Ministerial Statement: Work Permits & Economy
Earlier today [July 13], Senate Leader and Minister of Economy, Trade and Industry, Senator Kim Wilson delivered a Ministerial Statement that touched on work permits, term limits and incentives aimed at stimulating economic growth.
Full Ministerial Statement below:
Madam President, in January of this year, I convened the first of what would become a quarterly forum for key stakeholders to engage in open discussions regarding the economy. This forum would become known as the Economic Roundtable.
The purpose Madam President was to engage key stakeholders and to hear the views of the industry on ways to stimulate economic activity and sustain jobs; the idea being that collaboration is key to navigating successful outcomes for Bermuda.
Madam President, the second quarterly meeting was held in May. The organizations that participate in Economic Roundtable include: The Chamber of Commerce; The Construction Association of Bermuda; The Association of Bermuda International Companies; The Bermuda Employers Council; The Association of Bermuda Insurers and Reinsurers; The Hotel Employers of Bermuda; The Bermuda Hotel Association and Business Bermuda.
These industry partners share the common view that: “any form of job creation or stimulus for the Bermuda economy requires foreign currency and therefore the help of outside investors.”
They have opined that: “International business and tourism are the Island’s only sources of foreign currency and as international business is the primary growth engine we must focus on ways to keep the international businesses that are currently here, and, attract new international business to the Island.”
Their view is that: “This means creating certainty for international business and adopting user friendly policies and procedures with respect to Immigration.”
Further, they’ve stated that we must work at: “changing the view of international business from being “guests” to being long-term partners in Bermuda’s growth” and that “we must work together to improve the Bermuda brand and communicate our willingness to compete for new business.”
Madam President, the group holds the view that term limits on certain job categories serve as a barrier to entry for new businesses and represents a hassle for those that are already here.
Notwithstanding this view Madam President, it should be noted that Work Permit term limits do not apply where the individual is key to the business.
As a result of ongoing discussions and collaboration with industry partners on economic issues, the government has identified certain measures geared towards promoting the fact that Bermuda is open for business.
You will know by now Madam President, that the first of these measures involves providing incentives to the job-makers.
To this end, amendments to the Economic Development Act 1968 and the Bermuda Immigration and Protection Act 1956 have been proposed. Rest assured Madam President that such incentives are linked directly to employment benefits for Bermudians.
Madam President, the incentives include a package of concessions that will be available to qualifying companies to include:
• Work permit waivers for business owners, their Chief Executive Officers and other senior executives up to a maximum of 5 in each company. This will be complemented by an eligibility to apply for Permanent Resident’s Certificate status after a ten year period;
• Automatic exemption of term limits and ten year work permits for persons with executive responsibility; and
• Eligibility for exemption from term limits for specific job categories.
During the latest round of discussions at the May meeting of the Economic Roundtable, related proposals were applauded by industry as a step in the right direction.
Madam President, it is our collective belief that by making it easier to do business in Bermuda, we will make Bermuda more attractive as an international business jurisdiction.
The more attractive Bermuda becomes, the more successful we will be in growing the number of international businesses and therefore creating new jobs for Bermudians, and creating more work for local companies.
Madam President, we recognize that with each new international business that establishes a physical presence here, there will likely be new expatriate workers to take up some of the jobs. However the jobs held by expatriate workers create jobs for Bermudians.We continue to make great strides in preparing more and more Bermudians to take up jobs in the knowledge-based categories of the workforce.
However, in order to maintain and grow our economy, we recognize that we will continue to be reliant on a healthy mix of Bermudians and non-Bermudians.
Guest workers are vital to the success and survival of Bermuda’s economy.
To ensure that Bermudians are not left behind, companies that qualify for the package of concessions that I have spoken about today, will be required to demonstrate that Bermudians are represented at all levels within their organizations, and to provide entry level positions to young Bermudians.
Madam President, this means that qualifying companies will have programmes in place for developing and promoting Bermudians.
Clearly, Madam President, this is a proposal that benefits the Bermuda economy as well as the Bermudian workforce; it is but one measure that is a part of the overall plan to stimulate the Bermuda economy.
