Unionised healthcare workers who have experienced financial hardship in the face of ongoing wage freezes are in the final stages of negotiating a salary increase of 18.23 per cent, with three annual retrospective rises of 4.2 per cent, The Royal Gazette has learnt.

The Bermuda Hospitals Board is working to iron out “timing of payments” of salary uplifts and retroactive payment with the Bermuda Public Services Union as the two bodies prepare to continue negotiations for the staff.

On Friday, a BHB spokeswoman said the board had completed the salary negotiations with the BPSU for union members and the talks had been “through the internal process of approval”.

She said: “We have continued to work closely with the BPSU on the timing of the payments and will be meeting with the BPSU next week.

“Out of respect to our union colleagues and the fairness of the process, we do not wish to make a public comment before that meeting.”

Meanwhile, following complaints from hospital staff of backlogs in their monthly contributory pensions, the BHB spokeswoman added: “Any late contributions to pension are always made up to ensure staff are not disadvantaged.”

The statement came after hospital staff informed The Royal Gazette that the two bodies had held salary negotiations last week at the union’s request.

Following the discussions, the BPSU provided the BHB with an outline of several timelines for the payment of salary rises and retroactive payments for the healthcare workers.

According to correspondence signed by Armell Thomas, the BPSU’s president, which was seen by the Gazette, the union informed the BHB that its members are to receive an “agreed” salary uplift of 18.23 per cent as well as their first-year retroactive payment of 4.2 per cent by November 30.

In addition, the union said no later than January 31, 2026, its members were to receive the “agreed” second-year retroactive payment of 4.2 per cent.

Lastly, the BHB was informed by the union that the third-year retroactive payment of 4.2 per cent was to be paid to its members by March 31, 2026.

The union said if the timelines were “not agreed by the BHB,” it would consider the negotiations to be “at an impasse”.

It also requested copies of the BHB’s financial statements for this fiscal year, urging a response “no later than Wednesday, October 29”.

In February, BHB staff, in an anonymous op-ed, said they were “at breaking point” owing to a seven-year freeze on salary increases.

The staff concerns were acknowledged by the board’s chief executive, who confirmed that the majority of staff had not had a pay rise since 2018 and that the board was under increasing financial pressure because of eroding revenues.

BHB staff staged a silent protest early in the year to highlight the lack of salary increases, while healthcare staff shortages were documented within the organisation.

In February, R. Scott Pearman, the chief executive and president of the BHB, thanked staff who “step up whenever the country needs them”.

He said: “The costs of living have been rising and staff frustration at their level of pay is evident.

“BPSU staff have not had a cost-of-living increase since 2018. Negotiations for the period 2022 onwards are open.”

Mr Pearman said then that the majority of staff, including doctors, nurses and non-executive administrators, were represented by the BPSU.

In June 2019, BHB moved to a fixed government grant of $322 million.

BHB made public its unaudited financial information in February 2020 for the previous three years, revealing that its annual salary bill had risen to almost $200 million.

The organisation went through a series of cost-cutting measures including repairs and upgrades being limited to essential needs.

Lauren Bell, the junior health minister, said in June that as of February 2024, total savings had reached $23 million, with $12 million attributable to government concessions.

She said savings came from internal initiatives, disciplined financial management and keeping expenditures below budget.

In the 2025 Budget, the Government allocated $245.4 million to the Ministry of Health, an increase of $45 million or 22 per cent on last year.

A significant portion of the funding was set aside to support the BHB, including $112.5 million in patient subsidies as well as a $42.1 million operational grant for the Mid-Atlantic Wellness Institute

Mr Pearman said that the Government was sympathetic to the hospital’s financial issues and that the Government understood an increase in staff salaries required an uplift in revenue for the BHB.

He said the board was in discussions with the Government over the revenue requirements to fund a wage rise for all staff.

The BPSU did not respond to questions by press time.