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BIU: Workers hit by tax hikes

have lost 1.5 percent of their wages, having had to pay the brunt of payroll taxes.And they felt the money should be paid back to them.

have lost 1.5 percent of their wages, having had to pay the brunt of payroll taxes.

And they felt the money should be paid back to them.

Mr. Simmons told the Essential Industries Disputes Settlement Board that employers and employees had normally split the percentage of the gross wage.

"But, now hotels have decided to place the greatest burden on employees by making them pay more than half,'' he said.

"Employers are paying 2.5 percent and employees must pay four percent. We are claiming that hotel employees have had to except a heavier and lopsided tax burden than the rest of the community.

"Hoteliers decided they would put it all on employees which has reduced their pay one and a half percent and as such that should be made up.'' Mr. Simmons said that initially the tax was four percent which was shared equally between employers and employees. Later, it increased to five percent and now it is 6.5 percent of the gross wage.

"Hoteliers remind me of little hustlers. They made a plea to Government for support for their establishments and then they turned around and said give me some of their (the employee's) money too.

"They are not good people and they can't run a business by hustling around like this.'' Mr. Simmons added that hoteliers needed to be more honest and forthright in their dealings with people.

On the issue of increased wages, the union stated that after some cashiers in hotels were made redundant, bartenders, waiters and waitresses had to do their jobs plus that of the cashiers.

"And because of that, we are requesting an upgrade of no less than $10 per day (six percent) added to their wage of $168 a week,'' Mr. Simmons said.

However, hotels lawyer Mr. Stephen Shawe said that in the 1988 negotiations there was an agreement that there would be certain upgrades for some employees but other proposals were not agreed to.

"The board opposed the application because it was not a new feature.'' Also discussed was the Rate of Price Increase during which Mr. Simmons said hotel workers were the lowest paid employees, although supermarket workers may be lower.

He added: "We need increases to keep up with the rate of price increases.

Employee wages are so low below the cost of living that if we had a poverty line level in Bermuda, you would see that hotel maids etc. are living in poverty compared to other workers.

"I would like the board to recognise the fact that hotel workers also work the maximum number of hours. Other employees are getting more money, more benefits and working less hours.'' Mr. Simmons also told the board to take into account the social ramifications of hotel workers.

"Waiters and waitresses may make $36,000 a year and may be happy with material things but their spirits are broken. There is a breakdown in the family because one parent is rushing out of the house to make time at the hotels.''