Thank you Madam President.
Read More About
Category: All
Unemployment in construction is 21.2%, I wish these guys would tell the truth. We all need to education ourself in this tough market only way is a degree or change your career.. search online for “High Speed University” for career advice
The PLP have now recognized that their previous policies were a disaster for Bermuda. But so long as the PLP stay in power, the likes of Ewart Brown and Col. Burch lay in the wings waiting to take back power. The PLP is a fragmented ticking time-bomb. Bermudians now need to think about their children and make the PLP redundant. From that a new political party will emerge. A party that maybe I might consider as an alternative for Bermuda. The PLP (like the UBP) is a legacy party which is unable to change. So long as it remains in power, the machination of the PLP will be to place its supporters first and Bermuda in a distant second place.
A quote from the release:
The more attractive Bermuda becomes, the more successful we will be in growing the number of international businesses and therefore creating new jobs for Bermudians, and creating more work for local companies.
Bermuda was attractive for business and was very successful until this PLP Government put in place the vary barriers they are now removing. If the Government understood business then they would have known, and were told many times, that the barriers would hurt Bermuda. Now they have seen the effects they are trying to reverse them, but it is like trust – takes time to build and a second to destroy. Trust in this Government disappeared many years ago.
Minister Wilson,
I am very encouraged by your initiatives to stimulate the local economy. I also believe we need to ensure there is more respectful discussions with our international partners (from both sides). The reality is that there needs to be an effective and mutual partnership in order for us to have sustainable success.
The businesses are here to make money (which is completely acceptable given our market economy) but they can not be expected to prosper if Bermudians are not simultaneously progressing economically. Therefore, I look forward to your incentives ensuring that Bermudians that are appropriately trained and qualified are given genuine opportunity for meaningful employment.
I also encourage the international sector to provide genuine training opportunities to Bermudians and not use superficial excuses for not hiring Bermudians.
Congrats to Min. Wilson, your Ministerial colleagues and international business executives.
Indeed it seems that, unlike her colleagues, Minister Wilson might actually be listening to the public. Congratulations Minister on a positive step. I hope that some of this rubs off on the other PLP MPs. Not holding my breath though – there’s not a lot of ability there. Just race baiting and ignorance.
OK, so its all voe-getting claptrap. The PLP is trying so hard ot run into the center field that it will soon leave the OBA behind. After all, I see no new policies coming from the latter. However, as is pointed out, we are largely in this mess due to PLP policies, and I really don’t see any real team changes. Look at what has just happened in the medical drugs industry (worth 100s of millions over a few short years).
Now, about training. I disagree that foreign companies should be responsible for training Bermudians. That job must be done by the government and people themselves. Companies always do in-house training (promotions; management; additional skills, etc.) but they should not be seen as the primary educator. More direction is needed at an early age (as to careers) and Bermudians should not all be encouraged to go off to colleges and come back with general BAs. Again, it seems education is the bottom line here. Without it, and international business, there are no jobs.
A quick response @ Joe
The point about training Bermudians reflects the current frustrations of many qualified Bermudians. Their legitimate concern is that in some cases they start with equivalent or superior education than their non Bermudian counterparts. Notwithstanding the non Bermudians receive more job specific training and subsequently get preferential promotions. I accept that this is an issue that is longstanding and will require lots of retraining in terms of how we think (i.e. a new paradigm) but it is a reality.
In summary, my point is not that companies should train unskilled Bermudians but rather, they should offer equal training opportunities (including overseas secondments) to ensure that Bermudians are fully exposed to all aspects of their job and are therefore well prepared for legitimate promotions. If this is achieved, I think everyone will be more accepting of non Bermudian wrkers, no matter how many are required.
Perhaps.
But look at what we are asking. exempt companies to educated and train; to pay the lion’s share of our taxes; to donate -say 80%- to our charities; to sponsor all our special events; and to provide security for everyone’s future. In return, they get, what? Well, nothing long term.
I actually do believe that these companies do give Bermudians equal opportunity, and do promote them equally. Look at the companies’ records. But does everyone get what he wants? No. Are these types of claims (they promote foreigners over locals) just broad generalizations or reality? Should we not get our house in order before we start to berate them into doing what we need done?
