Former Bermuda Bookstore employee Ruby Caines claims she did not receive her full redundancy pay after losing her job when the store was sold.

Mrs. Caines worked for Baxters Bookstore since 1968, and Bermuda Bookstore following the 1982 merger of the two stores. She was one of the longest serving booksellers on the Island.

However, when Bermuda Bookstore was taken over by a new partnership this month, she lost her job. Now she is unemployed and looking for work.

She is also unhappy with her severance, having received $5,000 for her 34 years' service.

In a Royal Gazette article on Tuesday about the new management of the bookshop, Mrs. Caines was said to have received a "golden handshake" on her redundancy.

But this week she declared: "$5,000 is no golden handshake."

According to the Employment Act 2000, an employee made redundant is entitled to two weeks of wages for each completed year of employment up to the first ten years, and three weeks' wages for each completed year of employment thereafter, up to a maximum of 26 weeks. This applies even where no employment contract is in place between the employee and employer.

Mrs. Caines was paid $400 a week and had been employed directly by the Bermuda Bookstore for 20 years. She said this meant she would be entitled to the full 26 weeks' pay, which would amount to $10,400 - $5,400 more than she received.

Both staff who were made redundant received $5,000 compensation. The other employee had worked at the store for 20 years, and would also be entitled to 26 weeks' pay.

Yesterday former manager of the Bermuda Bookstore Robert Zuill - said to have fought hard to retain Mrs. Caines - declined to comment.

A former producer for US media giant CNN, Mr. Zuill said he was amazed that a Royal Gazette reporter was asking him questions about Mrs. Caines' complaint.

Mrs. Caines also took exception to reports that she was due to retire in February. Although Mrs. Caines will reach retirement age - 65 - in February, she said she has no intention of retiring.

"I am just a poor black woman who cannot afford to retire," she said.

The Royal Gazette understands there is no Bermuda law forcing people to retire at a certain age. It is a person's prerogative to continue working after 65 - although an employer is no longer required to pay pension and social security as the employee begins to receive benefits.

Mrs. Caines said: "I did not want to leave the store but due to the sale of the place, Mr. Zuill said Washington Mall Magazines didn't want the staff."

Mrs. Caines said she was applying for other jobs. She did not want her chances to be affected by potential employers thinking she was due to retire in six months.

Part owner of the bookstore Nathaniel Butterfield, who is instrumental in the new venture, expressed his sorrow at Mrs. Caines' position. He added, however, that Mrs. Caines and the other employee did not fit in with the new plan for the store. "We never employed Mrs. Caines in any capacity. This was part of the condition of the sale," he said.

Mr. Butterfield said Hamilton retailers were struggling to make ends meet in difficult economic times and that the business plan for the store was to only have one full-time employee, Hannah Willmott, who was manager, sales clerk, and everything else.

There will also be part-time employees and a summer student for the busy summer season.

Mr. Butterfield also said that Mr. Zuill lobbied very strongly to have the staff kept on, but sadly this was not possible.