Getus welcomes announcements made in budget 2021 |26 February 2021

The General Employer Trade Union of Seychelles welcomes the announcement made by the Ministry of Finance, during the budget address pronounced on February 16, 2021, at the National Assembly.

Through the years, the General Employer Trade Union of Seychelles (Getus) had a series of meetings and discussions with various ministries and government bodies, discussing the issues and concerns that the business communities/employers are facing.

Getus with other representatives from the private sectors suggested that taxation should be on profit but not on the turnover. It is crucial that the process should be simplified as presently, it is a challenge especially for the small businesses/ employers/ entrepreneurs, and for newly start-up businesses with low income. We therefore agree with the abolition of CSR Tax, it is a good step forward since it was based on turnover and quite punitive.

Getus also strongly believed that a comprehensive tax reforms is necessary so as to have a standard tax regime for all, especially in these difficult economic times. Having a simple tax regime and availability of data in the area of investment, would surely attract foreign investors

in Seychelles bringing in the much-needed FDI to the economy. We also support and encourage the promotion of opportunities for Seychellois businesses that would generate even more revenue within the country. Furthermore, ensure that any foreign exchanged generated would also remain in the economy since most Seychellois businesses would maintain their foreign earning locally.

For similar reasons, in addition to allowing more opportunities for the Seychellois, Getus agrees that certain business categories should be reserved only for Seychellois to allow more local participation in the wealth creation of our country.

Following government announcement confirming the phasing out of FA4JR and SETS programme, consequently this will result in redundancy. Therefore, in order to mitigate this inevitable situation, Getus emphasized that more than ever it is now the appropriate time for government to seriously consider allocating a substantial amount of the funds budgeted for all capital projects especially for construction sector directly towards local Seychellois owned business. By allowing preferential consideration or priority to locally owns businesses this will not only keep the earnings in the country but also give opportunities to the local businesses to grow and also create employment and provide genuine and much needed earnings in these difficult times.

We are calling on the review of the procurement system, especially in the ministries, departments, agencies and public enterprises, in the effort to enhance transparency in the procurement process, government should also consider making public all available contracts including the

project officers who hold the responsibilities for the selection of contractors tendering projects, on a notice board in a public domain for any interested participants.

We welcome the announcement by government about moving forward with the digital economy, as we need to develop more efficient structures, implementing new policies and ensure development in this important sector which offers substantial opportunities for Seychelles.

Getus is also pleased with the decision of government giving opportunity, further attention and emphasis to develop the agricultural sector, it is indeed a very good step towards sustainability and food security which would offer Seychelles the opportunity to make important savings towards imports. A greater level of self-sufficiency will also allow for a greater level of resilience towards future global crisis, a lesson the country should take from the current situation.

Representing a substantial group of employers in various sectors, Getus will continue to hold discussions with government regarding the GOP issues. While we understand and encourage our members to employ locals whenever available but we also need to understand that when the local manpower are not available thus businesses will have to opt for GOP to ensure the smooth operation and continuous running of their operations. Getus also insists that the respective ministries and training institutions should ensure that the local workforce is properly trained or even re-skilled so that there will be adequate skilled workers to meet the labour supply in the country, thus reducing the need for expat workers.

Getus remains optimistic for a fast recovery for our economy, if all government departments, agencies public enterprises and the private sector partners work together in this process, to spread the wealth throughout all Seychellois businesses.

Press release from Getus

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