A strategy for jobs
For the past four decades Cayman has focused on economic growth and relied on foreign labour to complement the Caymanian labour force whilst assuming that improved living conditions and greater social development and integration would follow automatically. However, it is now apparent to all that economic growth, improved living conditions and social development and integration do not all occur together or at the same pace.
Cayman has experienced rapid economic development during this period but social development and integration have struggled to keep pace and living conditions for many have not improved and may now be worse than pre-Hurricane Ivan conditions.
The rate of growth alone has been the sole determinant of economic success in Cayman with little regard given to the distribution of income amongst the population, creating the need for government assisted living and leading some to argue that the growth is not inclusive of the majority in the labour force.
A quick look at the latest available statistics, the 2011 Labour Force Survey Report, reveals that the overall participation rate in the labour force for the working age population of 15 – 65 and over is 82.8%, whereas, only 75% of the Caymanians of working age participate in the labour force as compared to 91% for non-Caymanians. It is also worth noting that with an overall unemployment rate of 6.3%, which is more than two times the acceptable rate, unemployment for all nationalities in the 15-24 age group at 20.8% is four times greater than most other age groups while the unemployment rate for Caymanians in the same age category is almost three times greater at 32.8% when compared to 11.5% for non-Caymanians. Similar startling statistics also exists for those 65 and over. Therefore, it is imperative that job opportunities commensurate with expectations and abilities are available to the unemployed youth and those over 65 within our population inorder to reduce poverty and social tensions.
Recognising that the tourism and financial industries require semi to highly skilled labour and there is a significant and growing pool of low and unskilled labour in Cayman, the time has now come for Cayman to give serious consideration to economic diversification and training as a means of providing meaningful employment opportunities and to ensure greater inclusion of Caymanians in the labour force and poverty reduction in the long term. However, having found ourselves in this position with a shift in the global economy resulting in structural unemployment for many and jobs in the two pillar industries not likely to rebound to pre-2009 levels, what should we do in the short and long term?
We should give serious consideration to adopting a jobs strategy to assess the social value of jobs and identify what other types of jobs would also assist in sustaining economic growth, contributing to improved living conditions and social development and integration as well as identify constraints to job creation for the 15-24 and over 65 age groups. Such a strategy for Cayman might reveal that we need (i) greater collaboration between the public and private sectors to create employment opportunities for those struggling to find adequate employment, (ii) improve flexibility and fairness in the workplace with increased regulation in certain areas and decreased regulation in other areas, (iii) increased labour force participation and skill development through vocational and academic training across all age groups, (iv) establish permanent part-time jobs for those needing to work and care for children and keeping older workers longer in the workforce by enabling them to work shorter hours and take advantage of job sharing programs, and (v) facilitating a transition from government assisted living to working by encouraging able-bodied welfare recipients to enrol in vocational and academic training programs and by reinforcing the need to pursue gainful employment.
It is important to recognise that we did not arrive at this difficult point in time overnight and there are no quick fix solutions. The road back to economic stability and prosperity for Cayman will take prudent financial management on the part of the public sector, greater commitment from the private sector, compassion by those able to assist others and perseverance from those who are struggling. No one has ever succeeded by giving up and we should not.
Category: Viewpoint
Its not all about creating jobs. its a lot to do with current regulations, policies and the lack of vocational training
Marco
I am very disappointed in you. You forgot to mention that the Statistics show that unemployment grew almost 100% under the PPM administration (the same leadership that you support) – and has only grown .3% under the UDP.
…and had nothing to do with either party but was due to the worldwide recession.
1. Unemployment greatly increased in every country when the worldwide recession hit in 2008 and has levelled off since then.
2. If it had not been for the construction of the govt. administration building and those schools which you have criticised the PPM for the unemployment rate would have been far higher in Cayman.
3. Lies, Damn Lies and UDP Statistics. Obviously you can't measure an increase from 3.5% to 6% as 100% and then measure an increase from 6.0% to 6.3% as 0.3%. Idiot.
