ST. JOHN’S, Antigua, CMC—The Antigua and Barbuda authorities says it has made the primary installment of the LIAT Staff Compassionate Fee Bond, which has since been transferred to BDO Jap Caribbean for distribution to eligible former LIAT workers.
An announcement by the Workplace of the Prime Minister mentioned that the cost permits former LIAT employees stationed right here to start receiving funds towards their severance.
“The Compassionate Fee Bond, issued by the Authorities, is a 10-year bond valued at EC$16.72 million (One EC greenback=US$0.37 cents) with an annual rate of interest of two %.
“This bond addresses Antigua and Barbuda’s 32 % share of the severance owed to 405 former LIAT (1974) Ltd. workers, reflecting the nation’s possession share within the regional airline,” the assertion mentioned.
LIAT 1974 Ltd has been underneath administration since July 24, 2020. It was declared bankrupt in January final yr
Other than Antigua and Barbuda, the airline’s different shareholders have been Barbados, Dominica, St Vincent, and the Grenadines. Most of those islands have reached agreements with their former LIAT employees on severance funds.
“This bond additional demonstrates the Authorities’s dedication to the previous LIAT workers and ensures a measure of reduction for these affected by the airline’s closure,” the Workplace of the Prime Minister mentioned.
“Former LIAT 1974 Ltd. workers are suggested to contact BDO Jap Caribbean, the appointed escrow agent, to obtain cost. BDO is answerable for managing and distributing the bond funds to make sure a clean and equitable course of for all eligible recipients,” it added.
Final December, as he delivered the nation’s nationwide funds, Prime Minister Gaston Browne mentioned that his Authorities is set to deal with the considerations of the previous LIAT 1974 Ltd. employees, particularly these stationed in Antigua.
He mentioned then that the bond can be a 10-year instrument on which funds would proceed yearly till the EC$16.7 million principal plus curiosity was totally extinguished.
The Antigua and Barbuda Employees Union (ABWU) has known as on the Authorities to barter an amicable settlement. Nonetheless, the Authorities has accused the union of not wanting to barter in good religion.
The Authorities had initially been supplied a 50 % compassion cost in money and bonds to the previous workers, which Browne mentioned quantities to EC$110 million. The ABWU has mentioned prior to now that it might proceed to hunt the 100% severance cost to the previous airline workers.
The union has not but responded to the newest assertion from the Authorities concerning releasing the bond.
