Sources Allege Unpaid Food Vouchers Partly to Blame for Costpro Collapse; ABWU Vows to Fight for Workers’ Entitlements

Questions are being asked and speculation is rife about the abrupt closing of the Costpro Supermarket last Thursday, July 9, when stunned workers received their pink slips.

Unconfirmed reports claim that part of the business’ collapse is due to an unpaid debt of about $750,000 for food vouchers.

Some sources allege that  a portion of what is owed dates back as far as the COVID-19 pandemic, which saw the Gaston Browne Administration distributing such vouchers to families reportedly in need.

The balance of the debt allegedly was incurred in the last election season, starting with the St. Phillip North by-election and continuing into the run-up to the April 30 general election. However, the sources were not sure whether the Government or the Antigua and Barbuda Labour Party was responsible for picking up that alleged tab.

What is known, though, is that the Antigua and Barbuda Worker’s Union (ABWU) has picked up the cause of the suddenly jobless employees.

During  a meeting held at its headquarters last Friday morning, ABWU assured the former staff “that it will pursue every available avenue, including action before the courts, to ensure the employer honours all statutory obligations, including severance pay, notice pay, outstanding vacation pay, and any other benefits to which the workers are legally entitled.”

A release from the Union says the “affected employees have also been advised to gather their letters of employment, pay slips, and other relevant employment records to facilitate the accurate calculation of their severance and other entitlements.”

At present, Antigua and Barbuda has no severance-protection legislation, and the Union is urging the Administration to move expeditiously to correct this. The legal framework would put in place the mechanism by which a fund would be established “to safeguard employees’ entitlements,” the release says. 

“Had this been in place, as we have been advocating for several years, the affected employees of Costpro would not be facing uncertainty over the payment of benefits they have earned through years of service,” the Union notes.

“Workers should never have to wonder whether they will receive the severance to which they are legally entitled.”