Government Declares Deadlock In Pension Negotiations; Matter To Be Referred To Labour Commissioner

January 11, 2019 – Government has declared a deadlock in pension negotiations with public sector trade unions and staff associations.

At the continuation of talks today, Government’s Pension Engagement Committee notified the unions and staff associations that an amicable solution appears unlikely given the great disparity between proposals by the two parties.

Since the start of negotiations, Government has improved its offer of advanced payment of pension, also known as gratuity, to 8% with reduced pension over eight years. The unions and staff associations continue to demand 25% gratuity, which Government maintains is not affordable or sustainable.

The continued insistence on 25% gratuity has left the Government with no choice but to declare an impasse.

Therefore, in keeping with the procedures for the settlement of disputes, the matter will be referred to the Labour Commissioner for conciliation. If this fails, the matter will be referred to the Minister of Labour for mediation.

At Friday’s meeting, after opting to defer all three substantive items on the agenda, the unions and staff association indicated that they will communicate their official position in writing to the Government.

The Government of Grenada remains committed to pension restoration and reform for the benefit of all employees.