My first time on here. Nice read Marco. I’d like to name out some reasons for the high unemployment amongst Caymanians.
We need more regulations on businesses, particularly small businesses. Expats are paying small business owners to take out a permit for them. The “business owner” has no work for them. They are basically selling them a permit. Then they can go look for a job, and its easier for them cause now they don’t need a permit to work anywhere else. They just in turn pay the man that hold they permit. You have jamaican people doing this to their own people. sometimes having to relinquish as mush as 50 percent of their salary.
Big problem. That gives expats the upper hand.
We need vocational training. We need to invest in education big time. Not necessarily so much on the structure but the contents. LOL
We need to learn to be a more forgiving society. The expungement law needs revamping. As it now any one sentenced to over 30 months has a blemish on their record for life.
Last of all we as Caymanian that includes “paper caymanian” need to look out for each other, our country and onlywe can fix it.
I struggle to see why it is the governments job to come up with “better living standards” for the population. It is down to the people themselves to want to get educated, and to want to work hard. Those that do have prospered greatly. Those who cannot be bothered with school, prefer to do little and are more attracted to trying to get something for nothing are likely to end up with lower living standards. It’s not the governments job to change this, it is the individuals themselves. Time to take responsibility for your own situation in life.
Typical PPM. Our approach is to come up with a strategy for someone to have a plan. It's so obvious! Why didn't someone think of it before!
Good intentions are not enough Marco, you need an "actionable plan".
Those that can't become civil servants and then decide to try to become politicians. Exceptionally pointless article.
Exceptionally pointless comment. Marco was a highly regarded civil servant in the Economics and Statistics Dept. for many years. Right now he has a promising career as an attorney.
The article is not pointless. He has rightly identified in on an important issue. Knowing Marco he is probably laying the groundwork for what will follow.
What a nasty comment, Marco is a very successful attorney as well as an economist.
"[V]ery successful attorney" ? Not sure there is evidence to put it even as high as that. "Succesful attorney" ? Still not sure that is an objectively justifiable position. "Attorney". We can agree on that.
As they say in these parts, "Those that can't, register ships."
Marco is a corporate attorney. His practice does not comprise registering ships. What is your point?
why not talk your suggestions rather than trying to insult someone
The problem with this viewpoint is that it seems to ignore the fact that creating jobs for the sake of creating jobs is not actually a strategy for sustainable job creation.
Marco very rightfully pointed out that we need to diversify our industries beyond tourism and financial services and that this diversification will lead to job creation. I agree absolutely with that.
However, then I was looking to see what areas of economic activity he had in mind for Cayman and this is where this viewpoint falls down.
Marco advocates for example for:
(i) greater collaboration between the public and private sectors to create employment opportunities >>>>>> how and in what sector? by training? by asking them to hire less then qualified people? by asking them to hire people they don't need? not sure I understand what this means in practical terms.
(ii) flexibility and fairness in the workplace with increased regulation in certain areas and decreased regulation in other areas>>>>> again, what economic area are we talking about? How will this lead to job creation?
(iv) establish permanent part-time jobs for those needing to work and care for children and keeping older workers longer in the workforce by enabling them to work shorter hours and take advantage of job sharing programs >>>>>> are you going to tell the private sector they need to do that? or will these types of jobs be a government "make work" project for those who want to work part time at full time salaries? how will that work from a business point of view?
Those of you that believe that Caymanians are unemployed because we don’t have the necessary skills are mistaken, we have triple the unemployment we had 4 years ago but work permits continue to be granted. It’s not that we don’t have the skill it’s just cheaper to employ a work permit holder pay them a reduced wage, make them pay for their own work permit and health insurance, don’t pay pension or overtime and they can’t complain because its still better working conditions than in their homeland. This uncontrolled capitalism cannot continue. Our nation will not survive if it does.
