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CTUSAB Calls for Greater Tax Relief and Cost of Living Measures in Budget 2025

By Deanzer Roberts

The Congress of Trade Unions and Staff Associations of Barbados (CTUSAB) has expressed mixed reactions to the recently presented 2025 Budgetary Proposals and Financial Statement. While acknowledging some positive measures, the umbrella trade union body believes that the Budget falls short in addressing key concerns such as high taxation, the rising cost of living, and poverty alleviation.

CTUSAB President Ryan Phillips, in his post-budget analysis, emphasized that workers and citizens expected the government to introduce initiatives that would ease financial burdens. He noted that while the announced 2% biennial increase in the minimum wage is a welcome step, the current $340 per week remains inadequate given the high cost of living, particularly in areas such as food, rent, and utilities.

One of the key recommendations from CTUSAB was a reduction in income tax for pensioners, beyond the increase in the income tax threshold. The organization believes that pension income should be completely exempt from taxation to provide greater relief for retirees. Additionally, CTUSAB questioned why the Water and Sewage Tax remains in place despite many households not being connected to the sewage system. The union also called for a review of the Municipal Solid Waste Tax to determine if it discourages property development.

Phillips also criticized the continuation of the 2% tax on overseas credit card transactions, arguing that it penalizes consumers engaging in online transactions—a practice that the digital economy seeks to promote. CTUSAB further recommended a reduction in the 17.5% VAT rate, given the country’s reported economic growth and improved foreign exchange reserves.

The trade union body welcomed the government’s adjustments to maternity and paternity leave policies. The extension of maternity leave from 12 to 14 weeks, along with the removal of the three-child confinement limit, was described as a positive move that aligns with efforts to encourage population growth. CTUSAB, which has long advocated for paternity leave, was also pleased that fathers would now receive this benefit.

However, CTUSAB expressed concerns regarding the Government’s proposed 20% sales tax on salty snacks, cautioning that small vendors and local manufacturers might bear the brunt of this policy. The organization questioned the effectiveness of this approach in tackling health concerns, especially in light of the government’s simultaneous VAT reductions on salted meats such as pigtails, sausages, and stew beef.

Phillips noted that the Budget failed to adequately address the pressing economic challenges facing Barbadians, including high electricity and telephone bills, escalating food prices, and the accessibility of land and housing. He highlighted that there were no new measures introduced to regulate high rental costs, curb alleged price gouging, or address concerns about banking sector practices that impact consumers.

“The government has reported strong GDP growth, a healthy foreign exchange position, and reduced national debt, yet there is no significant move to alleviate the tax burden on citizens or to introduce major cost-of-living relief measures,” Phillips stated.

While CTUSAB acknowledged the Government’s one-off payment of $300 to certain groups, it hopes this will not impact the upcoming Public Sector Wages and Salaries Negotiations.

As the country moves forward in 2025, CTUSAB has urged the Government to take a more proactive stance in implementing policies that directly improve the economic well-being of all Barbadians. The organization reaffirmed its commitment to advocating for fair wages, economic empowerment, and meaningful social and economic policies that benefit workers and the wider population.

General Secretary Dennis de Peiza acknowledged the government’s increase in the personal income tax threshold but stressed that additional provisions are needed.

CTUSAB has urged the government to introduce tax incentives for workers in healthcare, education, and protective services, as well as tax credits for employees pursuing job-related professional development. The Congress also advocated for tax deductions on work-related expenses, including transportation and childcare.

Addressing the high cost of living, CTUSAB welcomed government’s reduction of vegetable and fruit prices but criticized the lack of further action, such as removing import duties and VAT on all fruits and vegetables. The Congress also lamented the absence of consumer protection regulations to prevent price gouging, stressing that many workers continue to struggle with rising expenses.

In addition, De Peiza called for stronger social protection measures, including increased funding for the National Insurance Scheme to ensure timely pension payment

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SPECIAL POLLING DAY NOTICE

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FundAccess To Host Legal Clinic Workshop from May 13th

Entrepreneurs will soon get another opportunity to learn about critical legal matters that are key to the operation of their businesses.

FundAccess will be hosting The Legal Clinic Workshop, which will commence on Tuesday, May 13, and continue each Tuesday, until May 27, from 5:00 p.m. to 7:00 p.m.

