed that Bermuda’s rate of unemployment was 4.5 %. Further, the employment to population ratio was 69.8%; notably the estimated working population in 2009 was 36,549 while total persons of working age was 52,400.
I want to pause here and point out that a Labour Force Survey was not undertaken in 2010 in light of the fact that the Census would be conducted.
It would have been a redundant exercise to conduct two data collection efforts that would have yielded identical information.
As you’re all aware, the Census is still in progress, hence we don’t have definitive unemployment data for 2010.
This is one of the many reasons why it is vital that residents who have yet to participate in the 2010 Census, do so as quickly as possible so that we can get the full employment picture.
The Employment Survey:
Another measuring tool which is used by the Department of Statistics is the Employment Survey. This counts all job positions in the workforce.
This survey is administered to employers, opposed to households. However, there are at least three pieces of information from this survey that can be used as indicators of rising or falling employment levels – the number of vacancies, redundancies and dismissals.
The Employment Survey is conducted annually and the results are released in the Employment Brief each August. The last Employment Survey was released in August 2010.
Yes, there are other data sources used to track employment however care should be exercised in both deciphering and communicating this information.
Future Planning and Working Together:
Ladies and gentlemen, stimulating the economy and retaining jobs requires a joint effort.
That said, I have extended an invitation to our partners and stakeholders in the business community who have willingly expressed a desire to meet with me on a quarterly basis so that we can collectively discuss the way forward.
Therefore, later this month, I will participate in an economic roundtable discussion with a number of professional organizations such as the Association of International Companies, Business Bermuda, The Association of Insurers and Reinsurers, the Chamber of Commerce, the Bermuda Hotel Association, the Construction Association of Bermuda and the Bermuda Employers Council to hear their views on the labour force issues facing the industry.
I’m expecting this to be a collaborative effort, because only with everyone working together to find solutions can we sustain as many jobs as possible.
Additionally, I am pleased to announce that steps have been taken to offer employment opportunities to the graduates of the Bermuda Small Business Development Corporation’s Construction Incubator Programme.
Available funding set aside for this programme up to the value of $250,000 has been identified to hire these companies to undertake a series of minor jobs over the next few months.
This prospect will supplement work that will become available as a result of the Bermuda Hospitals Board’s project expected to commence in the near future. In fact, just this morning, I met with representatives from the BHB to reinforce the need for effective processes to be in place to avoid qualified Bermudians and wholly-owned Bermudian companies from being displaced.
Further, a programme designed to ensure that unemployed persons are “work ready” to enter the hospitality industry is in the development stages in cooperation with the Bermuda Hospitality Institute and industry partners. We anticipate that this programme will be rolled out in the coming weeks.
Finally, in an effort not to leave any Bermudian behind, this Ministry has reached out to the Island’s churches. We’ve asked church leaders, and many have agreed, to participate in a sustainable programme aimed at servicing those unemployed persons in their communities.
This Ministry has committed to partnering with them to extend support services currently being offered via the Department of Labour and Training.
I very much look forward to the partnership and to launching this important initiative in the coming weeks.
Finally, this Ministry is also pleased to announce that procedural changes are being implemented as it relates to work permits. The relationship between the Department of Labour and Training and the Work Permit section of Immigration is becoming more refined, more aligned and more transparent.
Employers will be invited to consider all of those registered with the Department of Labour and Training wherein the skill sets match those applicable to a job prior to work permit applications ever being considered.
Ladies and gentlemen as I close, I want to offer a few final, personal thoughts.
There isn’t a day that goes by where the plight of our unemployed Bermudians is not foremost on my mind.
I recognise that the economic and labour force challenges are affecting each and every one of us in one way or another.
Many in this community believe that as a Government Minister, I am unable to relate to this situation.
Not true. Not only have I been affected in my own immediate family, like many other residents, I have relatives and friends who are also affected.
It does weigh heavy on my mind to know that people are struggling to make ends meet and that many families in Bermuda are just one pay cheque from losing everything they have worked hard for.
But I want to assure the people of this country that we are doing all that we can to address the challenges that we are facing.
To the residents of Bermuda who are currently unemployed and are actively seeking jobs, I urge you not to give up.
