Oil spill material on course for Bahamas
By K. NANCOO-RUSSELL
Freeport News Reporter
krystal@nasguard.com:
Although it is suggested in several Internet reports that the Deepwater Horizon oil spill is likely to affect Grand Bahama in the future, local Ministry of Tourism officals have been silent on what, if any, steps are being taken to assure potential tourists that the island's coast is clear.
A search by reporters on different online locations showed various mentions of Grand Bahama in articles discussing the threat of the spill which is currently spreading in the Gulf of Mexico.
There are also queries submittted on message boards by persons who have already booked, or were planning to book, vacations to The Bahamas on whether the oil spill would affect their stay in any way.
An article written by the Managing Editor of the cruisecritic.com website Melissa Paloti addressed concerns about whether cruise ports would be affected.
"We're keeping a close eye on ships that call on Nassau and Freeport in The Bahamas, as well as those that turn around regularly in Florida homeports, such as Miami, Fort Lauderdale and Port Canaveral," it read.
"Lines include Carnival, Royal Caribbean, Celebrity, Norwegian Cruise Line, Princess and Disney. Spokespersons for all of the above-mentioned lines have all said that no itinerary changes have been made though they continue to monitor the situation."
Another article by All Headline News Editor Ayinde Chase pointed out that water samples taken from the Florida coasts have confirmed low concentrations of subsea oil.
"This news confirms what many had already suspected and now give further evidence that pieces of the Gulf oil slick are breaking off and beginning to enter the loop current, possibly propelling tar balls towards beaches in the Bahamas and South Florida over the next several weeks," the article reads.
"Currently news of the northern Gulf Coast dominate the headlines but soon Freeport, Grand Bahama Island, even Nassau could be impacted by drifting oil pieces caught in the Gulf Stream current, which flows around the tip of Florida and passes along the western end of The Bahamas."
When The Freeport News contacted the director for the Ministry of Tourism's Grand Bahama Office on Wednes-day, Karen Seymour, she said no one from that office would be able to speak on the matter. Reporters were re-ferred to the Ministry of Tourism's Plantation, Florida office on Tuesday but have been unsuccessful in obtaining a statement up to press time yesterday.
Florida officals lauched an advertising campaign proclaiming that the state's "coast is clear," in an attempt to mitigate the losses in-curred by trip cancellations. The campaign was later pulled as the threat of the spill reaching those shores loomed. The Ministry of Tourism has announced no such campaign for The Bahamas.
The Freeport News has learned that a meeting is expected to be held on Monday (June 14) with members of the Disaster Preparedness Committee and other officials to discuss the contingency plan created by the government. Admini-strator Don Cornish said the meeting will seek to assess the infrastructure and resources available on island for use in the event the spill comes to local shores.
"We will talk about the plan that has been submitted and examine it to see how we can put resources in place to respond. In addition to that we are going to identify volunteers to assist us with clean-up if in fact we have contamination of our beaches," he said.
Commandeer Patrick McNeil of the Port Depart-ment confirmed that a team of scientists left New Providence yesterday, headed for Bimini where they will collect water samples and information about existing marine life to serve as a benchmark should conditions change. The exercise is similar to the one conducted in Cay Sal last month. The team is expected to return to New Providence on Sunday and another expedition is planned for Grand Bahama sometime after that.
An article posted on the discover-eleuthera-bahamas.com site pointed out that the danger of an oil slick expansion comes from the action of the loop current which is active in the Gulf of Mexico but which does not touch Eleuthera, meaning that island's beaches are safe.
"But, that cannot be said of all other islands in The Bahamas. The Bimini Islands, famous for deep sea fishing, are endangered and so are the beaches of Freeport the second largest and highly touristic town in the Bahamas. Freeport is situated on the western tip of Grand Bahama island."
That current flows northward into the Gulf of Mexico, the article explained, then loops southeastward to the Florida Keys.
"From there it is called the Florida Current. The Florida Current flows west of the westernmost Bahamas, i.e. the Bimini Islands and Grand Bahama (Freeport). These are the Bahamian islands endangered by the oil slick," it read.
Another article posted on June 9 on the Atlanta Weather Blog noted that pieces of the oil slick are breaking off and beginning to enter the loop current, possibly propelling tar balls to-wards beaches in the Baha-mas and South Florida over the next several weeks.
"Freeport and Grand Baha-ma Island, even Nassau, could be impacted by drifting oil pieces caught in the Gulf Stream current, which flows around the tip of Florida and passes along the western end of The Bahamas."
"Assuming oil continues to spew from the broken well, various models suggest oil slick pieces cutting under the Florida Keys and heading towards Florida's east coast by early next week. Meteorologists foresee oil passing under Key West, Fla., possibly washing upon shores in Miami, and then heading north to Freeport, Bahamas."
A trajectory could also place oil pieces further south, the article continues, where (they) would affect beaches along Havana, Cuba and then swinging wide through Grand Bahama Island.
Accuweather staff writer Carly Porter writes that meteorological models show drifting pieces of oil cutting under Key West.
"There is the possibility that drifting pieces of oil could get swept up in the Gulf Stream and round the tip of the Florida Peninsula. Once in the Gulf Stream, oil drifters could be swept toward the Atlantic with the western end of The Bahamas the most vulnerable," he said.
"Oil in the form of tar balls could wash up along the beaches of popular tourist destinations of Grand Bahama Island and Nassau.
The accuweather.com meteorologists are predicting that drifting oil has a 15 percent chance of reaching Freeport within the next 30 days; a 20 percent chance in the next 60 days, a 25 percent chance in the next 90 days and a 30 percent chance in the next 120 days.
freeport news>Freeport News
A political blog about Bahamian politics in The Bahamas, Bahamian Politicans - and the entire Bahamas political lot. Bahamian Blogger Dennis Dames keeps you updated on the political news and views throughout the islands of The Bahamas without fear or favor. Bahamian Politicians and the Bahamian Political Arena: Updates one Post at a time on Bahamas Politics and Bahamas Politicans; and their local, regional and international policies and perspectives.
Friday, June 11, 2010
Zhivargo Laing: The Bahamas' best interest is worth the Free National Movement's (FNM's) political life
Laing: Nation's best interest worth FNM's political life
By KRYSTEL ROLLE ~ Guardian Staff Reporter ~ krystel@nasguard.com:
The austerity measures the government is proposing in the 2010/2011 budget were borne out of absolute necessity, Minister of State for Finance Zhivargo Laing said yesterday while contributing to debate on the new spending plan in the House of Assembly.
Over the past year and a half, the government has borrowed and spent millions of dollars to fund various initiatives in response to the economic downturn.
As a result, the national debt is nearing $4 billion.
But Laing said now that the economy is modestly rebounding, it is time for the government to try to right the country's finances.
