BCCEC On NIB Increase

The content originally appeared on: ZNS BAHAMAS News

Chairman of the Bahamas Chamber of Commerce and Employers’ Confederation (BCCEC), Timothy Ingraham is weighing in on the impact of the National Insurance Board (NIB) rate increase on businesses.

Ingraham said, “I think most businesses will look at the initial 1.5 and feel that that’s okay. Obviously, the longer term, I think there were projected over the next ten to fifteen years, that would be more of a concern for the business community. How do they deal with that? If it gets to, I think the number projected was somewhere around twenty or just over twenty percent of the insurable wage, not the full wage in some cases, that would be a concern obviously. How do we deal with that? How do we build that cost into our businesses? How does the business community respond to that? So, as I said, we’re hopeful that its not the final outcome. We’re hopeful that other measures can be found to boost the fund.”

The BCCEC Chairman hopes that government can find other ways to keep NIB solvent. “We have a survey prepared that we will be sending out to our members shortly to determine what they are doing about this and to get the actual information from them on what will happen. As I said, we’re hopeful that this first round of increases can be handled maybe with just a small increase in costs and that kind of thing to cover it so that they can keep their employees engaged and key persons employed. But we will release something shortly that is more scientific with regard to what our members are planning to do with this.”

The NIB rate increase is scheduled to take effect the first Monday in July.