In the next two weeks, more than 600 employees of the Chaguanas Borough Corporation will not be paid, since the corporation claims it does not have money to pay them.
This was confirmed yesterday by Chaguanas Mayor Faaiq Mohammed, who said financial issues facing the CBC had left them with no options to pay employees.
But hours later, Local Government Minister Faris Al-Rawi urged the mayor to stop ‘the nonsense,” saying there was indeed money. He even threatened to sue if the workers are not paid.
Yesterday, Mohammed laid the blame for the depletion of funds on what he detailed as a predicament squarely at the feet of the Ministry of Local Government. Mohammed said because of the dire situation, the corporation will be forced to close its doors on Monday.
He said the corporation’s administration and the council wrote to the former Local Government Minister Kazim Hosein and current Minister Faris Al-Rawi about a shortfall in funding to pay workers months ago and to date, no response has been received.
The corporation shortfall is said to be over $3 million and the workers are daily rated and paid fortnightly.
Sending home these essential workers can affect operations in the borough, including garbage collection, public health and a myriad of services.
The mayor said he wrote to Minister Al-Rawi in March this year about the shortfall.
“I wrote to him on two occasions supplying all the necessary documentation and to date, nothing has materialised. I had a meeting with him as well and he promised that it would be done and we are at a point in the financial year where there is no money left to pay staff at the Chaguanas Borough Corporation.”
Mohammed lashed out at Al-Rawi for reportedly allocating $100,000 for fireworks for the 60th Independence Day celebrations.
“I say to my line Minister, the honourable Faris Al-Rawi, do not let this be a stain on your legacy because what we are forced do, we may have shut down the Chaguanas Borough Corporation because we cannot have workers with no pay in sight and we have no answers to give them because we are getting no response from the Minister,” he said.
With letters and correspondence in hand, the Chaguanas Mayor was flanked by deputy Mayor Marisa Ramlogan and councillor Debbie Boodhan.
He claimed the failure to respond or disburse the money needed was “discrimination against UNC corporations.”
Mohammed added that the council stands in solidarity with the workers.
“We also want to let the workers know that we stand in solidarity with you. We are giving up our salary this month because it will be unfair that you are not being paid and we are not being paid.”
Al-Rawi: CBC has $ 7 million
to pay workers
However, in an immediate response, Minister of Local Government and Rural Development Faris Al-Rawi condemned the mayor for his actions.
Al-Rawi said he has the documentation as well as witnesses to meetings to prove the Chaguanas Borough Corporation has over 7 million dollars in unspent balances, which can be used to pay workers of the corporation.
“I want to express my profound and utter disappointment with the Mayor of the Chaguanas Corporation, someone I held in high regard, let me tell you why I am saying this so boldly and confidently, it is ridiculous, it is reprehensible for the Mayor to be threatening people’s jobs.”
The Minister explained that at the mid-year mark, he met with and asked all corporations to indicate any shortfall in money. He said while some were late in the submissions, his ministry worked diligently to get the updated financial records.
This is why he is rubbishing the Mayor’s claims of no money to pay workers.
“I can confirm that I met with the Mayor and with the CEO on August 9, one month ago, at the ministry’s head office, and showed them the unspent balances of $7 million. We assigned an auditor to get the audit function done and discussed with the Mayor that job preservation was most critical.
“We agreed that they would access the monies immediately, and unspent balances. Imagine that they have $7 million in unspent balances and we’ll come today to threaten people to send them home. I am so appalled,” Al-Rawi said.
He added, “Stop playing with people’s lives. I don’t expect this from you, perhaps you’re taking the instructions of your political leaders, I don’t know. Stop it! Use the $7 million in unspent balances that you have. You are aware that we have requested further monies and you’re aware that you’re getting $200,000 more, including monies that we have requested for the payment of the servicing of all vehicles and assets.”
Al-Rawi also advised workers to sue if the CBC closes and they are not paid
“I’m tempted to say that I will personally go and sue...because I think it is reprehensible. Stop your nonsense.”