He acknowledged that the measures that the government is taking could lead to some political fallout. Nonetheless, he said it is something that had to be done.
"To do the necessary is sometimes unpleasant, but always correct and always rewarding," he said.
"If sometimes you have to spell your political death, then march toward it. The truth is that this nation's best interest is worth our political life. We labored over many months, many hours to produce this budget. It is a challenging budget."
However, he added that it is "loaded with adequate provisions for every government ministry while all around the world civil servants are losing their jobs. We made provisions for every single civil servant to stay and they have seen not cuts in their salaries."
The government is seeking to increase the stamp tax on realty transaction, stamp tax on banks, hotel room tax, air and sea departure tax, vehicle tax, and the beer tax.
Additionally, all parliamentarians, including Prime Minister Hubert Ingraham, will take a pay cut.
Other cost-saving measures are proposed, including a stall on increments for public officers. Public service promotions are being frozen, except in special cases and public service employment is being frozen, except in extenuating circumstances, such as essential services.
Laing said there is no other way to enhance revenue but to increase taxes.
"The point is we should have a debate one day about this fundamental adjustment that we need to make to our circumstances, but over the next 12 months, we have to get revenue. We have to produce the revenue in a way that does not injure the people of the Bahamas," he said.
Laing said the country must begin to reduce the deficit and eventually begin lowering its debt to GDP.
Ingraham recently said the government debt at the end of June 2011 is projected to stand at 49.2 percent of GDP, up from 47.3 percent a year earlier.
Laing said the budget has long term implications that bode well for the country's future sustainability.
"For the next 12 months we have to attend to the business of the Commonwealth of The Bahamas. All of us are being called upon to act in a way to best assist the Commonwealth of The Bahamas to be better off financially," he added.
Laing noted that in some other countries public servants are being sent home.
He added that the majority of the taxes are levied at international sources and banks and not at the average Bahamian.
Laing also said the government is focused on its mission and vision for the country to have a dynamic and growing middle class, a level of saving for retirement, high levels of success for entrepreneurs and a modest level of taxation.
"That remains our vision and mission," he said.
"Our effort in this 2010/11 budget is geared towards putting us in a better position to fulfill that vision and mission."
June 10, 2010
thenassauguardian
By KRYSTEL ROLLE ~ Guardian Staff Reporter ~ krystel@nasguard.com:
The austerity measures the government is proposing in the 2010/2011 budget were borne out of absolute necessity, Minister of State for Finance Zhivargo Laing said yesterday while contributing to debate on the new spending plan in the House of Assembly.
Over the past year and a half, the government has borrowed and spent millions of dollars to fund various initiatives in response to the economic downturn.
As a result, the national debt is nearing $4 billion.
But Laing said now that the economy is modestly rebounding, it is time for the government to try to right the country's finances.
He acknowledged that the measures that the government is taking could lead to some political fallout. Nonetheless, he said it is something that had to be done.
"To do the necessary is sometimes unpleasant, but always correct and always rewarding," he said.
"If sometimes you have to spell your political death, then march toward it. The truth is that this nation's best interest is worth our political life. We labored over many months, many hours to produce this budget. It is a challenging budget."
However, he added that it is "loaded with adequate provisions for every government ministry while all around the world civil servants are losing their jobs. We made provisions for every single civil servant to stay and they have seen not cuts in their salaries."
The government is seeking to increase the stamp tax on realty transaction, stamp tax on banks, hotel room tax, air and sea departure tax, vehicle tax, and the beer tax.
Additionally, all parliamentarians, including Prime Minister Hubert Ingraham, will take a pay cut.
Other cost-saving measures are proposed, including a stall on increments for public officers. Public service promotions are being frozen, except in special cases and public service employment is being frozen, except in extenuating circumstances, such as essential services.
Laing said there is no other way to enhance revenue but to increase taxes.
"The point is we should have a debate one day about this fundamental adjustment that we need to make to our circumstances, but over the next 12 months, we have to get revenue. We have to produce the revenue in a way that does not injure the people of the Bahamas," he said.
Laing said the country must begin to reduce the deficit and eventually begin lowering its debt to GDP.
Ingraham recently said the government debt at the end of June 2011 is projected to stand at 49.2 percent of GDP, up from 47.3 percent a year earlier.
Laing said the budget has long term implications that bode well for the country's future sustainability.
"For the next 12 months we have to attend to the business of the Commonwealth of The Bahamas. All of us are being called upon to act in a way to best assist the Commonwealth of The Bahamas to be better off financially," he added.
Laing noted that in some other countries public servants are being sent home.
He added that the majority of the taxes are levied at international sources and banks and not at the average Bahamian.
Laing also said the government is focused on its mission and vision for the country to have a dynamic and growing middle class, a level of saving for retirement, high levels of success for entrepreneurs and a modest level of taxation.
"That remains our vision and mission," he said.
"Our effort in this 2010/11 budget is geared towards putting us in a better position to fulfill that vision and mission."
June 10, 2010
thenassauguardian
Thursday, June 10, 2010
The revelation that the Bahamas government would not legalize gambling for Bahamians was like a slap in the face to some number house bosses
Numbers houses 'losing business'
By KRYSTEL ROLLE ~ Guardian Staff Reporter ~ krystel@nasguard.com:
The revelation that the government would not legalize gambling for Bahamians was like a slap in the face to some number house bosses, who claim the backlash that followed the government's decision has caused a decline in business and has forced them to make serious cutbacks.
One businessman, who claimed he was expressing views shared by Island Luck, FML and Asue Draw, which reportedly represent more than 70 percent of the local market, said after opening up their books to the government, they were shocked when it was revealed that the law would remain unchanged.
The businessman, who wished not to be named due to reported pressure from the police and financial institutions, said if someone had asked the number bosses two weeks ago whether their businesses would have been legalized, they would have said with absolute certainty that they would be.
While he said they respect the government's decision to leave the law as it is, they want to know what will happen next.
The comments came two weeks after the Cabinet Office announced that the government will not proceed with the legalization of gambling. The government has instead concluded that a referendum should be held after the next general election so Bahamians can have the final say on the divisive issue.
"Now what?" asked the group's spokesman, who added that since the government's declaration, police have been coming around their businesses more frequently and "harassing" their customers.
He said sometimes police cars are parked in front of their businesses, which has led to a drastic slowdown in business.
Things have gotten so bad, 10 to 20 percent of the staff working at the various sites have or will be laid off, the businessman said.
The number boss told The Nassau Guardian that representatives from the government and the Ministry of Finance approached them months ago seeking to get information to assist with the legalization of gambling.
"When the government made the announcement (that they were considering legalizing gambling) we opened our doors and we invited them in," he said.
