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TCI: Press Statement from the Leader of The Opposition – Boomerang Politics

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#Providenciales, July 25, 2018 – Turks and Caicos

OFFICE OF THE LEADER OF THE OPPOSITION

N.J.S. Francis Building

Pond Street, Grand Turk, Turks and Caicos Islands

Telephone: (649) 338-3706, Email: cwmisick@gov.tc

Providenciales Turks and Caicos Islands – July 24, 2018 

Press Statement from the Office of the Leader of the Opposition

 

Service Charge and Boomerang Politics.

The following opinion by the Leader of the Opposition appeared in Volume 31 No. 26 page 10 of Turks & Caicos Weekly News – see link

https://issuu.com/tcweeklynews/docs/july_1-7__2017_-_all_pages.

 

Service Charge Debate – Deceit or naivety 

The confusion around the equitable distribution of what has become known as ‘service charge’ is caused by a combination of the inexcusable deceit and naivety by some politicians who have misled hospitality workers and the public for their own ends.  On this issue, the Premier prevarication is most offensive to a block of voters who she unequivocally pledged to ensure that 100% of the service charge is given. Since it is now clear that she has wised up to the fact that that promise was impractical, and not one that she can deliver – the poetry of campaign must now give way to the prose of governing. That requires a clear policy decision anchored in legislation.

The truth is that today’s ‘service charge’ defined in the Ordinance as ‘Any amount of money charged over and above the price of accommodation in a hotel, or the selling price of a meal or intoxicating liquor or beverage purchased by a customer, for service to a guest or customer, in a hotel or restaurant, but does not include any tax to be paid under any ordinance’ is an amalgamation of two add-ons to the published rates for the provision of hospitality services provided by some establishments prior to January 2004. In any case there were no obligations by establishments to collect or pay neither gratuity nor service charge to employees; and in fact, all-inclusive properties did not collect nor pay gratuity to employees before 2004.

To remove subjectivity from the system the Ordinance made it mandatory that all-inclusive properties levy and pay a 10% service charge to their employees.  At the same time, recognizing the practice of other categories of hotels (that levied a 10% charge broken down into a 6% gratuity and a 4% resort fee) it left it to the discretion of management of the individual hotels to collect a service charge.  However, the Ordinance does provide that if a service charged is collected 60% must be paid to employees. This reasoning is flawed – unless of course those establishments levy a charge sufficiently above 10% so that the 60% equate to the rate paid by the all-inclusive.  Considering that all employers are required to pay the minimum wage whether all-inclusive or otherwise, and assuming parity of wage rates and other benefits across categories of employment obtains those persons working in non-inclusive hotels may very well be at a disadvantage.

The existing legislation is clear that the service charge levied by non-all-inclusive hotels is intended to be shared at minimum in the ratio 60:40 to employees and the business – reflecting the practice of many hotels at the time the ordinance was introduced. Establishments that are not adhering to the law are committing an offence. On the other hand, there is much confusion over the definition of the terminologies: gratuity, service charge and tips.

It is therefore necessary to contextualize the argument and suggest possible solution by defining the terms. Gratuity (tip) “a voluntary payment by patrons to service professionals as an expression of gratefulness for extraordinary service”. Albeit the subjectivity of the judgement of patrons impacts the aggregate amount of gratuity available to be shared among the staff.  While a service charge is also additional payment on a service provided by a service professional it is mandatory rather than elective and may or may not deliver additional pay to the service professional who provides the service unless required by law.

In my view, the provision of hospitality services is a profession like any other, and it is right that it should not be left up to the discretion of patrons or hotel operators to, effectively set the pay for hospitality employees. Therefore, the idea of legally establishing an add-on to guests bills ringed fenced for hospitality workers is reasonable.  On the other hand, a cover charge to a hospitality service establishment is standard in the industry; additionally, in a high-end tourism destination where customized service is demanded the level of hidden cost to a business is high; Allowance should also be made for non-cash benefits to employees including meals, transportation, uniform and training. Under those circumstances businesses not only earn a legitimate claim to a portion of the service charge but it is necessary for them to compete and prosper. We must remember that our survival depends on our ability to compete.

