The Construction Association of Bermuda (CAOB) have noted recent statements in the press regarding the Department of Immigration’s intended use of a ratio of work permits-to-apprentices policy in the issuance of work permits in the construction industry moving forward.', 'While the CAOB supports the recognition of companies participating in apprenticeship training, it does not support the use of ratios in determining work permit approvals.
We feel that hard-and-fast rules regarding ratios of work permits tied directly to number of apprentices, is not a workable solution. Over-employment and the competition for skilled Bermudians has risen to such a high level that businesses at all levels are finding it difficult to keep hold of local staff. We believe that a ratio policy would simply result in the increased movement of apprentices between companies, and leave open the possibility that a small company could lose their permits, and ultimately their business, should their one or two apprentices decide to move to another company or venture out on their own.
The smaller specialist businesses (drywall installers, flooring, landscapers, etc.) in particular find it very hard to secure and develop local expertise, and depend on using expatriate labour to meet the needs of the marketplace. The fact that formal apprenticeship training programs are not available in many of these disciplines exacerbates the problem. CAOB member companies employ more than half of all people in the industry, and sponsor virtually all apprentices in formal schemes, yet the recurring complaint from companies is that there are not enough Bermudians willing to enroll and follow through with apprenticeship training.
However, the most significant obstacle facing many businesses in the industry remains the fact that there simply are not enough local workers to fill the jobs available.
Contrary to recent reports, the construction industry remains a mainly Bermudian industry. The Dept. of Statistics most recent Job Market Survey indicated that the workforce is made up of only 928 non-Bermudian workers of 3,494 total (26.5%). In addition, the vast number of companies operating in the industry (over 700) indicates that most Bermudians are either working for themselves or for small businesses. The construction industry has been where Bermudians have been most successful at entrepreneurship and building wealth (see same Dept. of Statistics survey), and Government should be careful that work permit policy does not inhibit that method of empowerment. We believe that care needs to be taken to insure that policy does not inadvertently stifle that opportunity.
Our position is that expanding technical training and formal apprenticeships is the only way to increase the quantity and quality of skilled Bermudians in the trades, and not through punitive work-permit policy. This must happen concurrently through the development of formal trades training schemes, and the encouragement of their use through a more robust “Good Corporate Citizen” (GCC) program. This program could be maintained and managed by the Department, with clear and achievable requirements, and very importantly, measurable benefits.
A construction industry specific GCC program, with distinctions between big, small and specialist firms would be necessary to adequately account for the differences in requirements. A check list of requirements could be established not unlike the loose requirement of the current program, including (but not limited to):
- participation in training schemes.
- membership in the CAOB or other monitoring body.
- the employment of “certified” tradesmen/women.
- contributions to scholarships or participation in career fairs.
- up-to-date accounts with Gov’t tax departments.
In order for value to be seen in achieving GCC status, there must be measurable benefits. These could include:
- reduced permit fees (or increased fees for non GCCs).
- expedited permit applications.
- ability to achieve key-employee status.
To reiterate, a ratio policy will not have the desired effect of increasing Bermudians and Bermudian apprentices in the work force.
We feel that such a policy will unfairly and unnecessarily penalize small business in particular, and will be detrimental to the overall industry’s health.
'The CAOB has pressed the Department to be involved in further dialogue on the subject.
The Board of Directors.
Construction Association of Bermuda