"We provided them with all the necessary information that they needed. We wanted to support the government's decision, [we] wanted to help the country in terms of the deficit and we know the money could go a long way."
The businessman claimed that the bosses were told that by June 30 the necessary legislation would be passed in Parliament for the legalization of some form of gambling.
"We were all under the impression that it was going to be legalized," he said. "You don't have the Ministry of Finance walk through the number man's door if this is not something that the government has in mind. They contacted us," he stressed. "They met with us individually."
He said when they found out that the law would remain unchanged "it was a blow to everyone".
"We really didn't expect it. We were hoping that just like how they called us in the beginning, they would have called us back. We were accommodating. We had to hear about it in the paper. We don't know where to go from here. We want to know what is the government's position for the future. We need to know, the public needs to know because for every two people against it three people [are] for it."
The businessman said while he was not looking forward to his business being taxed, he was not against it and he was relieved that his business would be legitimate.
The prime minister has said the government would have collected $30 million to $40 million annually in revenue from the gambling business.
However, the businessman said based on the current market it would have been more like $15 million.
"I would love to see our $15 million a year build a school today and a hospital tomorrow," he said, adding that the Florida Lottery has donated millions of dollars toward education.
"We don't mind it being legalized," he continued. "It's a gray area that has not been enforced. We don't like the idea of being illegal businessmen. So the tax was never an issue. It's not a good feeling walking in banks and other financial institutions and being known as some number man, or getting the headache of getting kicked out of banks. We're mostly just guilty by association... because you're known as a number man, you're frowned upon and they just don't want to do business with you."
He said many Bahamians have pre-conceived notions that the gambling business leads to the bankruptcy of many people. However, he said the majority of people spend about $3 to $7 on a ticket to gamble.
"The average persons does not spend excessively on numbers. It's just the volume. You give a small investment for a big return. These people are putting in $1 and getting $900," he said.
Asked whether he considered the numbers business to be illegal, the businessman said, "We consider it to be illegal in a sense. The walk-in part of business could fall into the illegal category but the Internet is free for all."
Asked what he would say to the government, if given the opportunity, he said, "We're not complaining, we're not crying but it's just reality. We need to know where do we go from here."
June 9, 2010
thenassauguardian
By KRYSTEL ROLLE ~ Guardian Staff Reporter ~ krystel@nasguard.com:
The revelation that the government would not legalize gambling for Bahamians was like a slap in the face to some number house bosses, who claim the backlash that followed the government's decision has caused a decline in business and has forced them to make serious cutbacks.
One businessman, who claimed he was expressing views shared by Island Luck, FML and Asue Draw, which reportedly represent more than 70 percent of the local market, said after opening up their books to the government, they were shocked when it was revealed that the law would remain unchanged.
The businessman, who wished not to be named due to reported pressure from the police and financial institutions, said if someone had asked the number bosses two weeks ago whether their businesses would have been legalized, they would have said with absolute certainty that they would be.
While he said they respect the government's decision to leave the law as it is, they want to know what will happen next.
The comments came two weeks after the Cabinet Office announced that the government will not proceed with the legalization of gambling. The government has instead concluded that a referendum should be held after the next general election so Bahamians can have the final say on the divisive issue.
"Now what?" asked the group's spokesman, who added that since the government's declaration, police have been coming around their businesses more frequently and "harassing" their customers.
He said sometimes police cars are parked in front of their businesses, which has led to a drastic slowdown in business.
Things have gotten so bad, 10 to 20 percent of the staff working at the various sites have or will be laid off, the businessman said.
The number boss told The Nassau Guardian that representatives from the government and the Ministry of Finance approached them months ago seeking to get information to assist with the legalization of gambling.
"When the government made the announcement (that they were considering legalizing gambling) we opened our doors and we invited them in," he said.
"We provided them with all the necessary information that they needed. We wanted to support the government's decision, [we] wanted to help the country in terms of the deficit and we know the money could go a long way."
The businessman claimed that the bosses were told that by June 30 the necessary legislation would be passed in Parliament for the legalization of some form of gambling.
"We were all under the impression that it was going to be legalized," he said. "You don't have the Ministry of Finance walk through the number man's door if this is not something that the government has in mind. They contacted us," he stressed. "They met with us individually."
He said when they found out that the law would remain unchanged "it was a blow to everyone".
"We really didn't expect it. We were hoping that just like how they called us in the beginning, they would have called us back. We were accommodating. We had to hear about it in the paper. We don't know where to go from here. We want to know what is the government's position for the future. We need to know, the public needs to know because for every two people against it three people [are] for it."
The businessman said while he was not looking forward to his business being taxed, he was not against it and he was relieved that his business would be legitimate.
The prime minister has said the government would have collected $30 million to $40 million annually in revenue from the gambling business.
However, the businessman said based on the current market it would have been more like $15 million.
"I would love to see our $15 million a year build a school today and a hospital tomorrow," he said, adding that the Florida Lottery has donated millions of dollars toward education.
"We don't mind it being legalized," he continued. "It's a gray area that has not been enforced. We don't like the idea of being illegal businessmen. So the tax was never an issue. It's not a good feeling walking in banks and other financial institutions and being known as some number man, or getting the headache of getting kicked out of banks. We're mostly just guilty by association... because you're known as a number man, you're frowned upon and they just don't want to do business with you."
He said many Bahamians have pre-conceived notions that the gambling business leads to the bankruptcy of many people. However, he said the majority of people spend about $3 to $7 on a ticket to gamble.
"The average persons does not spend excessively on numbers. It's just the volume. You give a small investment for a big return. These people are putting in $1 and getting $900," he said.
Asked whether he considered the numbers business to be illegal, the businessman said, "We consider it to be illegal in a sense. The walk-in part of business could fall into the illegal category but the Internet is free for all."
Asked what he would say to the government, if given the opportunity, he said, "We're not complaining, we're not crying but it's just reality. We need to know where do we go from here."
June 9, 2010
thenassauguardian
Bahamas 2010/2011 Budget Under Fire
Budget Backlash
jonesbahamas:
The widely unpopular 2010/2011 Budget came under fire Monday from one of the nation’s most prominent contractors and a political party leader, who both unleashed a perfect storm of criticism against the fiscal plan.
For a nation desperate for an economic lifeline, President of the Bahamian Contractors Association (BCA) President Stephen Wrinkle said this budget offered little solace.
He argued that the proposed budgetary initiatives would in fact send more workers to a growing unemployment line.
"I’m a builder and a developer and in my company, like every other company in The Bahamas today, I think everybody took pencil to paper in this last week and looked at what they can do without and who they can do without and we’re making our cuts," he said.
