JAMAICANS have been expecting legislative changes to begin following a recent ruling by the Revenue Court that security guards engaged by Marksman Limited are employees and not contract workers and that the firm should pay National Housing Trust (NHT) contributions on their behalf.

Minister of state in the Ministry of National Security Zavia Mayne had suggested that legislative changes might be needed. On Friday, November 11, Senator Janice Allen called for security of tenure for tourism workers, in a similar manner to which it has been decided by the courts that security workers are not independent contractors.

However, the issue is not currently up for review, as indicated by the Ministry of Labour and Social Security (MLSS).

Michael W Kennedy, chief director, industrial relations at the MLSS, informed the Jamaica Observer on Monday, November 14, “Please be aware that there is no current labour law that is specific to contract workers.”

“Indeed,” he added, ” our labour laws refer to ‘worker’ and ’employee’. As such, the Ministry of Labour & Social Security is not currently conducting a review relating to ‘contract workers’. Please be guided accordingly.”

Kennedy also clarified, “Kindly note very carefully that the hiring of contract workers and any such review of the situation relevant to contract workers does not fall within the purview or jurisdiction of Industrial Disputes Tribunal [IDT].”

Senator Janice Allen, in her contribution to the State of the Nation debate, commented, “Many [employed in tourism] become confused by the near six billion United States dollars in earnings as declared when they have received diminishing returns as their wages remain as they have over many years but which in real terms as inflation rises and the dollar fluctuates.”

Allen suggested, “The recent ruling by our courts with respect of private security guards not being independent contractors but employees reads ominously for the tourism sector.”

Allen said, “It is important that operators within the sector familiarise themselves with the details of that ruling and prepare proactively for what may be on the horizon as a result of that ruling.”

Addressing the matter of security of tenure tackles the issue of retention of the best of the best within the industry, implying that highly skilled workers would be more motivated to remain with companies which offered such to them.

However, indicators are that the leaders in the industry are not yet willing to engage on the issue, and neither is the MLSS.

The Business Observer reached out to Tourism Minister Edmund Bartlett; however, no response was garnered up to press time.

Mutual benefit

However, new head of the JHTA Robin Russell stated his position, saying that both hotels and workers could benefit from contract arrangements.

Russell said, “Seasonality is a phenomena of tourism destinations the world over. In Jamaica, particularly in our resort areas, seasonality causes fluctuations in tourist and visitor arrivals and guest occupancy in general.”

“Businesses in the hospitality and tourism sector routinely implement strategies to ensure their viability including pricing variations across seasons, diversification of product, including the addition of special events, and recruitment of contract staff, especially during peak.”

Russell stated, “The hiring of contract workers gives properties the flexibility to bring on additional staff as required while protecting core permanent staff positions. It allows the hiring of specific skill sets — the right person, at the right time, for the right job.”

“It should be noted that many workers also enjoy the benefits of contract work as they share their skills across working at hotels in high season overseas and in Jamaica.”

The tourism industry directly employs over 117,000 Jamaicans, also generating indirect jobs for another 250,000 Jamaicans.

The JHTA had previously indicated that changes suggested for tourism workers would make the industry uncompetitive globally, by making the product offered in the island more expensive for travellers.