Best selling author Brian Tracy once said: “Never consider the possibility of failure. As long as you persist, you will be successful.”
As you seek employment, I encourage you to take advantage of the services of the Department of Labour and Training and the National Training Board.
There are dedicated employees there to help you find the right career opportunity.
To those of you who are currently employed, please do not rest on your laurels or become complacent. Be punctual to work and give nothing but your best to your employer.
And always bear in mind that during these times we can no longer afford to give half an effort – ensure that you are offering no less than 150%.
Ladies and gentlemen, I am confident that with all I’ve outlined above – particularly the aspect about working together – that we will be able to navigate through these challenging times and come out the other side, stronger and more resilient as a people, and as a country.
Thank you.
At the end of the speech she concluded…”At least I’m still employed for now and the Bermuda public is paying my handsome wages!”
Uh huh. What she wanted to say (and after the ticket incident I guess she learned her lesson) was “I don’t know about y’all, but at least I have a job!”
Nice spin, Doctor. Bermuda’s economy is stage 4 cancer. At this point, we need a miracle.
This is so sad, that Bermuda is now just making adjustments to spending when this recession has been going on since at least 2008. This government is Billion in debt thanks to ‘you know who’ and the person who should have been watching the funds is now the Premier. I pray for those who have lost their jobs and especially my fellow civil servants who’s jobs may now be lost.
No disrepect Senator Wilson but as the struggle continues people are getting more and more frustrated. Hearing you say be patient while they are literally one paycheck away from losing everything is a bit easier said than done. Ads appearing in the paper simply because “the law” says this is what every prespective employer must do..the positions are already filled nine times out of ten and please don’t try and tell me that, that is not the case as I can tell you that a major hotel is guilty of this..We are in some serious times and all talk and no action is not going to cut it…The banks are not trying to hear that you don’t have the money to pay back your loan or mortgage, and landlords are not trying to hear that your rent is going to be late as they have obligations as well, and I don’t see any ads letting us know that they are giving away groceries for free…We don’t need the results of any census statistics to let us know what dire straits we are in because by the time they finish collecting the data it will be inaccurate any way as more people will have lost their jobs!!
What a load of spin, please. how long has the world been in a recession and these folks now face up to the fact we are there. Partnering with the churches, wow. what next. no plan, no idea of how best to help those who truly need it. blind. voodoo economics.
A statement remarkably full of waffle and lacking in actual facts.
She’s finally admitting she doesn’t know the extent of the employment problem. Has no idea.
With all this incompetence on employment stats and the attempt last week to suggest that Government Ministers are exempt from certain laws (like parking restrictions), this hasn’t been a very week for Ms Wilson, has it.
This place is going down the tubes.
Hotel Developments with Casinos needed. No hotel developer will put the cash down without it. Just think of how many construction and hospitality jobs there would be, Just think of the gambling tax $$$ that would roll on in. Oh wait, I forgot, it would be detrimental to the community, more so than unemployment. I wonder how the rest of the world cope with Gambling?? We need to modernise the ideals in this country before we can even dream of recovery. Bermudians need to learn hospitality and we need to learn what sells tourism business to regenerat a pillar in our economy. Bermuda is 2 hours away from NY city! People should want to come here!
Given that the Census is already running almost a year behind schedule(notwithstanding the fact that countries with populations in the hundreds of millions have already completed the process), by the time the Census data is actually gathered, tabulated, entered into a system and numbers (as of May 2010)extracted, we’ll still be left with a picture that is at least a year outdated. How many articles have appeared in the paper since May 2010 notifying of job losses?! More than a few.
how about we cut back on the foreigners on the island, kick them out and stop saying Bermudians dont want to work. Its so easy and ignorant to of companies to say that.
its so naive for someone to say “cut back on the foreigners”. how much does work permits generate as income for the government? for every work permit it around $700. income lost if you “cut back”. for every foreigner kicked out thats loss of rental income for the landlords, supermarkets, dept stores, utility companies, tcd, insurance… need i go on? these are short term solutions to a very huge problem.
U think Bermuda will fold if you white ppl left..We would thrive without your kind..
