Employees of a wholesale company seeking to implement a new payroll system that could leave them short of cash for several weeks are considering staging a strike on Friday.

BDC2000, which forms the family of companies including BGA, Brown & Co, Phoenix, Pitt & Co and SAL, up to this point had paid employees three weeks in advance of work carried out.

The new system will see them being paid in arrears — after their work is completed.

The wholesaler told staff that as the system is introduced, it will pay employees only one week’s remuneration for the month of September, but has reportedly offered loans to make up the shortfall, among other options.

However, one employee, who wished to remain anonymous, claimed that not all staff were paid wages in advance of work.

According to a spokesman, the company has given staff until Friday to sign a consent letter from management agreeing to the changes and accepting the interest-free loan or other options.

He said repayment of the loan would begin in April 2027, with a portion of money owed being deducted from paycheques over a three-month period thereafter.

Other options aside from the loan included cashing in three weeks of vacation time to repay the money, forfeiting funds accumulated in an existing Christmas company savings account without penalty, or opting out of all of them completely and “taking the hit” financially.

Chris Furbert, the president of the Bermuda Industrial Union, held a meeting with 80 to 100 of the company’s 400-plus employees on Monday morning during which he encouraged all workers — unionised and non-unionised — to unite and strike.

In a recording of that meeting, shared with The Royal Gazette, staff said if the company refused to negotiate, they would down tools on Friday — the deadline for staff to sign the consent letter.

The company spokesman said BDC2000 is prepared to meet with the union again but will not be changing its stance.

He said: “We are always open to discussion; I think a strike can be avoided. The company will not change its position but we want the union to understand that what we offered is fair to everybody. I don’t think people understand that they haven’t earned the money.

“The interest-free loan starts coming out in April 2027 for three months. We decided to give it to them for that length of time as it is coming up to Christmas and people can save money.

“The company could have decided not to offer the loan at all and all you have is one week.”

However, the employee said: “Not all employees are paid in advance; it would depend on their start date and if they were paid forward. So far, everyone I spoke to said they got paid at the end of the first month they worked. It’s prorated based on your start. We are paid based on a salary rate.”

Mr Furbert urged staff not to sign the consent letter and suggested that as many employees as possible turn up to the BIU building on Friday at 8am on Union Square rather than turn up to the workplace and potentially be asked to leave the premises.

Mr Furbert said in the Monday meeting: “Hopefully the persons who are not here [management] understand why we are having this conversation. Everybody should come on Friday.”

He said he would have a conversation with company chairman Wendall Brown to warn him of the potential action and provide an opportunity for a rethink.

He said he would tell Mr Brown: “We understand you have changes with payroll. My members and your staff told me they can’t afford to go without pay. They have told me about the deadline of September 4. They will meet at BIU on September 4 and are not coming to work.”

Mr Furbert told the workers: “This situation requires all of you coming together — you will get the result you are looking for.”

The employee said it would be difficult to make ends meet because of the way the system is being implemented.

They told the Gazette: “We want them to implement it differently.

“The way they are doing it, they will only be paying us for this current week of work August 31 to September 4.

“Out of that one week of pay, they will be taking all deductions. They have told us that in that pay at the end of the month, we may see $0 or may even be in the red.”

Speaking on the options provided, the employee added: “For the loan, we have to pay the company back — money that we are owed as salaried workers — starting April 2027 for three months out of our pay.

“We can cash in our vacation if we have at least three weeks of vacation available, but most in the company only have ten days of vacation. We would lose our vacation.

“If we forfeit our Christmas company-savings-plan money, we lose the interest we were promised. Payout is normally in November.

“If we opt out, we get nothing.

“The union gave them another opportunity to just pay us week by week to sort out their new system, and they refused.

“The whole situation is disgusting.”

According to the employee, some staff have “walked off the job” while others have been calling in sick in protest. Two or more truck drivers are also out of work, the employee said.

“The morale is horrible”.

The company spokesman said he was not aware of any resignations or industrial action that had been carried out.

He also said many staff had accrued vacation days, as the company had dropped its “use-or-lose” policy.

Mr Furbert had not responded to questions by press time.