I think that better collaboration between the public sector and private sector can achieve more employment,… without hiring people that businesses do not need. I also think they can find well qualified people to do the jobs that would be created. For instance I KNOW a business that outsources their IT work for millions of dollars annually. All this could be done here locally at less than the present cost! I also know that many accounting firms outsource a lot of their work to firms in India and other Asian countries. Also there are unemployed people on this island, with excellent qualifications and good track records that could be hired. Recently there have been a lot of unfair job redundancies by many firms. Yet in some cases not only is position in that company still on the org chart, the job discription is exactly the same and a new employee has been hired to do that exact job in the exact seat! More creativity could be achieved in the financial industry that could even possibly create new industries, if people put their heads together. What people need to do is to stop asking for solutions, and stop expecting miracles, but try to think of improvements to yourself and your job and you will see better days ahead.
Am I being dumb? With the title of the Viewpoint article being "A strategy for jobs", I expected to learn specifics about how jobs could be created – instead, I am taking away from the article that the suggestion for creating jobs is to pay people to study the social value of jobs and for that study to identify what other types of jobs would also assist in sustaining economic growth.
Who is going to pay for this study – a broke Government or a selfish private sector? Seriously, if am I wrong, tell me how the Viewpoint article gives specifics for creating jobs.
Saying, as the Viewpoint does, that it is time for economic diversification and training as a means of providing meaningful employment opportunities, are loose and vague words. What examples do we diversify into? who is going to pay for training on a national level?
I needed specifics and did not get any, If I am wrong, please let me know – i genuinely want to know. that's why i read the article a few times before writing.
You are not being dumb. The article is incredibly superficial and basically says "Creating skills for employment is a good idea". It does however start with some inane rhetoric since comparing Caymanian and non-Caymanian labor participation in a market with regualted labor market access for non-Caymanians is pointless, and it does seem to have ignored the massive downturn in the world economy that might explain a lot of what is happening recently.
Understanding that home and the Government run schools are the first step in a long line of "training" that every worker from every country must first "pass" before graduating to specific job skills education is the first thing. Understanding that in both of these areas Cayman is failing its people is the next. The fix can only come from the ones choosen by the Caymanian people to represent them in these areas. Choose MORE carefully and then hold them accountable. This is the only solution to Caymanians employment problem.
Well said Marco. This viewpoint will surely ruffle some feathers. You see, some of them just cannot handle the truth. If God see it fit for you to get in to GT, do something about that Immigration Policy.
Unfortunately some readers have interpreted my Viewpoint to be divisive. That was not my intention. Simply stating the overall unemployment rate would not have given any indication of the disproportionately high level of unemployment among the most vulnerable of our society, the youth and the elderly. The youth are at risk of being overlooked and the elderly are at risk of being forgotten after reaching retirement age. They both wish to be regarded as useful and productive. You will notice that the last sentence of the fourth paragraph and the sixth paragraph make no mention of nationality and are by no means divisive. They are meant to help solve the growing problem facing the youth and the elderly.
Not divisive. Pointless. Many of the comments are that the viewpoint is pointless. Cayman has enough pointless politicians sayingpointless things.
Marco I agree with your comments here. However how does the PPM thoughts on this on a whole? Not much has happened on the retirement age extension when it came to the house. For one reason or the other it was deferred and people are retiring with nothing to assist them. what should they do in the interim until you politicians pass the law? I guess they should starve and lose their homes?
A senseless bunch UDP, PPM and C4C!
Marco is a very bright/honest/hardworking young Caymanian and I have no doubt that he will make an excellent representative!
Having said that I would like to see some emphasis put on encouraging entrepreneurs and small business startups rather than too much focus on jobs.
We think too much about getting a job, rather than starting a business – the way to progress is to encourage small businesses to startup, expand, and this will create economic opportunity and additional employment…
Everything said has been said before and makes sense. The reason it hasn't been done is the business community has more control and less cost with foreign labor than with Caymanian labor.
The reason that Caymanian business prefers foreign labor is that were they train fellow Caymanians they would be training their future competition.
The trades want a closed system bringing in cheap foreign labor and frankly don't give a damn about unemployment or a minimum wage.
Sorry but it needs to be said.