Wow…just wow. And some of you have the nerve to call all white people racist….wow…
hmmmm- and there are no white Bermudians……GROW UP!
…and here we have a major pillar of our problems… people who think like this
Jason – you may want to be careful what you wish for when you refer to “getting rid of the foreigners.” If every ex-pat (or “foreigner” as you say) were to leave the island, this place would be a 3rd world country begging for handouts. Who would pay the high rents? Who would buy $800 worth of groceries a week? Who would support teachers’ pay at private schools? Who would support local sports? Who would eat in restaurants? Whose relatives would come and stay in the hotels? Who would buy cars, gas? Whose money would keep the banks’ doors open? They are the ones with the disposable incomes. Don’t hate them because they went to graduate school and got higher levels of education and fill the MANY holes in employment that Bermuda suffers from. Be thankful that they are here spending their money here. It would be sad (and VERY SCARY) place if we were on our own. And yes, do I wish I had an advanced degree and got one of those high-paying jobs? ABSOLUTELY – but I didn’t and I don’t. That’s my own fault.
There’s a saying: “Don’t bite the hand that feeds you.”
i dont have to be careful with anything..I wish Obama did put a tax on these companies and they left the island. Their money is no good to real bermudians anyway. They rent apts. from white people, food and groceries from—–.if you havn’t noticed, people have been buying groceries all this time without work.
Kick whites from Canada and the US, Jamaicans, and hire Bermudians..
I would rather 3rd world country with only Bermudians then this b##shit with you foreigners all over the place..
Leave our island !!
No Jason , you leave. It’s my island too!
Does your call for expats to leave include black expats as well?
Do you consider any white people to be Bermudian?
what about filipinos? black expats? or can they stay?
and the white bermudians? can they stay or do they have to go too?
I almost fell off my chair laughing at your clueless response. You really have no clue. I feel sorry for you the day reality finally sinks in. When all of these “horrible” expats (of ALL races) leave our island, we’ll forward our replies to the blue tarp you’ll be living under at Horseshoe.
Good luck!!
Must hurt your head to know that white people voted Obama in init.
LOL
It is not so that Bermudians don’t want to work…what they really want is to be put into high paying jobs that they never bothered to qualify themselves for, and when they fail, accuse the business and the expat workers of being racists and move on to the next victim company. I worked in Bermuda for 4 1/2 years as a temp for a large company. Whenever they tried to hire me full time they were forced to give it to a qualified Bermudian. After the fourth Bermudian walked out because they were actually expected to know what they were doing, not to mention show up for work, the company was finally allowed to hire me. I think even the Government was embarrassed. There was a Bermudian secretary there who read the obituaries every day and took time off for anyone who died that had ever known her, her mother, her father, her cousins,you get the idea. Guess who covered for her during all this time off? Fortunately, my husband and I saw the light at the end of the tunnel and waved good-bye to Bermuda in 2007. To all of my friends that are still there, I wish you all the best and hope that you are not affected by the sad times in Bermuda now. If it’s any comfort to you, the same thing is happening in the Cayman Islands, after blaming companies and foreign workers for all of their problems for a long time. Maybe an attitude change would benefit both countries.
I applied for a job I was the only Bermudian applicant to apply. I had all the required qualifications. Within two days of my application, I received an e-mail thanking me for my application but I would not be interviewed for the position. The Dept of Labour and Immigration followed up but was unable to assist. All they could suggest was that I re-apply if the position was ever re-advertised! And you thought Bermudians come first!!!
an honest question, not being cheeky…. how do you know you were the only bermudian that applied?
I was told by the outgoing non-Bermudian holder of the job that only non-Bermudians had applied for the position. He encouraged me to apply and so I did. I understand that the position has still not been filled.
Oh you fools………………….
It’s the UBP’s fault. Blame them. Put it where it belongs and leave the Senator alone.
Damn…this country has gone to hell in a stem cell basket……………….
Jason, you on drugs? Or just frustrated.
She paid her ticket yet?
Behave Uncle Rucus!…LOL Stop sending that coldness from across the pond this way.
lol you missed that article?? yup she paid it… or so it was reported. maybe the ministry paid for it? who knows
The economy is CONTRACTING. And jobs are SHED. 2 words out of the Premiers speech book!
