More than 1,700 employers were behind on their social insurance payments as of May last year, with 100 cases referred to the Attorney-General’s Chambers for Supreme Court action.

Kim Wilkerson, the Attorney-General and Minister of Justice, told the Senate in response to questions from Victoria Cunningham, a One Bermuda Alliance senator, that on May 31, 2024, 1,738 employers were in arrears for their social insurance payments.

“This represents accounts for 7,475 employees,” Ms Wilkerson added.

She told the Senate that the Department of Social Insurance was working to fill vacant posts in its compliance sector to bolster debt collection efforts.

“Over the past few months, the Department of Social Insurance has been reaching out to owners and directors sending demand letter by e-mail and requiring payment,” Ms Wilkerson said.

“The department is prepared to work with delinquent employers to establish payment plans to pay off the outstanding debt.”

Ms Wilkerson said that if payments were not received promptly, further communications were sent to warn that legal actions may be launched in the Magistrates’ Court.

“Should these efforts to collect outstanding contributions prove unsuccessful, the matter may be escalated to the Attorney-General’s debt enforcement unit for Supreme Court proceedings,” she added.

“There are 100 employers who have been referred by the department to the debt enforcement unit at the Attorney-General’s Chambers already.”

Ms Cunningham subsequently questioned what other measures were in place to incentivise companies to remain up to date with their social insurance payments.

John Wight, an independent senator, asked if there was any consideration to “naming and shaming” employers in arrears.

Lindsay Simmons, a government senator, responded that for companies to be granted work permits they must pay off any arrears or set up a payment plan.

Ms Wilkerson, meanwhile, said that a name-and-shame scheme was not under consideration.

“In a small community, that could be effective, but understanding all of the reasons why a particular company might be in arrears is also important from the perspective of social balance,” she said.