"The people that we were keeping because they were good staff, maybe we have to let them go now because we don’t have the workload to sustain it. We’ve been sustaining it for a year to a year-and-a-half in our industry anyway and most contractors have reached the point where unless they’ve got work in hand they are cutting back because they just can’t handle those carrying charges any longer."
Perhaps more importantly, Bahamas Democratic Movement (BDM) Leader Cassius Stuart, who is also a business consultant, said the budget had more to do with infrastructure than investing in human capital.
Both men were guests on the Love 97 weekly talk show, On Point, with hosts Rogan Smith and Tosheena Robinson-Blair.
"We are borrowing for capital development. What is frightening, though, is that we are putting the education of our people, the development of our human capital on the altar. We are sacrificing it on the altar of capital development," he said.
"How could we, on the one hand, cut expenditure for education . . . but increase capital developments for roads and other projects? It doesn’t make any sense because the number one engine in an economy is its people. People earn revenue. If the people are not being invested in or developed we’ll find ourselves fighting in the public and private sectors for more productivity from people."
He continued: "The government cut subsidies for the private schools by 20 per cent, which means that private schools will be forced to increase school fees. So now those who have children in private schools who can’t meet those [fee payments] will have to pull their kids out and put them in public schools. The public schools are already overcrowded, so where you currently have 30 or 40 students in a class in the public school, that will be increased to about 50 students."
Mr. Wrinkle said the "ugliest part of this budget" is the fact that the tax burden will continue to be placed on the only economic engine that the country has – the business community.
"We cannot continue to place the yolk of the burden on the business community without providing some incentive for growth," he said. "Our GDP is projected to shrink this year. The entire economy is in a recessionary mode, yet there’s been an increased tax burden on all aspects of business, whether it be an increase in stamp duty on legal transactions or NIB contributions for payrolls or business licence fees."
"The Industries Act was a real incentive that I think most Bahamians assumed would be a continuing incentive that would be available for manufacturing and when that was literally pulled out from underneath us with the stroke of a pen by one individual I think it sent a clear indication of how our country is governed."
Mr. Wrinkle said the business community now finds itself in a very difficult situation in very trying times.
"We’re now going to have to look at ways in which we can change our approach to not only make ends meet, but to make progress. With a shrinking economy, shrinking productivity, a shrinking market, we’ve got to offer some more growth incentive. Otherwise, all we’re doing is putting more plough on the horses and pulling it and at some point the horse is going to get tired and fall down," he said.
"I appreciate that there are only so many revenue streams that we have at the moment from which to draw. But, I am deeply disturbed that we are digging deeply at the crucial aspects of survival for our economic engine – the tourism sector: the room taxes have been increased; the departure taxes have been increased."
Mr. Wrinkle also expressed disappointment that the government does not consult the private industry.
"I think that is a tremendous loss, because you have experts in virtually every field of the budget readily available and willing to contribute to the management of the government, but we’ve got a government that holds its cards closer than Kenny Rogers did in Five Card Stud and they just don’t share information; they don’t share responsibilities or anything that they don’t have to share," he said.
Mr. Stuart agreed. He said the government should have consulted more with the relevant stakeholders.
Prime Minister Hubert Ingraham, during his budget communication, announced a number of budget cuts and tax hikes. He immediately raised the duty rates on car imports – a move that immediately sparked backlash from car dealers in the country. Many feared that their businesses would go belly up in the coming months.
A week later, after consulting with the dealers, the prime minister made several adjustments to the tax rates.
"The prime minister now finds himself, after the fact, coming to the car dealers after he discovers exactly what they are experiencing. Then he makes decisions based on what he finds. He should have just consulted with them in the first place, and by extension consulted with the mail boat operators and all of the stakeholders in society to find out what shortfalls they are experiencing" Mr. Stuart said.
The BDM leader called the budget "scary" and said for years he has been calling on the government to tighten up on spending.
"In the good times our government refused to do that. We have to be fiscally responsible and economically prudent. When things were good we were spending a lot, almost as if we were never going to reach this day. Now that we’re here the government has been forced to cut back on a lot of things and it’s needed. We now find ourselves in a place where we’re trying to figure out how we’re going to cover our costs and cover the overhead that the government has," he said.
Mr. Stuart said The Bahamas has not experienced any new growth in its industries, but has experienced a "significant" decline.
"Many small businesses, particularly in the manufacturing sector, have either shut down or downsized due to overhead costs. One of the many overhead costs that small businesses have been affected by is the increase in BEC (Bahamas Electricity Corporation) utility rates. It’s killing them," he said.
"There is a plan on the table to again increase that rate. On top of that we’re saying we want to increase National Insurance contribution rates by one per cent. Most companies are now looking through their books to see who they can let go because of the increase in overhead."
Mr. Wrinkle agreed.
He said the government has again "missed an opportunity to provide incentives for growth because without growth in the business sector, we’re not really going to climb out of this; we’re just making more demands."
"When you take away the concessions that manufacturers have, like the people that make the windows, the doors, the hurricane shutters and a myriad of consumable items, we’ve got chemical companies that make soaps – all of these things that are consumed here that save us from exporting our U.S. dollars and employ people keep people employed – it affects them," he said.
"It isn’t like the construction sector where I may have 130 employees this month, but next month I may have 50 because when our job is finished I have to let them go. When you’re building a manufacturing company and you start off with four employees, next year you’ve got six and then eight and then 12 and it’s long term. I really think this one is going to come back to bite [the government] because you can’t tell people that you want to produce Bahamian entrepreneurs and businessmen and then in a stroke of a pen you pull the rug out underneath them."
Mr. Wrinkle said he believes there is a serious disconnect between the politicians and businessmen in the country. He said while incentives for growth d not necessarily have to be tied to a budget, they should have been included.
"The fact that we don’t have adequate incentives in place is reflected in the way they address the budget. They have not looked outside the envelope of revenue stream. It appears that they had a list of the revenues and they went down with a pencil and ticked off which ones they thought they could increase and generate more revenue stream from the taxes," he said.
June 9, 2010
jonesbahamas
jonesbahamas:
The widely unpopular 2010/2011 Budget came under fire Monday from one of the nation’s most prominent contractors and a political party leader, who both unleashed a perfect storm of criticism against the fiscal plan.
For a nation desperate for an economic lifeline, President of the Bahamian Contractors Association (BCA) President Stephen Wrinkle said this budget offered little solace.
He argued that the proposed budgetary initiatives would in fact send more workers to a growing unemployment line.
"I’m a builder and a developer and in my company, like every other company in The Bahamas today, I think everybody took pencil to paper in this last week and looked at what they can do without and who they can do without and we’re making our cuts," he said.
"The people that we were keeping because they were good staff, maybe we have to let them go now because we don’t have the workload to sustain it. We’ve been sustaining it for a year to a year-and-a-half in our industry anyway and most contractors have reached the point where unless they’ve got work in hand they are cutting back because they just can’t handle those carrying charges any longer."
