PHILIPSBURG--Members of Parliament (MPs) will review and discuss the St. Maarten Stimulus Relief Programme (SSRP) during a virtual session of Parliament at 2:30pm today, Monday, April 20.
Minister of Finance Ardwell Irion will be in attendance. The main aim of the stimulus plan is to avoid layoffs and prevent companies from going belly-up during the current COVID-19 crisis. A key component of the stimulus is government’s plan to provide a payroll subsidy to the “most affected” businesses to cover up to 80 per cent of the salaries of their workers for a three-month period.
Businesses can cover the remaining 20 per cent. To qualify for the payroll subsidy, businesses have to “prove [that they have encountered – Ed.] hardship” of at least 20 per cent. Companies will have to apply for the payroll support. The subsidy – to cover up to 80 per cent of workers’ salaries – will not be given directly to workers. It will be given to companies, that will in turn pay their workers in an effort to keep more persons employed.
Self-employed persons such as independent taxi drivers, vendors, tour operators and artists et cetera, can also benefit from income support. Persons who are already unemployed, can apply for the already established unemployment benefits from government.
The intention is for the subsidies to apply to the April salaries of workers. Another part of the plan is providing low-interest loans to businesses which can be used for expenses such the purchasing of products, rental and utility payments and other expenses that the business may incur.
Government has requested NAf. 254 million to cover the cost of its Relief Plan for the first three months. However, the overall plan has a scenario of nine months. The SSRP will cover “direct relief” which includes a payroll-support programme, income-support programme, a soft-loan programme as well as an underemployed programme for an amount of NAf. 108.44 million. For the unemployed, the established unemployment benefits will continue.
The SSRP also includes funds to compensate for the loss of government income for an amount of NAf. 89.2 million to enable government to carry out already existing but now expanded programmes, a food-voucher programme and a food-boxes programme for the most vulnerable groups, meals for the elderly and psycho-social care.
An amount of NAf. 56.28 million has been budgeted and is intended for additional healthcare expenses as well as support to Social and Health Insurances SZV and St. Maarten Medical Center (SMMC).
Due to measures taken to mitigate COVID-19, the House of Parliament is currently closed to the public until further notice.
The parliamentary session will be held virtually and will be carried live on St. Maarten Cable TV Channel 115, 107.9FM, 98.1FM,
www.pearlfmradio.sx, www.sxmparliament.org,
and Parliament’s Facebook page: Parliament of St. Maarten.