The Caymanian dream is to start a company and hire some foreign labor to do the work.
After all the recent hoo haaa and jokers announcig their intention to run it looks like the PPM has actually decided to bring out some REAL candidates that we can vote for. No other platform seems to have really put much thought into their candidate selection. The UDP seems to be preparing a team to attend a wet t-shirt contest and C4C candidates are simply out to protect their self interests. Im relieved that there are solid choices in the PPM. Wayne, Woody, Alva, Marco, Ray, Joey, Alden, Kurt, Lucille, Kenny, Moses we are counting on you all to turn this country back over to the people. The UDP and C4C simply want to continue the Mackeeva years and its not hard to see that. Look at how renard Moxam is running for UDP and his son Johann is on the executive for C4C are you really going to convice me that daddy and son are that different ? No they realised that there is no difference between C4C and UDP so it doesnt matter which one you choose. As for the FAB5 good luck fellas and lady its been nice (not).
Cayman if you want your country to have a future please vote for the PPM!
He once worked with the Civil service, He worked in the statistics, Finance and shipping registery. But he is a real Caymanian not one who makes power and greed get the better of him…..
As opposed to a fake caymanian? What is a difference between a real Caymanian and a not-so-real caymanian? Why do we like to use these terms to divide/categorize ourselves?
The fake ones are the ones who are legally Caymanian but have no regard for Caymanian culture, heritage or long-term welfare. That may include some with the name Bodden and may exclude some who were born elsewhere but have chosen Cayman as their real home.
Wow, I did not know that "having regard for Caymanian culture, heritage or long term welfare" was part of the deal. Must have had my fingers crossed at that point. I thought it was about not getting hassled by immigration for a few years before I went home,
Thanks for proving my point. That would be a paper Caymanian, not a real one.
Anon, When was the last time you hired a Caymanian!!! Marco grew up in front of the Annex Field attended George Town Primary, was athletic and worked hard in school to obtain a scholarship he didn't grow up with a silver spoon in his mouth. That is why he is a true Caymanian he didn't come here by PLANE!! He know the true Caymanian values and way of life.
I think the comment about "real" Caymanian refers to work ethic and morals as we Caymanians used to have in abundance rather than what we seem to have IN GENERAL now. Not a comment about native or "new" Caymanians.
Doubt it, the term is usually used on these pages to express small minded xenophobia.
Marco, at least you are attempting to start an issues based conversation. Keep it up and turn the election from personalities to issues.
The political silly season has really started. Firstly, all these statistics were useless as they really had nothing to do with your article. What was the purpose of highlighting the unemployment rate between Caymanians and non-Caymanians? Typical PPM rhetoric of being anti-expat. I am Caymanian. My husband is not yet considered Caymanian. Does that mean that he should not work and feed our kids?
Our islands are very diverse with many nationalities and as soon as Marco and the rest of the PPM realizes and accepts that; they will be in the minority. I am no fan of the UDP but at least they recognize that important contributions made by many expats over the decades. Stop following Alden and Ezzard and start showing some of the true Caymanian hospitality. This is 2013…STOP trying to divide the country.
Marco, writes a serious piece about our unemployment problem and for you it marks the start of "political silly season"?
Why is making the point that unemployment is particularly acute among Caymanians and our focus should therefore be on ensuring that they are trained to fill certain jobs a sign of being "anti-expat"? That has got to be the most inane statement I have heard. It amounts to this: if we focus on Caymanians becoming employed that must mean less jobs for expats therefore you are anti-expat to suggest it. I too am married to a non-Caymanian but I hope the day never comes when such total nonsense spews from my mouth.
Your comments, not Marco's article, reflects the start of political "silly season".
Actually, it's VERY important to separate out the Caymanian unemployment rate because the large proportion of work permit holders in Cayman skew the overall unemployment rate downward.
The unemployment rate among "Non-Caymanians" is largely made up of people with PR, right to work, etc. Maybe some dependents of work permit holders. Otherwise, they could not be resident here.
