Lutron employees to be well compensated following closure of facility in 2019
(SKNIS): Employees of Lutron Liamuiga Ltd. are expected to be well compensated when the facility closes its plant in St. Kitts, effective March 01, 2019, as outlined by Senior Minister and Minister of Labour, the Honourable Vance Amory.
Officials from the Department of Labour met with the plant management and executives, as well as the workers of Lutron, on Thursday, November 01, 2018 to discuss pertinent matters relating to the closure.
“Lutron has agreed to make an ex-gratia payment of seventeen (17) weeks’ [approximately four months] to all qualifying workers at the point of closure – and in addition, has agreed to make a financial allowance for the transition and training of all workers who desire to be part of the plans to transition into other fields,” said Senior Minister Amory. “The Lutron payment is in addition to the government’s payment of severance in accordance with the claims made under the Protection of Employment Act.”
An ex-gratia payment is one that is done from a sense of moral obligation rather than because of any legal requirement.
Minister Amory further explained that the compensation package from Lutron will see more than half of the workers receiving the equivalent of 104 weeks’ pay [two years], that is inclusive of severance as well; four persons will receive compensation equivalent of 94 weeks’ pay; one person will receive the equivalent of 91 weeks’ pay; another four workers will receive 87 weeks’; four will receive 79 weeks’ pay; four will receive 75 weeks’ pay; two will receive 71 weeks’ pay; and three will receive the equivalent of 56 weeks’ pay. “The difference in payment or the amount which shall be received is as a result of years of service which each category of workers has given,” he added.
“It is also worthy to note that salaried employees will also receive their pay package. Six (6) persons will receive 109 weeks’ compensation; one person will receive the equivalent 84 weeks’ pay; and one other worker will receive 80 weeks’ pay and the equivalent thereof,” he said.
Lutron has been operating in the Federation for some 31-plus years.