Jason:
Bermudians don’t want to work for the same amount of money that a foreigner will and do the job twice as well. It’s simple business. Why should a business owner pay a Bermudian $20 an hour when he can pay a foreigner $12 an hour that will accomplish twice what the Bermudian will? Until Bermudians accept those positions for that pay rate and work as hard as the foreigner things will remain the same.
Bermudians with families CANNOT survive on $12 an hour. Hell ones without families can’t survive on that. What drugs are you on? NO Bermudian should accept those positions for that pay rate. Do you realize how much that is a month? And how much a 1 bedroom to rent is? They wouldn’t even be able to pay other bills or eat for that matter.
So we should just sit around and enjoy our unemployment and empty stomachs? Is sitting on a wall all day better than having a paycheck? I would rather have a smaller paycheck than NO PAYCHECK. Say what you want about pride and what we deserve as Bermudians, but I would have no pride if my azz was sitting on a wall all day while respectable people were out trying! Talk about feeling like a complete loser!
It doesn’t matter how much a 1 bedroom apartment costs and how much your other bills amount to if you don’t have a job – you won’t be living in a 1 bedroom apartment with electricity – you’ll be on the street or in a shelter. And that right there is where we are headed with your attitude!
Keep sitting on the wall.
Ok “myopinio”n he is acutally in college getting a degree to come back to Bermuda to work… so HE IS NOT ON THE WALL!
I own a business…. and have an ALL Bermudiams work force always have!… and they ALL work their butts off… soo we have to stop generalising there are some young and old that WANT to work… BUT I did go through 3 years of guys showing up late, or coming in on time and sitting off to read the paper (in front of the client) then 45 minutes later getting up to work go then take a brake 1 hour later…. or they are on their phones all day, whilst they are working, and making costly mistakes at MY EXPENSE… or they dont show up for work for a whole week, read the bb messages, but dont answer the phone… know that a job is critical to complete for not only the employer but the client as well…. But call a 10 days later like they have been on vacation, or off sick.
So I have seen both, those that want to work and those that don’t….its all about maturity and having been taught the importance of giving your all no matter what…
There are a lot of contributing factors to why this country is the way it is… ALL political parties have played a part, the seeds (deeds) that were planted in the 80′s are now tall trees that we are finding impossible to cut down, and the seeds (deeds) of the nineties are just getting their strength, but because the 80′s trees seem impossible to tackle, you go after what seems to be easier…
We need a balance of Bermudians and expats to make Bermuda a better place… just as we have gone overseas and contributed or been a burden to other societies. We just have to find the balance and do it with BERMUDA’s BEST INTEREST at HEART… not just our pocket books… there is enough wealth on this island for everyone to be comfortable.
you sound so stupid saying a forigner will do the work twice as fast..with people like you thinking like that bermuda will never get better…same problem as the US but on a smaller scale. Outsourcing cheap labor..
Secondly, Idk if you think these foriegner work real hard, your probably from Canada or sumthing
Jimmyjohn…you hit the nail on the head.
We payed all those foriegn contractors and kept much of the ‘change’. Just imagine if we had hired Bermudians..
WE BE BROKE……………………………..Bawhahaaaaaaaaaaaaaaaaaaaaaaaaaaaaa
Bernews, can you confirm that 15 workers were laid off today from (edited).
Not 100% no, but seems highly likely – although we aren’t sure on the numbers yet. We heard from multiple people there were layoffs at the place you mentioned today, and would venture to say its true, still seeking confirmation however.
Thankyou, I overheard a conversation from one of the employees at the firm, it was announced early in the day. If it’s true do I win a prize for reporting it to you? a free car maybe?
300 about to be fired from one company..one insurance company in run-off and leaving when they’re finished…another insurance co moving it’s execs off island… Can’t the qlq do anything?
This government has created a bad environment for these firms. The recent tax increases was the final straw. The past immigration minister greatly ticked people off in his tenure, now we all have to pay. What should we do now? I say gid rid of the arrogant ministers that think they can do as they please, starting with the Col. Once the IB community sees that these people have been removed then maybe they will show some compassion. Unfortunately the Premier will have to resign too, before these Giants will be willing to settle. There are a lot of good talented ministers in gov. Right now but heads need to roll first. For the good of the community.