Finally, the current range of service charge in the TCI varies from 10% to 18% depending on the establishment – with all-inclusive properties pegged at 10% of which 100% goes to the employee.  It therefore stands to reason that the amount paid to employees ought to be synchronized at an effective rate of 10% across categories of properties.  This effective rate may be achieved through benefits in cash and kind. A commonsense compromise among all stakeholders encourages productivity, improve customer satisfaction and improves the bottom line of the business.  Employees should not have to wait until Christmas for the necessary adjustment. The necessary amendment to the legislation to achieve a win-win solution should be done imminently.

Stifling of debate by the majority on issues it deliberately misrepresented does not of itself dispose of the problem, especially one that relates to the life-blood of the economy and the livelihood of people they purport to represent. Tourism and the welfare of hospitality workers should never be treated as a game of cricket. While I understand that the Premier faced batting from a self-inflected sticky wicket it is disappointing that she pulled up her stumps instead of defending her wicket.

 

Boomerang Politics

Fast forward to July 2018 the Premier created a smoke screen to walk back her ridiculous promise when in fact little will change for the hospitality worker, except now the discretion levy a service charge is remove and replaced with a legal obligation to do so. There will be no real appreciable change in the take home pay of an employee. The share of the service charge paid to employees by an establishment now applying a service charge of 15% to its bills, the proceeds of which is split 60:40 equates to 9% of the total bill; by the same token, an establishment charging 18% service charge pays its employees 10.8% of the total bill. Under the government’s proposal employees in the 15% scenario gets an uplift of 1% and employees in the 18% scenario losses 4/5th of 1%

The decision by the Government to cast in legislation a common rate for participation by all hospitality workers adapts my opinion in July 2017 and is the right thing to do. The bill is otherwise unnecessarily intrusive and in principle interferes with the invisible hands of the free market to the extent that it seeks to restrict what individual operators can charge for adding extraordinary value to their service delivery. This makes the assumption that service quality is homogeneous and it encourages the commoditization of the service that otherwise thrive on differentiation.

Without making the poacher the game-keeper, the Government having waited this long should take seriously the advice of all stakeholders including operators, customers and workers to ensure unintended design flaws do not negatively impact the industry causing another boomerang effect.

 

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News

PAY FIRST. QUESTION LATER.

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Premier explains costly arbitration lesson after years of legal battles over InterHealth Canada bills

 

By Deandrea Hamilton | Editor

PROVIDENCIALES, Turks and Caicos Islands — The Turks and Caicos Islands has learned the hard way that when it came to the InterHealth Canada hospital agreement, successive governments could question the bills—but they still had to pay them first. It is an expensive lesson which has cost the country tens of millions of dollars in arbitration, legal fees and disputed invoices, and one Premier Charles Washington Misick finally laid out in detail during a ministerial statement in the House of Assembly on July 31.

A day earlier, the Progressive Democratic Movement (PDM) had stunned the country with its own assessment of the hospital arrangement, saying nearly $1 billion had already been spent under the agreement, approximately $60 million remained outstanding on the original hospital loan and a fresh arbitration exposed taxpayers to even more financial risk. Opposition Leader Douglas Parnell warned that time was rapidly running out.

“There are only 80 days remaining before this agreement expires. This crisis is happening now, and I’m not going to allow this present healthcare crisis affecting the people of these islands to be brushed aside or buried beneath arguments about decisions made nearly 20 years ago or statements of false comfort.”

On Friday, the Premier responded with what he described as “a full and frank account” of the hospital project and the Government’s handling of the dispute.

“The people deserve honesty. They deserve to understand how we arrived at this moment, what it has cost them, and what this Government is doing about it.”

While Premier Misick disputed the Opposition’s estimate of the Territory’s current arbitration exposure, he did not dispute that the legal battles have come at an extraordinary cost. Instead, he disclosed that the first arbitration alone cost the country approximately $39.7 million in damages, legal fees and arbitration expenses, while confirming that a second arbitration remains active and that the Government has already been ordered to pay approximately $9.3 million in disputed invoices as that case continues.

The Premier explained that the costly cycle was built into the agreement itself.

“The concession agreement required Government to continue making payments while disputes proceeded to arbitration,” he told Parliament, explaining that the legal framework effectively required the Government to pay first and dispute later.

For many watching, the Premier’s statement was the first detailed public explanation of why taxpayers continued paying millions while the Government simultaneously challenged the invoices in court and arbitration.

