On the eve of Budget day, there's a lot of hope for tax relief and some aren't daring to hope at all.

The international business sector, currently enjoying significant growth, still feels hard done by payroll tax adjustments made two years ago which had the effect of increasing their overall tax load.

President of the Association of Bermuda International Companies, David Ezekiel, said the case for a reduction remains the same.

With the economy taking a turn for the worse, especially after the September 11 attacks on the United States, Finance Minister Eugene Cox, may find it difficult to accommodate such requests from a thriving industry as well as meet the needs of those adversely affected by the events.

“My wish list would be some relief for employees particularly hotel employees,” said Bermuda Industrial Union president Derrick Burgess. “After September 11 hotel workers were the first to suffer and the last to heal. So if we can get some relief for them I would be most happy.”

He added that the economic slowdown had affected all the hotel workers - “every last one of them”.

“The layoffs were happening before September 11 because we hadn't had a good year. After that it was worse.”

The assistance, he said, could come in the form of tax relief or benefits. Mr. Burgess has also advocated unemployment insurance. That, he said, is high on his wish list.

“Right now social assistance is not designed for the unemployed,” he said. “It's designed for the unemployable and for one to get the benefit, they have got to be almost penniless.

“So even though it's there, it's certainly not good value to people that are unemployed for a period of time. Because you've got to drain your savings before you can get something.”

He said he was optimistic that Bermuda will one day see a mandatory unemployment insurance scheme, though not necessarily in tomorrow's Budget.

“It will certainly alleviate the problems we have with social assistance,” he said. “I'm optimistic it will come.”

“We recognise that 9/11 has certainly had an effect on Bermuda as well as the rest of the world,” said Ed Ball, the general secretary of the Bermuda Public Services Association.

“We're looking for a Budget that reflects this and certainly one that's going to look at all levels of spending.”

But he had an additional item on his wish list. “There should be constant dialogue with the unions. We can't understand why the private sector appears to be having more say and input into the Budget and that the unions appear not to be also consulted. If we are supposed to negotiate sensible wage offers we also have to understand the economic conditions that prevail with Government as an employer. So we will be waiting with interest to hear what the Budget reveals.”

He said in the past the tripartite economic forum served as an avenue for consultation which included labour.

“I know that there have been calls to reactivate that committee,” he continued.

“If labour is to be a contributing partner we have to have the tools to also manage our responsibilities and we can only do that if we are included.”

Mr. Ezekiel repeated the line that Government should contain its spending, especially if income projections are lower than previously anticipated.

And he said he does not envy the Finance Minister.

“It's a difficult situation the minister finds himself in with the shrinking tax base on the tourism and retail side but one has got to hope the organic growth on the international companies side will produce enough of an increase in income,” Mr. Ezekiel said.

“That will assist in closing some of that gap between revenue and expense. It's clearly going to be a tough balancing act. So it's very much wait and see. I think all the different sectors have made their case and now we'll wait and see what the minister has for us on the day.”

Chamber of Commerce chairman Charles Gosling said his members were waiting to see as well.

“I really do think at this particular moment in time, we can wish until the cows come home. But on Friday morning we're going to find out the direction of the country for at least the next 12 months. If anything my hopes and dreams are a good night's sleep before Friday.”