Nope!! Too late, damage is done.
300 about to be fired? Somehow I do not believe this to be true. Stop spreading unnecessary fear please
No fear spreading here mate. Said company has ‘financial backing’ from our lovely government and so when the company went to get an OK from the gvmnt they were told no… 80 of the original 300 have now been ‘selected’ for termination…
And don’t get mad at me but well over 1000 will lose their jobs this year…what do you think of that?
i think i’d like to know where the info is coming from..
not to say i dont believe it, but those are big numbers to be just tossing around.
Straight from the horses mouth (an employee at said bank..I mean company)..
Yes from Appleby.. my relative was one…
ONLY 2 EX-PAT’S
Well…there goes your haircut……..always wanting something.
What a load of meaningless waffle! She obviously has no clue. The PLP was warned years ago of hard times coming. They ignored the numbers & partied on. $1B worth of debt later thanks to the great farmer who “ploughed the field” then disappeared just as the brown stuff was hitting the fan, & we have the Finance Minister who sat silently & did nothing about the fiscal rape, is now the Premier & still Finance Minister.
Only in Bermuda…a place that truly is ‘another world’.
Anywhere else people would be protesting in the streets demanding that the Government resign. Not in Bermuda. The deer are standing in the middle of the road cluelessly waiting for truck to hit them.
I think the truck has hit, they’re just unconscious and in disarray about it… thinking it cant be real. IT IS!!! Wake up, and get your act together – its our future out there in EVERYONES hands!!
I think the truck as has hit too only there were no deer standing in the middle of the road only sheep….
can’t the govt has so successfully got people fighting amongst each other.. or at least convincing their voters that the enemy lies elsewhere, that it doesnt matter what they do, anyone that complains should be berated on the spot.
Triangle I am of the opinion that she,and others in Government, do have a clue but cannot tell the truth. It is better to waver around the issue and use political double speak than to just come out and say “As of May 2009 unemployment was X and now as of Dec 2010 unemployment is Y. If they gave you the real numbers you would be blown away. From a place where everyone could have 2 jobs if they wanted to the Unemployment we have now.
So the long and the short of her remarks is the Government truly has no idea what the actual unemployment numbers are – with the last bit of data now almost two years old (May 2009) – and don’t want to duplicate efforts to find out even though the Employment Survey (which is still in place) can certainly help.
She goes on further to state “that the rate at which jobs are being shed, the extent of the issue and the numbers and figures being disseminated from other entities is purely speculative at this stage” … but is either unwilling, unable or incapable of refuting the estimates of business professional who actually employ Bermudians!
Concurrent with the foregoing how can a rational and right thinking Finance Minster undertake an effective, meaningful and accurate budgeting process if revenue estimates (associated with payroll tax, consumption trends, etc.) are based on outdated employment data?!
Simply stunning.
Tell her get rid of de Damn foreigners who aren’t in executive decisions cause majority of the ones unemployed can’t fill them positions anyway.
Then bermudians get off ya rass and goto work!!!
No man is an Island … No man stands alone!
None of the layoffs happening should come as a surprise. Last year it was said around 1,000 people in Bermuda would lose their jobs. This is a sad time and I wish the best of luck to all who have lost their jobs or had their pay cut. Pretty soon only a minority of people in Bermuda will be able to afford to buy anything. If retailers and restaurants are to keep a viable market, then lowering prices to keep up with the current economic situation would be very very wise. Otherwise the market will not be viable. The grocers will be taking any last extra penny one has because you always have to eat. Although groceries are extremely expensive it isn’t even close to the price of a meal out.
Hopefully Sara we will have removed the nasty people in government. we can do business and run this country efficiently , but a few in Government have Ulterior motives.
Bermudian’s I have been fighting this all my life the Gov is not going to help!
but they are helping ex-pat stay here, Trust me if you are Bermudian you will NOT
be hired!!! they run the show now!! all the home’s that will be lost! they will
change the law so ex-pat can buy them, I could go on and on!!! Bermuda you got
to nice and put your guard down. It is very sad!