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BHB workers at ‘breaking point’ over pay

Sign of the times: BHB employees claim that they have been frozen out of public sector salary negotiations (Photograph supplied)

Health workers are “at breaking point” owing to a seven-year freeze on salary increases, it has been claimed.

Bermuda Hospitals Board staff added that they were shut out of recent negotiations between the Government and unionised public sector employees that saw workers awarded increases “ahead of inflation”.

The concerns were acknowledged by the board’s chief executive, who confirmed that the majority of staff had not had a pay rise since 2018 — and that the board was under increasing financial pressure because of eroding revenues.

An op-ed sent to The Royal Gazette insisted that, owing to a restructuring of healthcare funding by the Government, “the hospital no longer has enough money to pay us”.

Concerns were made public when signs were put up on East Broadway for residents to see on their travel into Hamilton.

Slogans included “If you care, pay us fair” and “Our lives matter too”.

In the op-ed, the writer quoted David Burt, the Premier, who, in a speech in the House of Assembly last February, claimed that the Government had “fought to reduce the financial burden on the lives of those who work tirelessly but still struggle to make ends meet”.

The author added: “Unfortunately, this has not been the experience of frontline Bermuda Public Services Union staff at the Bermuda Hospitals Board, as we have not had a salary increase or cost-of-living increment in almost seven years.

“We are told repeatedly by our union, the BPSU, that the hospital has no money, and we are told by the BHB that since June 2019 its funding model was changed by the Government.

“The portion of funding previously paid by insurers for BHB claims that came under Standard Health Benefit was replaced with a fixed payment from the Government.

“The Government is now paying the BHB, and somehow the hospital no longer has enough money to pay us.”

The cost of living: signs were erected along East Broadway in a silent protest by health workers (Photograph by Akil Simmons)

The writer also claimed that members of the Bermuda Industrial Union, the Bermuda Public Services Union and the Bermuda Union of Teachers who are on the government payroll were awarded cost-of-living increases and ex gratia payments in 2023 and 2024, but that BHB staff — who are members of the BPSU — were excluded.

Claiming that BHB staff had been “neglected”, the author said: “Therefore, Right Honourable Premier, given that you are very much aware of the cost-of-living challenges in Bermuda, so much so that the Government negotiated salary increases to all unionised public service workers, why were BPSU-BHB staff not considered?

“It is obvious that the salaries of all other unionised public service workers were considered except those of the BPSU-BHB frontline staff.

“Those at the centre of caring for Bermuda’s population, those who battled through the once-in-a-century pandemic — BPSU-BHB staff — are forgotten?”

Addressing BHB executives, the writer said: “One of the pillars of your strategic plan for 2021-2026 is people.

“We are waiting to see that reflected in our salary package so we can at least live to be able to ‘continuously strive to deliver the highest quality and safest care to our patients, every day’, which is your vision statement.

“We are at breaking point.”

Not fair: BHB staff compared their present remuneration package with that of government employees (Photograph supplied)

The writer also took aim at the BPSU, saying: “We are your second-largest membership after government staff, but you have repeatedly neglected us.

“You have asked us to accept salary cuts, while the BHB executive staff continues to expand.

“You have asked us to accept regular time or time and half for overtime, all while citing the hospital’s empty coffers.

“Our collective bargaining agreement is three years out of date. We ask you now, whom do you represent?”

Strong message: protesters claim that Government funding of health services has left BHB staff, including doctors and nurses, struggling to survive (Photograph by Akil Simmons)

The Government opened negotiations with unionised public sector staff last autumn. Deals were ratified by members at meetings on February 14 and 17 — on the eve of the General Election.

Details of the agreements have yet to be disclosed. However, in a statement last week, the Bermuda Trade Union Congress said that the new contracts delivered “a favourable outcome for members across all relevant bargaining units”.

Audley Quallo, the general secretary of the BTUC, added: “The proposed wage increases not only place our members ahead of inflation but also help offset six of the eight wage freezes they previously endured.”

The Gazette e-mailed questions to the Government, the BPSU, the BTUC and the BHB.

R. Scott Pearman, the chief executive and president of the BHB, expressed his gratitude to staff who “step up whenever the country needs them“.

He said: “The costs of living have been rising and staff frustration at their level of pay is evident.

“BPSU staff have not had a cost-of-living increase since 2018. Negotiations for the period 2022 onwards are open.”

Mr Pearman said that the majority of staff, including doctors, nurses and non-executive administrators, were represented by the BPSU.

He added: "Our financial pressures have increased over the years.

“The fixed funding model introduced in 2019 has meant BHB’s revenues have been eroded due to the increased cost of doing business with local vendors and global increases in costs of medical supplies and equipment.

“BHB has only managed to keep running through major internal savings campaigns, government concessions, exhausting cash balances and the use of an overdraft.

"The implementation of the fixed funding model in 2019 resulted in 97 per cent of our revenue for BHB being sourced via the Mutual Reinsurance Fund transfer, government grant and patient subsidy programmes.

"Government is sympathetic to our financial issues and understands an uplift in staff salaries requires an uplift in revenue for BHB.

"BHB has been and remains in discussions with the Government over the revenue requirements to fund a much needed wage uplift for all our staff.

“BPSU salaries constitute 72 per cent of our payroll expenses, therefore BHB has not been in a position to enter into good-faith negotiations with the BPSU until a salary uplift was accommodated in our budget.

“We do not know what our remuneration for the 2026 fiscal year is yet, as the national budget has not been shared.

“Once there is certainty with respect to the hospital budget, negotiations with the BPSU will proceed expeditiously."

Out in the cold: BHB staff say they were frozen out of recent pay negotiations between between the Government and public sector employees (Photograph by Akil Simmons)
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Published February 24, 2025 at 4:40 pm (Updated February 24, 2025 at 7:22 pm)

BHB workers at ‘breaking point’ over pay

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