My fellow Saint Lucians, good evening, the Government of Saint Lucia, under the administration of the Saint Lucia Labour Party, has always made the welfare of workers a priority and sought to ensure that wages are in line with the local and international economic environment.
Putting People First is one of the core values and philosophy of the Saint Lucia Labour Party. These values have been passed to generations of leaders and will continue to guide my administration’s actions.
A studied look at history will show that it has mainly been SLP-anchored governments that have championed transformative pro-worker legislation in Saint Lucia.
The Wages Council Ordinance No. 1 of 1952 was passed by the Sir George F.L. Charles administration. There were further amendments by Sir John M. Compton from 1965 to 1970.
Decades later, it was the Dr. Kenny D. Anthony administration that passed far-reaching changes in Labour Legislation by enacting four critical pieces of legislation between 1999 and 2006:
1. The Minimum Wage Act -No. 27 of 1999, allowing for the creation of the Minimum Wage Commission;
2. The Equality of Opportunity in Employment Act – No 9 of 2000; allowing for equal pay for men and women in the same occupation.
3. The right to Trade Union representation when supported by the majority in the workplace.
4. The Exemption of income tax on service charges and tips by guests to hotel employees.
You will recall that the previous administration deferred back pay due to public sector workers for salary increases negotiated for the triennium 2019 – 2022. Faced with a very difficult fiscal position upon assuming office, my administration has honoured the previous Government’s commitment by making the following payments to public sector workers.
1. In December 2022 – $6.8 million pack pay was paid to public sector workers;
2. In March 2023 – $11.5 million back pay was paid to public sector workers;
My Government, cognizant of the fact that pensioners had not received any increase in their wages under the previous administration, has taken the following action:
1. In October 2022 – $1.5 million as a first one-time cash payment of $500.00 to every pensioner;
2. In November 2023 – $1.7 million as a second one-time payment of $600.00 to each pensioner;
3. In August 2024 – government pensions were increased to a new minimum of $725 monthly;
4. The minimum pension earned by NIC contributors was increased to $500 monthly.
Further, in December 2024 – a first-ever $500 Christmas bonus was paid to all public sector workers and pensioners. In September 2022, the Minimum Wages Commission, comprising representatives of Trade Unions and the private and public sectors, was approved by the Cabinet and appointed by the Minister of Labour to make recommendations for the enactment of a Minimum Liveable Wage for all workers. In October 2024, the first-ever minimum wage for workers was implemented, guaranteeing a minimum wage of $1,131.00 monthly.
My government is aware of the impact of imported inflation and continues to implement measures that seek to reduce the burden of the cost of living for working families on our island.
We have increased the tax threshold to $25,000 per annum, removed service charges on basic foodstuff, provided subsidies on cooking gas, flour, and rice, removed VAT on essential building materials and sanitary products, negotiated and facilitated the importation of poultry, and meats, beef, and pork products from Brazil in search of reduced prices.
It is because of the government’s concern for the burden of imported inflation on workers and their families that I urged and thank the Unions and GNT to negotiate the best possible deal under current economic circumstances for the workers of Saint Lucia.
In December 2024, the Government Negotiating Team successfully completed negotiations with the Trade Union Federation (TUF), representing workers from the following organizations:
1. Saint Lucia Civil Service Association
2. Saint Lucia Fire Service Association
3. Saint Lucia Medical and Dental Association
4. Saint Lucia Nurses Association
5. Saint Lucia Teachers Union
6. Vieux Fort Dock and General Workers Union
The Cabinet approved the agreement reached by the Government Negotiating Team (GNT) in January 2025. In February 2025, the Bordelais Correctional Officers Association accepted the wage proposal. On February 20, 2025, the government will pay a 6% tax-free back pay to all Government employees from Grades 1-18 for the triennium from April 01, 2022, to March 31, 2025.
This payment will amount to approximately $34.5 million and will be applied as follows:
∙ 2% salary increases for the fiscal year 2022 to 2023;
∙ 2% for the fiscal year 2023 to 2024; and
∙ 2% for fiscal year 2024-2025.
The back pay will be paid to all eligible public officers, fortnightly employees, and pensioners employed during that period. The government will also pay salaries for this month on February 20, 2025.
In addition, eligible statutory bodies will receive an adjustment to their subvention to allow for the processing of back pay and salary increases for their staff. The Government has also given consideration to pensioners who retired prior to April 01, 2022, and would, therefore, not benefit from the triennium increases and back pay granted to public officers between grades 1-18.
As a gesture of goodwill, the Government has agreed to pay a one-time bonus of $500.00 to all pensioners who retired prior to April 01, 2022. This one-time payment will total $1.5 million and will also be paid on February 20, 2025.
Going forward, public officers from Grades 1-18 will receive a 7% salary increase for the triennium from April 01, 2025, to March 31, 2028. This increase will be applied as follows:
∙ 2% fiscal year 2025 to 2026;
∙ 2% fiscal year 2026 to 2027;
∙ 3% fiscal year 2027 to 2028.
Although negotiations between the Government Negotiating Team (GNT), the Police Welfare Association, and the National Workers Union (NWU) are still ongoing, police officers and fortnightly paid workers represented by the NWU will receive their back pay together with other public sector workers. However, I have instructed the Government Negotiating Team to use their best efforts to ensure that negotiations on issues of concern are resolved in an amicable manner at the earliest possible opportunity.
The government is in receipt of correspondence from the TUF, and discussions are ongoing on the matters raised. I want to thank the Trade Union Federation, the Government Negotiating Team, public sector workers, and the Cabinet of Ministers for working diligently and collaboratively to reach an agreement during the negotiations. I expect all public sector workers to make a special effort to improve workplace productivity for the benefit of the people of Saint Lucia.
My administration remains committed to the welfare of all workers and the overall development of our country.
Happy 46th Independence Anniversary to the People of Saint Lucia!!
I thank you.