When we say the unemployment rate is 6.3% that masks the real impact of unemployment on Caymanians, and on vulnerable groups like youth, as Marco points out. If you look at unemployment by sex you will also see that a higher percentage of men are unemployed.
I'm far from anti-expat, but it is legitimate to break down statistics like unemployment so that you know where the problems are and how to target solutions.
Please re-read Marco's piece. This is a serious discussion which is not aided by people taking everything so personally…..on all sides of the debate.
So should we pretend that those statistics don't exist or that they have no significance? Is high unemployment among Caymanians fine with you (and not to be spoken of) so long as expats' jobs are intact? When some expats on here take delight in statistics that appear to show Caymanians in a bad light (e.g. poor attainment in maths) do you also chastise them for "dividing the country"? Do you crave the approval of expats that much?
Here's some valuable advice which I will give free of charge: you cannot foster unity by tearing down your own in a fawning bid to gain approval from others.
The funny thing is that Marco's post did not in any way devalue the important contributions of expats (of which there are many). That was all in your confused head. But their contributions really have nothing to do with the important issue of getting Caymanians back to work.
So if statistics are not supposed to be discussed and inform public policy what is the point in having them? Obviously you cannot begin to discuss solutions unless you first define the problem. That was the purpose of the statistics.
All candidates and potential candidates should take note: any discussion of Caymanian unemployment will result in your being branded as "anti-expat". It is an unmentionable.
It is "political silly season" indeed.
You praise the UDP for recognising the contributions of expats but could I remind you of two important facts:
1. It was the UDP that introduced Rollover into our Immigration Law; and
2. It was the UDP which proposed the expat-only payroll tax only last year.
Now let's be honest: you were hoping to capitalise on a negative PPM stereotype to help the UDP.
I love how easily posters on here congratulate someone for a "well-written" or "insightful" piece when the Viewpoint in question has almost nothing to say whatsoever. "Well done on using English properly in a few sentences without resorting to odd capitalisation or excessive use of exclamation marks. You should be Premier, if not President of the Universe."
Where is the substance? It will take more than this to secure votes. Aren’t you an economist? If so, why was this strategy not adopted when you wrote policy for government before you switched to a a legal career
Its great to see an issues based article with real solutions offered in print.
This is a far cry from the backward looking blame game that we have witnessed by so many politicians over the past several years.
This is a far cry from those who focus on who created the problems of the past instead of offering solutions to pave the way for the future.
I am encouraged by this kind of leadership, ideology and productive thought.
Marco, you have consistently demonstrated intelligent thought and you are earning my vote.
Keep up the writing, sharing your ideas and solutions and I will be sure to give you an opportunity in May to serve.
GT Voter
Marco, I suggest you speak to your leader Mr McLaughlin who was the Minister of Labour for 4 years and ask him why he didn’t do any of the things that you have now magically discovered as the solutions to our country’s employment woes.
Oh, I’m sorry. I forgot that Alden doesn’t listen to anyone. You and the other new PPM supporters will quickly find that out just like me and my family did. That’s why we no longer support the PPM. Hard headed leadership
There's no magic. Marco has applied his training and experience to the matter. 4 years ago he was not a member of the PPM.
Oh quit the made up nonsense! How long do you think that rubbish is believable? Alden is no more hard headed than those that you no doubt will profess to support now and he is a damn sight more honest!
Arent you sad that rather than commenting from an issues perspective you can do no more than resort to your silly character assasination? The truth will prevail!
Unemployment is obviously a large cause for concern but the Non-Caymanian vs Caymanian statistics listed are pointless at best and malicious at worst. It is well known that Non Caymanian residents need either to show the ability to sustain themselves or have work permits, obviously their unemployment should be virtually nil (I'm not sure how "unemployment" is defined for the quoted surveys so I will abstain from commenting on the exact figures, this is more of a broad point). Likewise, their dependants (which typically would fall at student age, i.e. up to 22 for college students) must also be able to be sustained on their salary. Any non-caymanian over 65 who is here must still be able to prove their solvency even if they are retired (again I don't want to delve into "unemployent" definitions but suffice it to say that the "figures" can easily be painted specifically to prove the point of the commentator)…I am registered to vote in 2013 for the first time and would like to see some more general campaign points with some more specific remedies from these people, rather than specific issues with general (if any) solutions…everyone seems to be an expert at everything that is wrong but with no real ideas how to make any of it right…it's getting worrying and tiresome.