Looking ahead, Misick made it clear that the Government’s focus is no longer only on defending lawsuits but on ending the arrangement altogether. He said an active transition is underway to return the hospitals to public control while also seeking reforms to international arbitration rules that he believes unfairly disadvantage small island states facing complex commercial disputes.

The Premier closed by setting out what he said is the Government’s objective for the future.

“This Government will resolve the concession. It will reclaim the hospitals. And it will build a healthcare system worthy of the trust that our people place in it.”

Whether that plan ultimately succeeds remains to be seen. But after years of legal battles, arbitration rulings and mounting public concern, the country now has its clearest explanation yet of why the bills kept coming—even while they were being disputed—and what the Government says it intends to do to finally bring one of the Turks and Caicos Islands’ most expensive public contracts to an end.

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Education

Dr. Candice Williams Appointed First Vice-President of Regional Higher Education Association  

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ACHEA Executive Team 

Providenciales, Turks and Caicos Islands 5 August 2026 — Dr. Candice Williams, President and Chief Executive Officer of the Turks and Caicos Islands Community College (TCICC), has been appointed First Vice-President of the Association of Caribbean Higher Education Administrators (ACHEA) for the 2026–2028 term.

The appointment followed elections held during ACHEA’s Annual General Meeting on 2 July 2026 at the Breezes Resort & Spa in Nassau, The Bahamas. The newly elected Executive officially assumed office on 1 August 2026.

ACHEA is a regional professional association that brings together higher education administrators and professionals from institutions across the Caribbean. The Association provides an important platform for regional collaboration, professional development, knowledge-sharing and the advancement of effective leadership and administration within the higher education sector.

This year holds special significance for the Association as ACHEA celebrates its 25th anniversary, marking a quarter-century of service to higher education leadership and institutional development across the region. The milestone reflects the organisation’s sustained growth, expanding influence and continued commitment to strengthening tertiary education systems throughout the Caribbean and beyond.

Dr. Williams’s appointment as First Vice-President represents a significant professional achievement and a proud milestone for TCICC and the wider Turks and Caicos Islands. It positions the country’s higher education leadership at the forefront of regional dialogue and initiatives aimed at strengthening institutional governance, improving administrative practices and addressing emerging priorities within Caribbean tertiary education.

In her role as First Vice-President, Dr. Williams will support the President and Executive in advancing the Association’s strategic objectives, strengthening engagement among member institutions and contributing to initiatives that promote excellence, innovation and sustainable development throughout the regional higher education sector.

The Honourable Rachel Marshall Taylor, Minister of Education, Youth, Sports and Culture, congratulated Dr. Williams on the appointment, noting that her elevation reflects both her distinguished leadership and the growing influence of the Turks and Caicos Islands within the regional education community.

“On behalf of the Ministry of Education, Youth, Sports and Culture, I extend heartfelt congratulations to Dr. Candice Williams on her appointment as First Vice-President of ACHEA. This achievement is a testament to her exemplary leadership, professionalism and unwavering commitment to the advancement of higher education. Her appointment is also a proud moment for the Turks and Caicos Islands, as it ensures that our national perspectives and experiences will continue to contribute meaningfully to important regional discussions. We are confident that Dr. Williams will serve with distinction and make a valuable contribution to the continued growth and development of higher education administration throughout the Caribbean.”

Following the Minister’s remarks, Mrs Sheba Wilson, Chairman of the Turks and Caicos Islands Community College Board of Govenors, also commended Dr. Williams’s appointment, highlighting the broader institutional and regional significance of her leadership role.

The Chairman reflected on the importance of sustained representation at the regional level and the College’s growing engagement within Caribbean higher education networks.

“Dr. Williams’s appointment to the ACHEA Executive is a clear reflection of the calibre of leadership we are fortunate to have at the Turks and Caicos Islands Community College. It also underscores the increasing visibility and respect that our institution and country are earning within regional higher education circles. We are especially proud that TCICC continues to contribute meaningfully to shaping conversations that influence the future of tertiary education across the Caribbean.”

Dr. Williams’s appointment also reinforces TCICC’s commitment to strengthening regional partnerships, sharing institutional expertise and contributing to the development of responsive and innovative higher education systems. Her participation at the executive level will provide further opportunities for TCICC to engage with regional institutions, exchange best practices and help shape approaches to the challenges and opportunities facing tertiary education across the Caribbean.