Perhaps more importantly, Bahamas Democratic Movement (BDM) Leader Cassius Stuart, who is also a business consultant, said the budget had more to do with infrastructure than investing in human capital.
Both men were guests on the Love 97 weekly talk show, On Point, with hosts Rogan Smith and Tosheena Robinson-Blair.
"We are borrowing for capital development. What is frightening, though, is that we are putting the education of our people, the development of our human capital on the altar. We are sacrificing it on the altar of capital development," he said.
"How could we, on the one hand, cut expenditure for education . . . but increase capital developments for roads and other projects? It doesn’t make any sense because the number one engine in an economy is its people. People earn revenue. If the people are not being invested in or developed we’ll find ourselves fighting in the public and private sectors for more productivity from people."
He continued: "The government cut subsidies for the private schools by 20 per cent, which means that private schools will be forced to increase school fees. So now those who have children in private schools who can’t meet those [fee payments] will have to pull their kids out and put them in public schools. The public schools are already overcrowded, so where you currently have 30 or 40 students in a class in the public school, that will be increased to about 50 students."
Mr. Wrinkle said the "ugliest part of this budget" is the fact that the tax burden will continue to be placed on the only economic engine that the country has – the business community.
"We cannot continue to place the yolk of the burden on the business community without providing some incentive for growth," he said. "Our GDP is projected to shrink this year. The entire economy is in a recessionary mode, yet there’s been an increased tax burden on all aspects of business, whether it be an increase in stamp duty on legal transactions or NIB contributions for payrolls or business licence fees."
"The Industries Act was a real incentive that I think most Bahamians assumed would be a continuing incentive that would be available for manufacturing and when that was literally pulled out from underneath us with the stroke of a pen by one individual I think it sent a clear indication of how our country is governed."
Mr. Wrinkle said the business community now finds itself in a very difficult situation in very trying times.
"We’re now going to have to look at ways in which we can change our approach to not only make ends meet, but to make progress. With a shrinking economy, shrinking productivity, a shrinking market, we’ve got to offer some more growth incentive. Otherwise, all we’re doing is putting more plough on the horses and pulling it and at some point the horse is going to get tired and fall down," he said.
"I appreciate that there are only so many revenue streams that we have at the moment from which to draw. But, I am deeply disturbed that we are digging deeply at the crucial aspects of survival for our economic engine – the tourism sector: the room taxes have been increased; the departure taxes have been increased."
Mr. Wrinkle also expressed disappointment that the government does not consult the private industry.
"I think that is a tremendous loss, because you have experts in virtually every field of the budget readily available and willing to contribute to the management of the government, but we’ve got a government that holds its cards closer than Kenny Rogers did in Five Card Stud and they just don’t share information; they don’t share responsibilities or anything that they don’t have to share," he said.
Mr. Stuart agreed. He said the government should have consulted more with the relevant stakeholders.
Prime Minister Hubert Ingraham, during his budget communication, announced a number of budget cuts and tax hikes. He immediately raised the duty rates on car imports – a move that immediately sparked backlash from car dealers in the country. Many feared that their businesses would go belly up in the coming months.
A week later, after consulting with the dealers, the prime minister made several adjustments to the tax rates.
"The prime minister now finds himself, after the fact, coming to the car dealers after he discovers exactly what they are experiencing. Then he makes decisions based on what he finds. He should have just consulted with them in the first place, and by extension consulted with the mail boat operators and all of the stakeholders in society to find out what shortfalls they are experiencing" Mr. Stuart said.
The BDM leader called the budget "scary" and said for years he has been calling on the government to tighten up on spending.
"In the good times our government refused to do that. We have to be fiscally responsible and economically prudent. When things were good we were spending a lot, almost as if we were never going to reach this day. Now that we’re here the government has been forced to cut back on a lot of things and it’s needed. We now find ourselves in a place where we’re trying to figure out how we’re going to cover our costs and cover the overhead that the government has," he said.
Mr. Stuart said The Bahamas has not experienced any new growth in its industries, but has experienced a "significant" decline.
"Many small businesses, particularly in the manufacturing sector, have either shut down or downsized due to overhead costs. One of the many overhead costs that small businesses have been affected by is the increase in BEC (Bahamas Electricity Corporation) utility rates. It’s killing them," he said.
"There is a plan on the table to again increase that rate. On top of that we’re saying we want to increase National Insurance contribution rates by one per cent. Most companies are now looking through their books to see who they can let go because of the increase in overhead."
Mr. Wrinkle agreed.
He said the government has again "missed an opportunity to provide incentives for growth because without growth in the business sector, we’re not really going to climb out of this; we’re just making more demands."
"When you take away the concessions that manufacturers have, like the people that make the windows, the doors, the hurricane shutters and a myriad of consumable items, we’ve got chemical companies that make soaps – all of these things that are consumed here that save us from exporting our U.S. dollars and employ people keep people employed – it affects them," he said.
"It isn’t like the construction sector where I may have 130 employees this month, but next month I may have 50 because when our job is finished I have to let them go. When you’re building a manufacturing company and you start off with four employees, next year you’ve got six and then eight and then 12 and it’s long term. I really think this one is going to come back to bite [the government] because you can’t tell people that you want to produce Bahamian entrepreneurs and businessmen and then in a stroke of a pen you pull the rug out underneath them."
Mr. Wrinkle said he believes there is a serious disconnect between the politicians and businessmen in the country. He said while incentives for growth d not necessarily have to be tied to a budget, they should have been included.
"The fact that we don’t have adequate incentives in place is reflected in the way they address the budget. They have not looked outside the envelope of revenue stream. It appears that they had a list of the revenues and they went down with a pencil and ticked off which ones they thought they could increase and generate more revenue stream from the taxes," he said.
June 9, 2010
jonesbahamas
Wednesday, June 9, 2010
It's all Prime Minister Ingraham's fault!
tribune242 editorial:
THERE ARE those in the PLP who are loath to believe that the necessity for the austerity Budget now under debate in the House of Assembly is the direct result of a world economic collapse - caused by human greed that got out of hand and, following the laws of nature, exploded.
No one heeded the Bible's advise to make certain to keep storehouses full during the seven fat years so that when the seven lean years of famine followed, a people would not perish. The world was giddy with success as the bubble continued to expand. Although there were signs that it could take no more pressure, no one -- except a handful of sceptics -- would concede that it would burst, certainly not as quickly and as dramatically as it did. And so no national leader -- Prime Minister Ingraham included -- was prepared. The Bahamas' continued success depended on the United States, which, to all appearances, was moving ahead with a fair wind in her sails.
The sudden collapse of the unregulated US banks started to bring the house down as every world bank scrambled for safe shelter.