The workshop will be facilitated by Attorney-at-law Ondene Kirton and participants will discuss Understanding Business Legal Structures; Contracts & Agreements; Employment Law & Compliance; and Examination of the Various Laws Relating to Small Business.

During those sessions, the participants will be exposed to sole proprietorship, partnerships, corporations – pro and cons; how to choose the right legal structure for a business; the importance of contracts in business operations; avoiding common contract pitfalls; and employee rights & employer responsibilities, among others. Some of the pieces of legislation to be examined include the Employment Rights Act and National Insurance and Social Security Act.

Interested persons may attend the workshop in person at FundAccess’ Pinfold Street, Bridgetown location, or online via the Zoom Platform. To register, click on the following link: https://bit.ly/3Fu09Jv.

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Centenarian Built On Firm Foundation Set By Grandmother

“Trust God first” is the mantra of one of Barbados’ newest centenarians, Athelstan Browne, who celebrated his 100th birthday on April 29, 2025, at his home in Montrose, Christ Church, surrounded by family and friends.

One of his specially invited guests was President of Barbados, Her Excellency, The Most Honourable Dame Sandra Mason.

Mr. Browne shared that he grew up “not knowing a mummy” as his mother passed away at age 23, when he was two years old, and his brother was only one year old.

Crediting his grandmother for his upbringing, Mr. Brown remarked: “I had a real good, good grandmother that raised two of us, and everything we learn before we went to school, she taught us.”

Pointing to a humble yet deeply religious upbringing, Mr. Browne said: “I and my brother slept on the floor. Our grandmother spread things down there, and she just put the pillow under our head.”

He recalled that they had to sing the hymn “Under the Blood” before going to bed, and first thing in the morning before they had breakfast, which usually consisted of “a cup of tea and two biscuits”. Adding that the hymn was “our song”, Mr. Browne sang the hymn from memory.

Stressing that his grandmother was a great provider, he noted: “My grandmother had land, and she would work the land…. We would eat raw potato, raw okras, (green) peas, cucumbers…. The only thing we did not eat was raw yams and eddoes.”

Mr. Browne continues to enjoy his ground provisions “with a little rice”, as he likes his rice with green peas, and if available, chicken boiled with the rice. “I am a fish man,” he remarked, eating it either fried or with a “stew sauce”.

Continuing to nurture his Christian beliefs, he joined the Mount Ararat United Holy Church (currently in Dayrell’s Road, Christ Church) in 1967, at age 33, and has continued there ever since.

Once the Superintendent of the Sunday School at the church, Mr. Browne is still instrumental in providing leadership to the youth there. “I have a crowd of young people at church that love me…especially when I have to talk to them…. It is what they should hear and what they should have,” he said.

The centenarian was raised in Montrose, Christ Church, and attended the Christ Church Boys’ School (now Milton Lynch Primary School). After leaving school, Mr. Browne initially took to agriculture but then worked cutting soft stone in two quarries in Christ Church.

In 1947, at the age of 22, he decided to join the US Farm Labour Programme and took the first Pan American Airlines flight out of Barbados. Over 10 years later, Mr. Browne returned to Barbados and married Monica Browne (deceased). Together, they built the house where he currently resides.

Returning to his roots in agriculture, the centenarian worked at the Ridge Plantation, Christ Church, until retirement. He also planted and reaped ground produce at home, as well as planted and cut canes.

Mr. Browne, who is generally in good health and has a sharp memory, still works around the home and enjoys reading, which he does without glasses. He also keeps in touch with his family in New York and North Carolina, and will do some travelling, but he is always ready to return home.

After toasting the centenarian, Her Excellency remarked: “You are in the midst of a lot of love, and I am sure you are going to enjoy the rest of your birthday. I am really happy to have met you. I am grateful for the work that you still continue to do with our young people because a lot of them lack direction, and we, nowadays, don’t take enough time to sit down and speak with them…. We don’t remind them that they are important, that they are somebody.”

Mr. Browne responded: “You got to make them understand what … the Lord expects of them… We have to acknowledge the Lord.”

Mr. Browne has two children, 10 grandchildren, 11 great-grandchildren and two great-great-grandchildren. (PR/GIS)

Caption: President of Barbados, Her Excellency, The Most Honourable Dame Sandra Mason, and Barbados’ newest centenarian Athelstan Browne take a walk outside during his birthday celebrations in Montrose, Christ Church