VZCZCXRO6334
RR RUEHGR
DE RUEHWN #0349/01 1502033
ZNR UUUUU ZZH
R 292033Z MAY 08
FM AMEMBASSY BRIDGETOWN
TO RUEHC/SECSTATE WASHDC 6507
INFO RUCNCOM/EC CARICOM COLLECTIVE
RUEHC/DEPT OF LABOR WASHDC

UNCLAS SECTION 01 OF 02 BRIDGETOWN 000349 
 
SIPDIS 
 
STATE FOR WHA/CAR AND DRL 
USDOL FOR ILAB 
 
E.O. 12958: N/A 
TAGS: ELAB ECON PGOV PREL BB XL
SUBJECT: ST VINCENT LABOR UNIONS PRAGMATIC ON ECONOMIC 
OUTLOOK 
 
¶1. (u)  Summary:  St. Vincent's labor commissioner, public 
service union general secretary and the national workers 
movement general secretary were all upbeat in recent 
meetings, in contrast to the general downbeat assessment of 
the labor scene they portrayed six months earlier.  The 
labor movement has started turning around and recovering 
some momentum and energy, particularly the National Workers 
Movement, which has signed new members. Labor leaders are 
sensitive to the conflict between securing higher wages for 
members and the impact on overall employment in a weak 
private sector, and expressed interest in additional 
training through U.S.-sponsored programs.  End Summary 
 
Meeting with Labor Commissioner 
 
¶2. (u)  Laboff met with the Labor Commissioner, Patrice 
Roberts, to go over current projects and priorities of the 
Department of Labor (DOL) during an April 13-18 visit to 
St. Vincent and the Grenadines (SVG). DOL is working on 
revising and updating occupational, safety and health (OSH) 
standards and is reviewing the CARICOM model OSH 
legislation in order to overhaul local OSH standards, which 
have not been updated to meet current needs. DOL partners 
with the National Insurance Service, the National 
Development Fund and the Center for Enterprise Development 
Unit. DOL is also working with the ILO on a Labor Marketing 
Program, which should commence mid May.  Laboff mentioned 
that US OSHA is considering holding a regional workshop on 
OSHA standards, and the Commissioner welcomed the idea. 
 
¶3. (u)  Mrs. Roberts also noted that the DOL works with the 
Ministry of Social Development on skills training and 
career guidance. The US DOL has donated computers which 
they use in the school system in the area of career 
development. Speaking on the current labor situation, Mrs. 
Roberts noted that the Government employs about 60 percent 
of the workforce. She lamented the fact that there is no 
real private sector development and that there was no real 
Industrial activity in Campden Park, which is an industrial park 
designed to bring manufacturing to the island. It has not been that 
successful.   She also noted that development of the private sector 
is essential for the future development of SVG. 
 
Meeting with National Workers Movement General Secretary 
 
¶4. (u)  Noel Jackson, SecGen of the National Workers 
Movement, was relatively upbeat compared to last fall. He 
disclosed that there are currently over 700 members, which 
is a considerable increase in membership. The membership 
now includes the Stevedores, East Caribbean Metals, the 
Pilots Association, Insect Vector Control, the national 
Lotteries, the Irrigation Management Unit and the Friendly 
Societies (credit associations). Given the present economic 
situation, the union is looking for a 15 percent pay 
increase.  However, Mr. Jackson lamented the rapid increase 
in food prices and foresees a regional backlash protesting 
loss in earnings, insufficient increases in wages and 
raising food prices and cost of living. He does not believe 
that the cancellation of the Common External Tariff (CET) 
was the best solution at this time. 
 
¶5.  (u)  Jackson noted that new members are joining with 
high expectations which add stress to the union movement. 
He added that increased wages may subsequently mean job 
cuts and decreased benefits, which he is trying to avoid. 
He commented that the union is in a difficult bind - trying 
to get increased wages for their members, which are urgently 
needed given the inflation rate, but at the same time, the 
private sector is stressed and may not be able to 
accommodate a large increase in wages. He said that there 
has to be renewed focus on agriculture, organic farming and 
diversification. 
 
Meeting with Public Service Union (PSU) President 
 
¶6. (u)  Laboff met with Aubrey Burgion, President of the 
PSU, and his key deputies. The PSU possesses around 3500 
members, about 25 percent of the workforce. The PSU pointed 
out that unemployment is about 25 to 35 percent of the 
population in St Vincent mainland, and much lower in the 
Grenadines. Burgion noted that the rural areas have a 
higher rate of unemployment; farmers are frustrated and 
many have left formal agriculture and moved into marijuana 
production, which is booming. Moreover, the informal sector 
is mushrooming with the weakening of the private sector and 
the agricultural sector.  Kingston city, for example, is 
filled with street vendors of all sorts, particularly near the public 
market area. Anecdotal evidence indicates 
 
BRIDGETOWN 00000349  002 OF 002 
 
 
that many rural people have migrated to Kingston, which now 
has a fairly large illegal shanty town district. 
 
COMMENT 
 
¶7.  (u)  The private sector unions reflect the relative 
weakness of the private sector in SVG. It is encouraging, 
though, that the union is adding members, and appears to be 
pragmatic regarding how far they can go in requesting wage 
increases given the worsening economic conditions caused by 
rapid inflation which is negatively affecting average 
workers in SVG. Union officials stressed that they would 
welcome training by the AFL-CIO, which used to provide 
regular training programs. The Caribbean Congress of Labour 
provided training at one time but this has become 
infrequent. They would welcome the possibility of hosting a 
one week seminar, with trainers coming down from USDOL and 
the AFL-CIO.  End comment. 
 
HOWARD