Everyone -- Prime Minister Ingraham included -- had to decide how best to trim the nation's sails and fight to get the ship of state back on even keel.
Although the calamity was slowly creeping up on us, the final collapse came almost overnight as the world's economy started to go down like ten pins in a bowling alley.
Recently Greece crumbled and had to be bailed out by the eurozone countries and the IMF. It was hoped that a short reprieve would give her a chance to catch her financial breath. However, her people, unprepared for such dire news, took to the streets, creating even more confusion. Civil servants were striking in Spain because their salaries had been cut five per cent across the board. Note, although there is a freeze on salaries and promotions in the Bahamas' civil service, no one has lost his job. In other countries, the civil service was the first to be jettisoned.
The fight is now on to save the euro as the United States fears what a European monetary collapse could mean to its own future. No country is exempt from the shock -- except, of course, according to the PLP, Prime Minister Ingraham, whose lack of foresight is the cause of the Bahamas' calamity.
We were particularly surprised to hear St Thomas More MP Frank Smith (PLP) say in the House last week:
"Nowhere in this Budget does the Prime Minister accept any responsibility for having in anyway contributed to the mess in which the country finds itself. This Budget seeks to convince us that everything negative is due to 'global economic forces.' That lack of truth makes the Budget fundamentally dishonest. And, Mr. Speaker, if we are to accomplish any positive goals there is no greater need than for honesty from our Prime Minister."
The reason we are surprised to hear these words from Mr Smith is because his father-in-law, Franklyn Wilson, chairman of the Sunshine Group of Companies, certainly knows what an international economic downturn can mean to a single business in the Bahamas.
After much fanfare and an investment of some $35 million in construction on his company's Cotton Bay resort at Eleuthera, it was on July 22, 2008 that Mr Wilson had to admit that the whole project had been placed in a "holding pattern." The reason: It would be "unwise" at that time to build and open a Bahamas-based hotel due to the "global economic malaise."
In common with multiple other mixed-use resort projects throughout the Bahamas, said Mr Wilson, Cotton Bay had felt the full impact of the US economic downturn, in particular the financial system's credit/liquidity crunch.
This, he said, had made it almost impossible for any remaining purchasers of real estate in these developments to either obtain debt financing for their acquisition, or at the right interest rates.
No one suggested that Mr Wilson had made foolish business decisions to force the "holding pattern." Everyone accepted that it was a situation beyond his control, a situation -- like the present one -- that was off our shores. Maybe, Mr Smith should have a chat with his father-in-law to understand how we are really one big global family, which when one fails in a big way, the others suffer. However, I am told that Mr Wilson was himself heard to be almost repeating word for word what his son-in-law had said in the House. Maybe it would be a good time for him to sit down and have some quiet reflection with himself.
Of course, Mr Smith and his comrades, are blaming it all on what they call Mr Ingraham's "stop, review and cancel" policy of projects that they were dealing with -- but had not completed -- before they were voted out of office. If they had such faith in those projects then they should have seen them through. If they had not been so indecisive, and circumscribed by so many committees and so much talk, when Mr Ingraham took over the administration there would have been nothing for him to stop, review or cancel.
Mr Smith says that each and every day the PLP is preparing itself to bring a change of government. If their five years in power -- and these unfinished contracts, which Mr Ingraham wisely stopped, reviewed and in some cases cancelled -- are indicative of what this country can look forward to, then our advise is that the PLP should step aside. Their five years of poor performance has already been five years too many.
June 09, 2010
tribune242 editorial
THERE ARE those in the PLP who are loath to believe that the necessity for the austerity Budget now under debate in the House of Assembly is the direct result of a world economic collapse - caused by human greed that got out of hand and, following the laws of nature, exploded.
No one heeded the Bible's advise to make certain to keep storehouses full during the seven fat years so that when the seven lean years of famine followed, a people would not perish. The world was giddy with success as the bubble continued to expand. Although there were signs that it could take no more pressure, no one -- except a handful of sceptics -- would concede that it would burst, certainly not as quickly and as dramatically as it did. And so no national leader -- Prime Minister Ingraham included -- was prepared. The Bahamas' continued success depended on the United States, which, to all appearances, was moving ahead with a fair wind in her sails.
The sudden collapse of the unregulated US banks started to bring the house down as every world bank scrambled for safe shelter.
Everyone -- Prime Minister Ingraham included -- had to decide how best to trim the nation's sails and fight to get the ship of state back on even keel.
Although the calamity was slowly creeping up on us, the final collapse came almost overnight as the world's economy started to go down like ten pins in a bowling alley.
Recently Greece crumbled and had to be bailed out by the eurozone countries and the IMF. It was hoped that a short reprieve would give her a chance to catch her financial breath. However, her people, unprepared for such dire news, took to the streets, creating even more confusion. Civil servants were striking in Spain because their salaries had been cut five per cent across the board. Note, although there is a freeze on salaries and promotions in the Bahamas' civil service, no one has lost his job. In other countries, the civil service was the first to be jettisoned.
The fight is now on to save the euro as the United States fears what a European monetary collapse could mean to its own future. No country is exempt from the shock -- except, of course, according to the PLP, Prime Minister Ingraham, whose lack of foresight is the cause of the Bahamas' calamity.
We were particularly surprised to hear St Thomas More MP Frank Smith (PLP) say in the House last week:
"Nowhere in this Budget does the Prime Minister accept any responsibility for having in anyway contributed to the mess in which the country finds itself. This Budget seeks to convince us that everything negative is due to 'global economic forces.' That lack of truth makes the Budget fundamentally dishonest. And, Mr. Speaker, if we are to accomplish any positive goals there is no greater need than for honesty from our Prime Minister."
The reason we are surprised to hear these words from Mr Smith is because his father-in-law, Franklyn Wilson, chairman of the Sunshine Group of Companies, certainly knows what an international economic downturn can mean to a single business in the Bahamas.
After much fanfare and an investment of some $35 million in construction on his company's Cotton Bay resort at Eleuthera, it was on July 22, 2008 that Mr Wilson had to admit that the whole project had been placed in a "holding pattern." The reason: It would be "unwise" at that time to build and open a Bahamas-based hotel due to the "global economic malaise."
In common with multiple other mixed-use resort projects throughout the Bahamas, said Mr Wilson, Cotton Bay had felt the full impact of the US economic downturn, in particular the financial system's credit/liquidity crunch.
This, he said, had made it almost impossible for any remaining purchasers of real estate in these developments to either obtain debt financing for their acquisition, or at the right interest rates.
