THE government has commenced the disbursement of cash payments to sugar workers who lost their jobs following the closure of a number of grinding sugar estates by the former APNU+AFC administration. The closure of the sugar estates resulted in great hardships on the part of sugar workers and their families.

One of the first actions taken by the new PPP/C administration when it took office on August 2020 was to re-open the shuttered estates. Several sugar workers were re-employed and the depressed communities were gradually restored to life. However, many sugar workers and their families were forced to survive on little or no income. There were instances of parents being unable to send their children to school because of financial hardships. It was a callous disregard for the welfare and well-being of sugar workers who were left to fend for themselves by an uncaring administration. The severance pay to eligible workers was stretched to the limit until a lifeline was thrown to the workers by the new administration.

Last October, an announcement was made by Vice-President Dr Bharrat Jagdeo that a one-off payment of $250,000 would be paid to every sugar worker, in addition to the severance they received. This came as a welcome development to the sugar workers and for some, it was music to the ears.

Some 2,740 retrenched workers from the Skeldon and Rose Hall Estates have already benefitted from the exercise and the payments are now being rolled out to other estates.

The PPP/C came to the rescue of sugar workers. Not only were the closed sugar estates re-opened in keeping with a manifesto promise made by the PPP/C, but measures were taken to modernise sugar production and raise productivity levels. Given the run-down state of the industry, it required much effort and resources to bring back the estates to some level of economic viability, but substantial progress is being made, despite unfavourable weather conditions.

Sugar has always played a role in the economic and sociological life of the Guyanese people. It provided a lifeline to the national economy during periods of economic distress. And even though the market conditions may not be favourable at the moment, the decision to close a number of grinding sugar estates by the APNU+AFC  was at best short-sighted and certainly not in the best national interest.

The cash payments to sugar workers cannot come at a better time as most workers are now trying to get back on their feet. As noted by Senior Minister in the Office of the President with Responsibility for Finance, Dr Ashni Singh, while it is not the business of government to dictate how and on what the money should be spent, they are all encouraged to spend their money in a wise and prudent manner; and even though the sum may not be enough to invest in any large-scale enterprise, if properly managed, it could be used to generate additional income if creatively utilised in some micro-enterprise activity.

Whatever use the money is put to, it will certainly redound to the good of the local economy, especially the village economy. It will give a boost to the business community and to those engaged in the provision of goods and services.

Money is much more than a unit of exchange. It has what economists refer to as the multiplier effect. It serves as an accelerator to the local and by extension the national economy. This is why any injection of money into the economy is good, not only for the business community, but for the economy as a whole.

The payment to sugar workers coincides with the decision of government to pay salary increases to public servants retroactive to January this year. This will put millions of dollars in terms of disposable income in the hands of public servants, especially at this festive season of the year when any additional income is most welcome.

The cash payments to sugar workers and salary increases to public servants have to be seen in conjunction with the several other policy interventions by the President Ali administration to cushion the effects of increases in the cost of living due to the COVID-19 pandemic, the recent flood situation and other unfavourable circumstances at the individual and national levels. The COVID-19 cash grants paid out to every household; the flood-relief monies; increases to old age pensioners and other vulnerable groups and cash grants to parents are manifestations of a caring administration. The same can be said for the re-hiring of hundreds of Amerindians whose services as community workers were unceremoniously terminated by the former APNU+AFC administration.

Not only did such vindictive actions affect individual lives, but the local economy as well. The cash payments to sugar workers are one way of correcting an injustice to sugar workers for which the PPP/C administration must be commended.