Haughton award to help hotels recover
workers a much-needed breather in their bid to revive their flagging industry.
In his ruling, he said he hoped the "interregnum'' would help stem a cash drain of five successive years.
And he described it as crucial to improve poor hotel occupancy rates and layoffs.
Apart from his ruling on wages and pensions, Prof. Haughton makes several other key awards, which give in to union demands.
These include: Hotels should pay back non-deducted union dues over a 24-week period, at the rate of $1.75 per week.
Maximum sick entitlement to go up from 75 days to 95.
Compassionate leave to rise from up to four working days without loss of pay to five.
Special compassionate leave: employees should have right to five days paid leave annually to be deducted from sick leave entitlement.
Employer to provide comprehensive major medical insurance plan for all employees, including doctors' office and home visits.
Live-in employees should be fed and housed when suspended.
The Essential Industries Disputes Settlement Board also rejected two proposals by the Hotel Employers of Bermuda.
These were that the cost of printing collective agreement booklets be shared by the BIU; and the duty meals charge be increased.
The board, however, accepted the HEB's proposal that the new agreement expire on February 24 1995.
The BIU had sought a customary three-year contract, ending in 1994.
Prof. Haughton also focusses on Elbow Beach Hotel, which refused to be bound by the Hobgood Award, and did not implement the first-year five percent increase.
The hotel hammered out its own terms and conditions on February 25 1991.
Instead of increasing wages, it boosted gratuities by a roughly equivalent amount.
"It knowingly acted at its peril,'' Prof. Haughton stated.
Prof. Haughton, however, rules Elbow Beach does not have to pay retroactively the five percent wage increase for 1991.
But it must make up any differences, if workers lost any benefits under the hotel's own scheme.
"These payments will be necessary to put Elbow Beach on a reasonably equal basis with its peer members of the HEB.'' Prof. Haughton, however, states the rest of his award applies to Elbow Beach.
This would cover the period, February 25, 1992 to February 24, 1995.
Yesterday Mr. Tim Russell, Elbow Beach's general manager, declined to comment on the ruling.