No one suggested that Mr Wilson had made foolish business decisions to force the "holding pattern." Everyone accepted that it was a situation beyond his control, a situation -- like the present one -- that was off our shores. Maybe, Mr Smith should have a chat with his father-in-law to understand how we are really one big global family, which when one fails in a big way, the others suffer. However, I am told that Mr Wilson was himself heard to be almost repeating word for word what his son-in-law had said in the House. Maybe it would be a good time for him to sit down and have some quiet reflection with himself.
Of course, Mr Smith and his comrades, are blaming it all on what they call Mr Ingraham's "stop, review and cancel" policy of projects that they were dealing with -- but had not completed -- before they were voted out of office. If they had such faith in those projects then they should have seen them through. If they had not been so indecisive, and circumscribed by so many committees and so much talk, when Mr Ingraham took over the administration there would have been nothing for him to stop, review or cancel.
Mr Smith says that each and every day the PLP is preparing itself to bring a change of government. If their five years in power -- and these unfinished contracts, which Mr Ingraham wisely stopped, reviewed and in some cases cancelled -- are indicative of what this country can look forward to, then our advise is that the PLP should step aside. Their five years of poor performance has already been five years too many.
June 09, 2010
tribune242 editorial
Tuesday, June 8, 2010
Bahamas Communications and Public Officers Union does not support Bahamas Telecommunications Company's shares being sold to Cable and Wireless
BTC union rejects bidder
BY KEVA LIGHTBOURNE ~ Guardian Senior Reporter ~ kdl@nasguard.com:
The union that represents line staff at The Bahamas Telecommunications Company (BTC) is objecting to the government's decision to enter talks with regional telecoms giant Cable & Wireless for a 51 percent stake in the state-owned entity.
Bahamas Communications and Public Officers Union (BCPOU) President Bernard Evans said the labor body would in no way support any amount of shares being sold to Cable & Wireless.
"Their track record as far as labor relations is not good and even given the potential model that they want to implement in terms of regional governance and control, it is not conducive to the Bahamian psyche that I know, that we know," Evans explained.
"We go on record as saying that we do not support any kind of sale to Cable & Wireless."
The Nassau Guardian understands that talks begun recently between the government and Cable & Wireless over the sale of the majority interest in BTC, which employs hundreds of Bahamians. This came despite the company turning down the chance to officially bid last year when a number of partnerships paid $25,000 to be a part of the process.
Cable & Wireless had been considered among the best prospects to purchase BTC when it opted out.
The Guardian reported recently that the talks that are now taking place between the company and the government sparked frustration among the two bidders that had been short-listed, with one saying it was actively considering whether it wanted to move forward in the process.
The two existing bidders — a JP Morgan/Vodafone combination and Atlantic Tele Network (ATN), partnering with CFAL — were among four proposals, which were short-listed last October.
Evans said the union is not supporting a sale to Vodafone either.
He said while privatization for BTC has been looming for a while, Bahamians should be given the first opportunity to purchase.
"And I believe the government was trying to get as much as it can get for the 51 percent sale for BTC, but given some of the figures we have been hearing it is not that attractive," Evans said.
"We are still reserved in that BTC is a very profitable entity. It is Bahamian-controlled, Bahamian-owned, and we believe it still should be Bahamian-owned and if [there is] any opportunity for any sale Bahamians should be looked at first," he said.
Last month, Prime Minister Hubert Ingraham told The Nassau Guardian that there would be no fire sale of BTC.
"We have given the BTC privatization committee some parameters as to what bid would be acceptable to ourselves," he said.
"They are still having discussions, we expect to hear from them soon, but they have not formed any recommendation yet. We gave them the parameters but we are not having a fire sale, we don't have to sell immediately," Ingraham said.
June 8, 2010
thenassauguardian
BY KEVA LIGHTBOURNE ~ Guardian Senior Reporter ~ kdl@nasguard.com:
The union that represents line staff at The Bahamas Telecommunications Company (BTC) is objecting to the government's decision to enter talks with regional telecoms giant Cable & Wireless for a 51 percent stake in the state-owned entity.
Bahamas Communications and Public Officers Union (BCPOU) President Bernard Evans said the labor body would in no way support any amount of shares being sold to Cable & Wireless.
"Their track record as far as labor relations is not good and even given the potential model that they want to implement in terms of regional governance and control, it is not conducive to the Bahamian psyche that I know, that we know," Evans explained.
"We go on record as saying that we do not support any kind of sale to Cable & Wireless."
The Nassau Guardian understands that talks begun recently between the government and Cable & Wireless over the sale of the majority interest in BTC, which employs hundreds of Bahamians. This came despite the company turning down the chance to officially bid last year when a number of partnerships paid $25,000 to be a part of the process.
Cable & Wireless had been considered among the best prospects to purchase BTC when it opted out.
The Guardian reported recently that the talks that are now taking place between the company and the government sparked frustration among the two bidders that had been short-listed, with one saying it was actively considering whether it wanted to move forward in the process.
The two existing bidders — a JP Morgan/Vodafone combination and Atlantic Tele Network (ATN), partnering with CFAL — were among four proposals, which were short-listed last October.
Evans said the union is not supporting a sale to Vodafone either.
He said while privatization for BTC has been looming for a while, Bahamians should be given the first opportunity to purchase.
"And I believe the government was trying to get as much as it can get for the 51 percent sale for BTC, but given some of the figures we have been hearing it is not that attractive," Evans said.
"We are still reserved in that BTC is a very profitable entity. It is Bahamian-controlled, Bahamian-owned, and we believe it still should be Bahamian-owned and if [there is] any opportunity for any sale Bahamians should be looked at first," he said.
Last month, Prime Minister Hubert Ingraham told The Nassau Guardian that there would be no fire sale of BTC.
"We have given the BTC privatization committee some parameters as to what bid would be acceptable to ourselves," he said.
"They are still having discussions, we expect to hear from them soon, but they have not formed any recommendation yet. We gave them the parameters but we are not having a fire sale, we don't have to sell immediately," Ingraham said.
June 8, 2010
thenassauguardian
Monday, June 7, 2010
The Bahamas' broken education system
tribune242 editorial:
DURING the Budget debate in the House of Assembly last week, former Education Minister Alfred Sears, announced that the country's education system is "broken" and in need of total transformation.
"I have been a Minister of Education and I can tell you the educational system in the Bahamas is broken. It is broken! And no amount of patching is going to change that. It must be transformed," said Mr Sears.
Mr Sears was not breaking new territory with this announcement. This "broken" system is a fact that we -- especially employers -- are all aware of and have had to accept for too long.
As Ralph Massey, a respected economist who did much of the research for the Coalition for Education Reform's 2005 report, said earlier this year: The "high failures and illiteracy rates" among Bahamian graduates in the public education system is "an embarrassment and severe national handicap" to this country's economic growth.
