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WICSU/PSU finally questioning 25% salary cuts imposed by management of WINAIR.

PHILIPSBURG:--- Winward Islands Civil Servants Union (WICSU) and Private Sector Union (PSU) finally decided to deal with the 25% salary cuts imposed on Winair pilots and other employees while the union and its members were not fully informed.
Management of Winair had promised not to touch its employee's salaries claiming the company made good profits prior to the COVID-19 pandemic.
The union dispatched a letter to Director Michael Cleaver which was also sent to the Government and Parliament of St. Maarten and the Netherlands.
The letter reads as follows:

This letter is to address our concerns regarding the way Windward Island Airways N.V.’s Management has been handling the pilots since the start of the Covid-19 pandemic; and the way it affected all.

Since the beginning of worldwide lockdowns, the Management has been forced to implement certain measures to safeguard the future of the company. These measures were implemented without properly being vetted and agreed upon by the WICSU/PSU Union. WICSU/PSU, nor the employees had any say concerning such actions that were implemented. In most cases, these were reinforced at very short notices if any. Many of the measures were requiring employees to sign certain “proposals” under duress and creating the notion that there will be consequences if not signed. It is not only a lack of faith from employer to employee, it is also disrespectful towards employees and the CLA that governs the relationship between the respected parties involved.

Therefore, Union and the pilots of WINAIR seek to attain clarification and direct answers on certain aspects of the abovementioned actions in the form of this letter.

• Firstly, as mentioned above we would hereby express our greatest dissatisfaction with the lack of communication from management. Sadly, there has been little communication from the management of WINAIR towards WICSU/PSU and by extension the pilots. Furthermore, there is great discontent with the culture between management and the union with regard to structured negotiations. Letters have been presented to the staff and individual pilots at given times for signatures, practically “ambushing” them to sign.
Letters as such, include the letter issued by management on April 30, 2020, in which states the terms for work hours and salary reduction by 25%, and the letter issued November 3, 2020, states that all vacation days have been used up by the pilots. Instead, these letters affecting the pilots should have been brought through the union in order to reach mutual agreement and not direct pilots into immediately signing such letters in front of a superior. In the abovementioned letter from management dated April 30, 2020, it was stated that the reason for the reduction in work hours and thus monthly gross salary is due to article 8.7 of all employee’s contracts. However, article 8.7 states “in the event the business activities of the Employer should drop 25% during the period September through October, the employer may reduce the work week and work hours of the Employee to respectively…” Note, in the statement of article 8.7 it is specifically and boldly mentioned that this reduction is possible during the abovementioned months. Thus, without negotiation between the union and management, how is it possible that this article was invoked outside of the defined months without consultation nor notice? Keeping in mind, the pilots were informed of this salary cut one (1) or two (2) days prior to the payroll of April 2020.

• Secondly, we would like to better understand management’s calculation of the vacation allowance employees received on December 30, 2020. Calculations as per the CLA 2019-2022 indicates that multiple pilots are short on the vacation pay out. Based on current understanding, vacation allowance is calculated based on the annual gross salary of each pilot; and this gross salary should have remained unchanged. Being mindful of the fact that a reduction in work hours should not change that of the gross salaries.

 

• Thirdly, the union seeks to better understand management’s plans for those pilots who have been on scheduled duty during public holidays. Namely, it was communicated to us that all overtime pay has been suspended during current times. However, holiday pay was mutually agreed upon by management and WICSU/PSU, based on the current CLA, and is expected to be honored. As per our Honorable Prime Minister stated, businesses wishing to open on public holidays must pay out their employees the applicable holiday pay.

• Fourthly, the pilots were also informed that as of March 2020 the company was implementing a salary freeze until further notice, and therefore all automatic salary increases were on hold. This communication was not brought forward until September of 2020. Bearing this in mind, the union is seeking direct clarification on the company’s plan regarding the retroactive pay to pilots whose salaries have been frozen since March 2020. In addition, following the increase as per CLA article 21.2 and Appendix A point 13.a.

 • Lastly, we would like to receive a more accurate estimated duration of the salary cut which was implemented in April 2020. It has been duly noted that companies have had their share of losses in St. Maarten’s legal Judicial Court, pertaining to the illegal reduction in salaries of employees due to Covid-19. Winair is a government-owned company; which may adhere to the 12.5% reduction costs. However, the 25% salary cut is in violation of the conditions/decree signed between the Netherlands and St. Maarten Government. WICSU/PSU would like to know what the plan is for reimbursing employees 12.5% salary. A clear definition on which operational conditions are required for employees to receive their full pay is still lacking even though it is evident that the company is generating revenues. This clarification is of much importance as the CLA that governs the relationship between WINAIR’s Management and the pilots have been violated without proper agreements. The outstanding to the Company's creditors as we understood are now being settled since the acquisition of the loan from the Netherlands. This is an indication that WINAIR is in a better financial standing now than it was at the time when the company’s revenue was halted due to the pandemic.

To clarify WICSU/PSU fully comprehend the situation in which the world abruptly found itself in, and that certain measures were necessary to ensure survival and smooth operation of the company. However, we disagree with the manner in which these were implemented and the manner in which management seems to disregard the union and pilots CLA for their convenience.
We look forward to positive and progressive communication between all parties involved in order to arrive at mutual solutions for all.

We respectfully request answers to the questions asked within this letter by latest January 31, 2021.

 Member of Parliament Claudius Buncamper highlighted the predicament WINAIR employees are facing during a meeting of Parliament on Monday.

The copy submitted to Government and Parliament can be viewed here.

 

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