BCGI workers jobs no longer in jeopardy – Govt

first_img…sanctions lifted against RusalFollowing the United States Treasury’s decision to lift sanctions against a Russian businessman, the Guyana Government has announced that jobs of multiple Bauxite Company of Guyana Incorporated (BCGI) workers are no longer in jeopardy.In an official statement on Thursday, a cautious but optimistic Natural Resources Ministry stated that it is happy that the Donald Trump Administration moved to lift the sanctions against Russian business tycoon Oleg Deripaska, who is the main owner of the EN+ conglomerate which co-owns bauxite company RUSAL.RUSAL owns 90 per cent of BCGI which operates in Linden and Berbice and as such, 200 jobs were put at risk.In the official release, the Government outlined that the matter with the two super powers is moving to a resolution, saying that with the postponement of the enforcement of the sanctions, a permanent and favourable resolution is in sight.The Ministry added that it will continue to ensure that bauxite is exported to the benefit of stakeholders.“As the Ministry continues to ensure that bauxite is mined and shipped to the benefit of workers and their families, and by extension, the national economy, the Ministry reinforces the fact that the Ministry of Social Protection, charged by the President and directed by the Cabinet, will be responsible for addressing the ongoing, and future, labour issues and guard workers’ rights,” the Ministry stated. The agreement reached by the parties makes it clear that sanctions on the company would only be lifted if Deripaska significantly lowers his stake in the company. Reports state that the Russian businessman has been agreed to significantly diminish ownership and sever his control. The move is set to take effect in 30 days. The sanctions were imposed on April last.“The companies will be subject to ongoing compliance and will face severe consequences if they fail to comply,” the Ministry further explained.When the sanctions were announced earlier this year, RUSAL’s stocks crashed on the world market, slumping some 41.8 per cent after the announcement.  Union representatives were disturbed by the news when it was first announced. When Reuters published the story it had been outlined that the US Government’s decision to include Deripaska on its sanctions blacklist would have had reverberated around the world since his business empire has a global footprint and counts major multinationals as partners.Deripaska, estimated by Forbes magazine, is to have a net worth of $6.7 billion. His company EN+ is the co-owner of some of the world’s biggest metals producers including RUSAL and Nornickel.According to the international news agency, Deripaska’s inclusion on the US sanctions list could have potentially created complications too for companies with which he does business; they include German car giant Volkswagen and commodities trader Glencore.RUSAL, Reuters reported, had said it regretted its inclusion on the US sanctions list, adding that its advisors were studying the situation. Hong Kong-listed RUSAL is one of the world’s biggest aluminum producers. It said exports to the United States account for over 10 per cent of its output.RUSAL owns assets in Italy, Ireland, Sweden, Nigeria, Guyana, and Guinea. It owns a stake in Australian QAL, the world’s top alumina refinery.last_img