Mr Sears' argument was that the necessary across-the board budget cuts -- including education-- in the face of a severe economic crisis was "compromising investment in the human capital of our country."
What Mr Sears, and many others do not understand is that no matter how much money a government invests in education, well educated human beings are not necessarily the result.
Yesterday we had lunch with a US District Attorney -- a woman. She was discussing the education of her children, now all grown and doing brilliantly in their various fields. We were particularly interested in what she had to say about her only son. Educationally, he was a disappointment. He never brought back more than 20 per cent on his term exams -- something she considered an impossibility. But he did have one ambition -- he wanted to go to university and he knew he had to pass his finals to move on. By this time his parents had given up on him.
However, when his final results came in he had a perfect score on every paper that he had written.
What was the problem? Why had this young man given his parents so much heartburn for so many years?
The answer was simple: He was bored. He was bored with the tedium of the classroom and so his mind wandered. However, when he got to university he took the subjects that interested him, did brilliantly, and secured more than one degree. Today he is a successful lawyer.
No matter how much money was invested in him, he constantly failed because he had no incentive to learn.
At the beginning of the year, Mrs Janyne Hodder, spoke on education at a women's luncheon. If ever there was a person who exudes an enthusiasm and love for education, Mrs Hodder is an inspiration.
She is going to be a tremendous loss to this country when she leaves this year.
Although she claimed no expert knowledge on how to fix the Bahamas' educational problems, she did agree that a fix is needed, "not in words, but in actions."
"We don't need more criticism of the education system, criticism without proposals leads to defeatism." This is a point that we wish MPs would learn when speaking in the House.
If their criticism is not constructive then they would be doing everyone a favour to remain in their seats and keep their mouths shut.
Mrs Hodder then dared to dream of a different world of education, a world in which "we could stop blaming the past, the parents and the teachers, or the government and start focusing on experiments that take into account the challenges faced by parents, teachers and the government." There was merit in her suggestions-- suggestions to which we believe young people would respond with enthusiasm.
She pointed out that the overall level of educational attainment had to be increased. "We cannot have fewer than 15 per cent of our young people enrolled in higher education when every prosperous nation around us is moving to increase higher education participation rates, as high as 50 per cent in some countries."
Today, she pointed out, "even practical jobs require stronger skills. A car mechanic must now use computer data; and the stevedores of yesterday now sit astride huge straddlers that make use of sophisticated computer programmes to load and unload containers. This is skilled work, intense concentrated work."
"The economy," she said, "faces important structural challenges: We have a labour market that, in too many cases, pays higher wages for lower levels of skills than do our economic competitors. We have an overpopulated public service that turns on process management, one that is not results-oriented."
Mrs Hodder strongly supported "good jobs that pay good wages and help deliver better health, better family life and stronger communities. But for these types of jobs to be sustainable, we need a labour pool of educated innovators, skilled and educated people who add value to products or services. Such people will create the wealth without which we cannot sustain the relatively high standard of living The Bahamas enjoys."
It is now time for empty criticism to stop and innovative action to be taken.
June 07, 2010
tribune242 editorial
DURING the Budget debate in the House of Assembly last week, former Education Minister Alfred Sears, announced that the country's education system is "broken" and in need of total transformation.
"I have been a Minister of Education and I can tell you the educational system in the Bahamas is broken. It is broken! And no amount of patching is going to change that. It must be transformed," said Mr Sears.
Mr Sears was not breaking new territory with this announcement. This "broken" system is a fact that we -- especially employers -- are all aware of and have had to accept for too long.
As Ralph Massey, a respected economist who did much of the research for the Coalition for Education Reform's 2005 report, said earlier this year: The "high failures and illiteracy rates" among Bahamian graduates in the public education system is "an embarrassment and severe national handicap" to this country's economic growth.
Mr Sears' argument was that the necessary across-the board budget cuts -- including education-- in the face of a severe economic crisis was "compromising investment in the human capital of our country."
What Mr Sears, and many others do not understand is that no matter how much money a government invests in education, well educated human beings are not necessarily the result.
Yesterday we had lunch with a US District Attorney -- a woman. She was discussing the education of her children, now all grown and doing brilliantly in their various fields. We were particularly interested in what she had to say about her only son. Educationally, he was a disappointment. He never brought back more than 20 per cent on his term exams -- something she considered an impossibility. But he did have one ambition -- he wanted to go to university and he knew he had to pass his finals to move on. By this time his parents had given up on him.
However, when his final results came in he had a perfect score on every paper that he had written.
What was the problem? Why had this young man given his parents so much heartburn for so many years?
The answer was simple: He was bored. He was bored with the tedium of the classroom and so his mind wandered. However, when he got to university he took the subjects that interested him, did brilliantly, and secured more than one degree. Today he is a successful lawyer.
No matter how much money was invested in him, he constantly failed because he had no incentive to learn.
At the beginning of the year, Mrs Janyne Hodder, spoke on education at a women's luncheon. If ever there was a person who exudes an enthusiasm and love for education, Mrs Hodder is an inspiration.
She is going to be a tremendous loss to this country when she leaves this year.
Although she claimed no expert knowledge on how to fix the Bahamas' educational problems, she did agree that a fix is needed, "not in words, but in actions."
"We don't need more criticism of the education system, criticism without proposals leads to defeatism." This is a point that we wish MPs would learn when speaking in the House.
If their criticism is not constructive then they would be doing everyone a favour to remain in their seats and keep their mouths shut.
Mrs Hodder then dared to dream of a different world of education, a world in which "we could stop blaming the past, the parents and the teachers, or the government and start focusing on experiments that take into account the challenges faced by parents, teachers and the government." There was merit in her suggestions-- suggestions to which we believe young people would respond with enthusiasm.
She pointed out that the overall level of educational attainment had to be increased. "We cannot have fewer than 15 per cent of our young people enrolled in higher education when every prosperous nation around us is moving to increase higher education participation rates, as high as 50 per cent in some countries."
Today, she pointed out, "even practical jobs require stronger skills. A car mechanic must now use computer data; and the stevedores of yesterday now sit astride huge straddlers that make use of sophisticated computer programmes to load and unload containers. This is skilled work, intense concentrated work."
"The economy," she said, "faces important structural challenges: We have a labour market that, in too many cases, pays higher wages for lower levels of skills than do our economic competitors. We have an overpopulated public service that turns on process management, one that is not results-oriented."
Mrs Hodder strongly supported "good jobs that pay good wages and help deliver better health, better family life and stronger communities. But for these types of jobs to be sustainable, we need a labour pool of educated innovators, skilled and educated people who add value to products or services. Such people will create the wealth without which we cannot sustain the relatively high standard of living The Bahamas enjoys."
It is now time for empty criticism to stop and innovative action to be taken.
June 07, 2010
tribune242 editorial
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