FITUG joins mounting defence of Guyana’s local content legislation

The Federation of Independent Trade Unions of Guyana (FITUG) has added its voice to the growing criticisms against efforts to undermine Guyana’s Local Content Act 2021, which was passed in December.

“As a patriotic organisation, we cannot stand idly at the sidelines and allow our efforts to ensure the advancement of our people slowed or halted.”

The comments are captured in a public statement by the group, following the publication of comments attributed to the Caribbean Community Private Sector Organisation (CPSO) which said the Act is in breach of the Revised Treaty of Chaguaramas.

The Treaty outlines the central principles governing the establishment of CARICOM.

Following the circulation of the CPSO’s comments, several leaders in the local private sector, including the President of the Georgetown Chamber of Commerce and Industry (GCCI), Timothy Tucker, slammed the organisation for its apparent intention to challenge the Act.

The Private Sector Commission (PSC) also expressed disapproval over the news, noting that the local content legislation is not in breach of the Revised Treaty. It also noted that the CPSO did not consult the local private sector.

In a public statement, FITUG said it has long held the position that Guyanese must first and foremost benefit from the country’s natural wealth.

It said it believes Guyana’s patrimony should redound to the long-term development of the country, and in pursuit of this, actively involved itself and its views into the consultation process prior to the tabling of Local Content Bill 2021 in Parliament.  

FITUG said although the challenges to the Act come against the background of regional integration, Guyana’s new local content legislation is not unusual.

“We have learnt that even more stringent measures have been taken by our regional counterparts without there being any whimper of disagreement. The Federation recognises the importance of regional collaboration in the collective interest of our small economies. We, however, must draw a line when such efforts seek to conflict with our collective hopes of our people.”

While arguing in support of the Act in Parliament, Attorney General and Minister of Legal Affairs, Mohabir Anil Nandlall had said that Trinidad and Tobago and Suriname have both implemented local content frameworks to maximise benefits for their citizens in the petroleum sector, with no issue.

Guyana’s Local Content Act sets strong, realistic targets for companies to meet, ensuring that in the coming years, Guyanese workers and businesses get a fair share of the exploitation of their patrimony.

The AG said that the government contemplated issues arising, and that it will deal with them condignly if it comes to that.