And while the government has gone ahead with the new taxes, the Trade Union Congress says it will go ahead with protests in the upcoming days and weeks. Today we spoke to Trade Union leaders, George Frazer, Dylan Reneau and Jackie Willoughby. Frazer says the new prices are already in effect and those who can least afford it will be the ones having to take the brunt of it.
Jackie Willoughby, PSU Belize City President
"We still do have the support of the public. I think the only thing that's lacking from out there is understanding the issues but I'm sure if we say go tomorrow people will be out there going because I am sure when people go into the shops today they are feeling the effects of the tax increase. So yes we have the support."
Jules Vasquez,
Are the teachers prepared to restart? You as a unionist knows that industrial action is not something that runs good on cold start, it has to keep running hot. Are you all prepared to go again from a cold start and say strike?
George Frazer, NTUCB General Secretary
"There is a process Jules, consultation and communication, and that's where we will begin. We report back to our council, to our branches, and the process goes from there."
Jules Vasquez,
What actions are you prepared to take? How far are you all prepared to go to show your resistance, your opposition to these tax increases?
Dylan Reneau, PSU President
"Jules the actions will certainly take many forms and I can't really expound
on that right now because whenever you are in these times of crisis you tend to hold your cards near to your heart. But certainly again this government is testing the resolve of the these unions and we as the Trade Union Congress will show that we will not back down, we will not give up until we get what this country deserves."
Jules Vasquez,
And in the view of the TUC, what the country deserves is that taxes be imposed equitably and that is without special interests or large business owners dictating who will be taxed.
Dylan Reneau,
"Jules certainly we've been saying that if there is an equitable sharing of the taxes, all the burden will not be placed on a certain segment of the population, on the consumers and the lower income people; if everybody were to pay."
George Frazer,
"On soft drinks and those things the prices have gone up already. And if you say the tax is 2% or 3%, by the time it reaches the people it will be maybe 15% to 20% or more. It won't be 3 cents or 5 cents they will raise it, they will raise it shilling, 50 cents, and like that."
Dylan Reneau,
"Its mind boggling to me that this government would do something like this without really considering getting this money from these wealthy special interests groups who can definitely afford this thing; they can afford that $13.66. It was there in 1998, they did not layoff anybody, they were paying taxes at a specific rate, and then there was a sudden decrease to $1.80 in their excise rate and they were still making profits. So what is it? What is this special relationship about that the Belizean people don't know? Please Prime Minister, the onus is on you, you know. You are the man running this country and you have got to make the right decision and tell this country exactly what is happening."
George Frazer,
"Jules but even more than that I mean from what came out of this budget
exercise, where we were working with government in good faith, it is clear that government prefers to defend some of their special friends like the makers of beer and the big honcho in banking. Yet in the different manifesto promises they promised we will take away the 8% tax, now 9%, on telephone. I mean it is disingenuous. You cannot understand and believe a party that came up on the efforts, the sweat of the workers and others, going back against the interest of the common man. They prefer to save Barry Bowen and others millions, as much as $23 million, and tax the Belizean public. The common bread and butter, the sugar and rice we have to eat, the books and other things, the medicine which you need everyday to save Barry Bowen and Ashcroft. Those things are out of order now."
The research by the Trade Union side of the Budget Working Group shows that excise tax on beer went as high as $17.29 in 1998 and at that time local beer cost the same that it did today when the excise is at four dollars a gallon.
And while the Unions complain that the price of beer is controlled and the new prices are tabbed on as if it isn't, this is only one legal loophole in a generally porous situation. First, all the changes have reduced the situation to governance by press release, or sometimes word of mouth. There is no legal instrument passed by the legislature to effect an adjustment in taxes, which makes many of the new taxes just plain illegal. While it's good to know, that's hardly an argument you could expect to win with your corner shopkeeper.