A notable moment in ACHEA’s recent history was the 2025 Annual Conference, which Dr. Williams had the privilege of hosting in the Turks and Caicos Islands. This marked the first time the Association convened its flagship conference in the TCI, welcoming more than 100 higher education administrators, researchers and thought leaders from across the Caribbean, North America and Africa to the destination. The event was widely regarded as a resounding success and is now recognised as a defining milestone in the Association’s development as it moves into its 25th anniversary year.

Reflecting on her appointment, Dr. Williams expressed gratitude for the confidence placed in her and reaffirmed her commitment to supporting the work of the Association.

“I am deeply honoured to have been entrusted with the responsibility of serving as First Vice-President of ACHEA. I am grateful to the Association’s membership for the confidence placed in me and look forward to working alongside the President, fellow Executive members and higher education professionals throughout the region. This appointment provides an important opportunity to strengthen collaboration, promote innovative administrative practices and support the continued development of institutions that are responsive to the needs of Caribbean learners and communities. I am also proud to represent the Turks and Caicos Islands Community College and the wider Turks and Caicos Islands as we contribute to the advancement of higher education across the region.”

The newly elected ACHEA Executive for the 2026–2028 term comprises:

  • President: Dr. Helen Williams-Cumberbatch
  • First Vice-President: Dr. Candice Williams
  • Second Vice-President: Ms Louri Clare
  • Secretary: Mrs Kasiane Reid-Martin
  • Assistant Secretary: Ms Sanielle Hinds
  • Treasurer: Ms Michelle Bruce
  • Assistant Treasurer: Dr. Courtney Garrick
  • Public Relations Officer: Ms Nataki Kerr
  • Assistant Public Relations Officer: Ms Alison Johnson

In a statement announcing the newly elected Executive, ACHEA extended its sincere appreciation to all members who participated in the election process and acknowledged the outgoing Executive members for their exemplary leadership, commitment and dedicated service throughout the previous term.

The full Executive, including members appointed to co-opted positions, will be introduced shortly.

Dr. Williams previously served as Second Vice-President of ACHEA. Her elevation to First Vice-President reflects the confidence of the Association’s membership in her leadership, experience and continued contribution to the advancement of higher education administration throughout the Caribbean.

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Facts According to the Turks & Caicos Premier About His Constitutional Amendments    

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What Premier Charles Washington Misick says the proposed constitutional reforms are—and are not.

 

FACT 1: The proposed amendments are not intended to extend the life of Parliament.

According to Premier Misick, his Government did not request longer parliamentary terms and has not sought constitutional changes to keep itself in office beyond the existing electoral cycle.

FACT 2: Cabinet expansion is about governing capacity, not political power.

The Premier says the proposed increase in the number of ministers reflects the growing responsibilities of Government and is intended to improve administration rather than create political advantage.

FACT 3: The Government wants greater local responsibility.

Misick says the constitutional proposals are designed to strengthen the Turks and Caicos Islands’ ability to govern its own affairs while maintaining its constitutional relationship with the United Kingdom.

FACT 4: The Constitution should not become a political weapon.

The Premier argues constitutional reform should be approached as a national issue that outlives individual governments and political parties.

Include his strongest quote on this point.

FACT 5: The Commission process involved consultation.

According to the Premier, the constitutional proposals emerged through discussions with the Constitutional Review Commission and engagement with stakeholders before being presented to the United Kingdom.

Insert his supporting quote.

FACT 6: Government is seeking better governance, not fewer checks and balances.

The Premier maintains the reforms are intended to improve decision-making, accountability and the effectiveness of Government.

Insert his supporting quote.

FACT 7: The Premier says some proposals now being criticized were previously supported.

Misick contends that several constitutional recommendations now under attack had earlier received support across the political spectrum.

Insert the relevant quotation.

FACT 8: The goal is a modern Constitution.

The Premier says the reforms are intended to modernize the Turks and Caicos Islands’ governance framework to better reflect today’s realities and future development.

Insert his closing quotation.

Editor’s Note

This Fact Report summarizes Premier Charles Washington Misick’s explanation of the proposed constitutional amendments as presented in the House of Assembly on July 31, 2026. It reflects the Premier’s stated positions and is intended to help readers understand the Government’s rationale. Responses from the Opposition and other stakeholders will be presented separately.

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