Yes, it is a fine line but perhaps it is time that we must learn that our future success is not dependent on what we want, but on what we can get others to do for us. And it makes no difference what you do -drive a bus or fly a plane- there is not one hard penny earned that does not come from foreign exchange.
In the old days boys jumped in and dove for it; they wrote a song about it; and like it or not, we are still ‘working for the Yankee dollar’.
Kuddos to Minister Wilson for listening to the people of Bermuda, to international business, and making a POSITIVE step towards trying to turn this ship around. I can only hope that she has the support of her party, and that they realise that she appears to be understanding the bigger picture. Certainly there are policies that she has put in place which I wouldnt agree with – ie moratorium on all house keepers, nannies etc, which i personnally believe she should retract, but she appears to be the only one in the party that is willing to say, OK, this isn’t working – we got it wrong, let’s try and fix it.
Minister Wilson will make a great Premier!
that all i have to say
Will the real PLP please ‘STAND-Up’, because clearly you are not the folks that got voted in 13 years ago based on the following platform issues:
1. The then Oppostion Minister for Immigration told us that the sky was Falling because the percentage of expats occupying jobs in Bda hovered around 18%. He told us that if this was the case in most European countries they would be rioting in the streets. He said that we needed to protect our jobs and threw out some catchy slogan like ‘Bermuda for Bermudians” and we said, ok, so let’s get to work. But then something very strange happend, they got elected and that number swelled to approximately 31% under this PLP government…Hmmmmmmmmmmmmmmmm
2. They said that Bermuda needed to ensure that Bermudians where given a fair chance of rising to the most senior positions within tourism and those comforting words ‘Bermuda for Bermudians’ surfaced once again. Yeah you guessed it, 13 years later, they have all but destroyed what the UBP had protected and that was giving Bermudians a fair chance of reaching the most senior positions in the Tourism industry. Oh heck, when the UBP left office Hotels need not apply for work permits for hotel, Conventions Services Managers,Front Office Managers, Operations Managers, Reservations Managers, HR Directors, Directors of Sales & Marketing, Financial Controllers and Hotel Managers. Many in the industry felt it was only a matter of time before Bermudians would become General Managers of the top hotels, such was the talent at some hotels. Have a look today and after 13 years under this lot what you will see is that Bermudians have all but said goodbye to the industry and many top former hotel managers now work in other industries.
3. This progressive lot said that mega schools, namely Cedarbridge would be the runination of education in Bermuda and roundly slammed the then Minister of Education. Yes, you guessed it,they took office and in quick time , we got another mega school–Berkeley. Oh and yes, some $40 or $50 million over budget.
4.They said that the UBP didn’t see a consultant that they didn’t like, hmmmmmmmm,I think you know where i’m going with this…yup, they took hiring consultants to a whole new level and the price tag was HUGE $$$$$$$$$$$$$
I could go on an on with examples but i think you got the point a long time ago.
So, I will ask one more time, ‘Will the real PLP stand-up.’ Because by your actions it’s clear that what we heard 13 years ago was just political posturing, and what we have received something very different.So we are now at a stage where the UBP have gone away, The PLP have shown that they are not the group that many supporters thought they had voted into office, this new hybrid group the OBA, are not sure who they are and so in good concious how could any body take them serious. What a mess!!
Just a quick response @Bill.
Clearly any government has to govern. When decisions are made, they are made on the basis of circumstances that obtain, but with an eye on the future. In the circumstances, there have been drastic changes for Bermuda and the world over the past 13 years. It would therefore be foolhardy for the PLP to stick with prior decisions when circumstances have changed. My request?? Please be more practical and give credit where credit is due. Whilst we will not always agree, the Minister’s statement is clearly in the best interests of Bermuda.
The question I have is why is it only “select” (big bucks) companies that this affects?
There are many small Bermudian owned companied that have contract key employees, employees that have been managing these companies for many years. Employees that have been investing in Bermuda as a country, but because their annual income doesn’t contain the word “millions” they are left out in the cold…
Discriminatory is a word that comes to mind!!