Finance Minister Ardwell Irion.
PHILIPSBURG--Employers who receive payroll support via the St. Maarten Stimulus and Relief Plan (SSRP) to remunerate their employees, are obligated to pay their workers 100 per cent of their salaries or reduce the work hours of staff equivalent to the percentage that they are not being paid.
This explanation was provided by Finance Minister Ardwell Irion who was asked about the matter during the live virtual Council of Ministers press briefing on Wednesday.
“If a company qualifies for 80 per cent (payroll support), it is expected that the company pay the other 20 per cent (to their workers),” Irion explained.
He said the company has a legal contract to remunerate their workers a certain amount of funds, and workers expect this amount to be paid. If the worker is to be remunerated less than their contracted amount, then the employer, should adjust their work hours to reflect this.
He said the Netherlands, in the conditions imposed on St. Maarten, expect to see contributions from both employers as well as employees, and this is likely to be reflected for future payroll support.
“In the conditions from the Netherlands, they expect to see even more. They want to see that the employee contributes and they want to see specifically that the employer contributes; and if the employer, for example, cannot contribute the amount of 100 per cent then they would like, in their conditions, for the working hours to be adjusted.
“So, there is a possibility that for further funding of the SSRP and in meeting the conditions of the Netherlands, adjustments will have to be made from the July month going forward. But yes, currently it is expected that the company meet the legal obligations to (pay) their employees (in full).”
The minister said it cannot be that an employee works 100 per cent and receives, for example, 60 per cent of their salary. “That also cannot be… You currently have a legal obligation to the contract that you signed. It is expected then that you pay that amount, but if you reduce their working hours then you (can) reduce the amount that you pay. If you reduce work hours by 20 per cent then you get paid 20 per cent less.”
