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Iberostar: We weren’t at fault for SET Cash saga

Published:Monday | May 11, 2020 | 12:25 AM
Iberostar Rose Hall.
Iberostar Rose Hall.

Iberostar Hotel & Resorts has denied claims by laid-off employees that its apparent failure to pay over statutory deductions to state agencies prevented them from accessing benefits from the Government’s COVID-19 relief programme, Supporting Employees with Transfer of Cash (SET Cash).

The hotel also sought to explain the circumstances that caused it to inform employees that they had qualified for a grant of $18,000 per month.

It was alleged that the employees were informed that they would not receive benefits under the Government’s SET Cash welfare initiative.

However, the hotel said it has paid over income tax and National Insurance Scheme deductions to the relevant state agencies and that taxes, deductions, and filings up to April 2020.

Qualification for SET Cash grants is dependent on employers uploading a P45 form to a Tax Administration Jamaica (TAJ) platform, but Iberostar said there was a delay in the throughput of the forms through no fault of its own.

“Iberostar was unable to upload the requisite forms because the process of uploading the P45 forms was replete with technical issues,” the statement read, indicating that other entities had experienced similar issues.

“Commencing April 17-18, Iberostar made numerous attempts to upload the P45 forms, but despite emails to, and seeking assistance from, the TAJ throughout that time, Iberostar was unsuccessful. It was conceded by TAJ’s customer care representatives that they were having unresolved issues with their platform.”

The hotel said that the technical problems were not resolved for almost two weeks and that it was finally able to upload the forms on April 30.

Iberostar’s statement said that the SET Cash programme provides $9,000 per fortnight to employees paid under the income tax threshold of $1.5 million but that because it was aware of hardships faced by employees in these challenging times, it advanced funds employees were to receive in April, although the funds have not yet been received from the Government.

“Each employee received a letter dated April 25, 2020, explaining that they were qualified for a grant of $18,000 per month. Each eligible employee received the amount of $18,000 for the period of April 2020 as they were scheduled to receive under the BEST Cash programme.

“These employees are scheduled to receive the same payments for the months of May and June 2020, in accordance with that programme,” the hotel said.

“Iberostar wishes to state categorically that there has been no wrongdoing on the part of the hotel and that Iberostar has not only complied with the letter of the law but also with its spirit.”

Last week, displaced Iberostar employees in Rose Hall, St James, charged that they had been unable to receive the SET Cash benefit.

One employee said that he and co-workers had failed to get an explanation from the hotel’s accounts department and that nobody ... was willing to entertain our queries”.

“On checking the agencies for which deductions have been made, only the National Housing Trust has any records of deductions. At National Insurance [Scheme], nothing has been paid in my name,” said the worker, who requested anonymity for fear of being subject to human-resource sanctions.

editorial@gleanerjm.com