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Treasury Pays Sugar Workers $300M

It will once again cost the state’s treasury 300 million dollars to pay the Diamond sugar workers on the East Bank of Demerara after the estate stopped operations which forced workers to sue the government for their severance package.

This was announced by President Bharrat Jagdeo after a meeting with the works on Tuesday afternoon. Some 325 workers are expected to benefit from the severance payout. President Jagdeo is claiming that a decision was made to disburse the monies and end the court battle which he believes could go on for years given the sluggish pace of the court system. He noted that the court’s decision could have gone either in favor of the state or the workers.

The President also used the occasion to lash out at the Peoples National Congress Reform Presidential Candidate David Granger about his vision to privatize the sugar industry. He is of the opinion that Granger lacks understanding of how the economy operates.

Over the past years the government has pumped millions into the sugar industry but the Guyana Sugar Corporation is yet to stand on its own without government’s interventions. Just recently a financing agreement was inked with the European Union to provide some 5.6 Billion Dollars in support for the sugar sector this year.

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