Now quoting the facts is "malicious"? lol. There is nothing malicious about identifying a problem and then seeking solutions to the problem, one of which is training. Some of the stupidity on here never ceases to amaze me.
Just because something is fact, doesn't mean it cannot be used malicously. If the intent was to show us a "strategy" for jobs then the poster fell horrendously short. I saw many "facts" quoted and problems stated (that have been mentioned ad nauseum on this and other websites) however I must have missed the "strategy" proposed…I appreciate your "never ceasing" amazement of "some" stupidity though, its a start.
You still haven't explained how this malice would arise by quoting relevant statistics. The only malice I have seen on here is reflected in the comments directed against Marco and his article.
That's just ignorance. The point of it is quite obvious. Lumping Caymanian unemployment with expat unemployment gives a lower overall unemployment statistic which gives a fall sense of security. Likewise it is broken down according to age groups. We have to pin point the issues so that we can craft appropriate solutions, not gloss over them because they make us feel uncomfortable.
Anyone who does not hold Caymanian status is included as non-Caymanian. Clearly, there are many persons who are permanent residents who are unemployed.
I can't see anything real proposed in this Viewpoint, just lots of sound-bites. The writer should therefore consider a job in the Civil Service.
LOL he spent the majority of his career as a Civil Servant in Economics department.
He was in the Civil Service for many years…and wasn't in the it club! He know what he is taking about. He is one Caymanian who will fight for what he believes in, Alden or no one will deter him from his principles!!!!!!
@ 8:58 You’re rude rubbish commit is or perhaps your mindset probable can’t articulate what Mr. Archer wrote and has left you in some corrupt thinking mindset. You seem to be one of those selfish complaining ignorant with no uncompassionate respect to facts to see no further than selfish complaining human being, which you have no respects; nor remorse towards the improvement of our country and its people.
As Mr. Archer said, “No one has ever succeeded by giving up and we should not”
"No uncompassionate respect to facts" Answers on a postcard for that means.
Nicely inarticulate!
It appears that this is a coded message from the Illiterati.
Wow!
I understand that an infinite number of monkeys working on an infinite number of typewriters woudl eventually by some random act type a sequence of letters that exactly replicates the words of the bible. IT woudl take almost as long for them to come up withsomething as totally incomprehensible as that.
Viva the electorate – and heaven help Cayman!
Did you read the piece? Can you read and understand- he clearly laid out some solutions!!
He once worked in the Civil Service, sound like your an Expat Lover!!! He is a principal man Alden or no one will deter him from the truth.
He was at one time in the civil service and did little of real (as opposed to what he claimed) substance except get himself qualified as a lawyer at government's expense then he went to the Maritime Authority, that mysterious place where some talented lazy Caymanians go which refuses to come from a high rent no one can see what you are doing or not doing private building into the new government building and which doesn't seem to bring any money into Cayman but leads a charmed life because it has been around since 1903 or some such unlikely date. No one dares to touch it – why one can only speculate. But Marco is indeed a bright guy. Effective politician/statesman, I don't know. I think he is looking for the publicly recognised prestige – Honourable Minister etc.
A breath of fresh air.
Thanks, Marco, for this viewpoint. Our country needs a pragmatic mind such as yours, to be part of the movement that will bring the Cayman Islands back to a status of prosperity. In the short time that we have been acquainted, I quickly understood you to be a very thorough, well informed and knowledgable person, who is more than worthy of a vote in the upcoming election.
All the best.
E.
Insightful and well articulated, Marco. We need you in govt.!
It really isn't all that. It sounds clever, but read it closely and you will find it has no content.