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    The Likely Impact of theFree Movement of Labour in the CSME

    on theOECS Labour Market

    Caribbean Regional NegotiatingMachinery

    ByA-Z Information Jamaica Limited

    Presented byNoel Watson Ph.D

    Denise Leander-Watson MBA, B.A.July 18th 2007

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    Structure of Presentation

    Contextualisation of Study

    Data on movement of people into the OECS

    a n n ngs rom surveys Focus group findings

    Opinions of trade union, trade and other

    officials Attractiveness of CSME member states to

    labour

    Conclusion

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    Context as outlined in the TOR

    With the implementation of the CSME, the Region isexpected to enjoy benefits such as:

    combined market of over six million persons and for theworld beyond

    Competitive products of better quality and prices

    Improved services provided by enterprises and individuals,

    including transportation and communication Greater opportunity for travel

    Opportunities for nationals to study and work in CARICOMcountries of their choice

    Increased employment and improved standards of living

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    Context (cont.)

    Concerns about impact of the CSME

    Despite these proposed benefits, there are personsconcerned that the CSME will have a negative impacton their businesses and/or their country.

    it is perceived that opening up of the regional marketwill, inter alia, result in: An influx of low cost labour and lower skilled service providers

    from larger member states who will compete with nationals for

    scarce jobs and opportunities and thereby createunemployment and other social problems amongst nationals

    A brain drain of qualified persons from the OECS into thelarger member states of the Region where it is perceived thatprofessionals and more highly skilled persons are more highlyremunerated.

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    Context (cont..)

    Need for Empirical Research

    To help alleviate these fears or to developappropriate responses to the perceived negativeimpacts, empirical investigation and analysis is

    required to properly inform the decision makers inthe OECS as well as trade negotiators.

    This study is intended to shed more light on thisimportant issue through empirical research.

    Objective as outlined in the TOR To conduct empirical research in the OECS as well as in a

    large CARICOM member state to determine the likelynature, extent and possible impact on OECS economies ofthe free movement of persons in the CSME.

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    Background on Study

    WhenSeptember 2006 to May 2007Eight day Field Trip Nov. 2007

    WhereAntigua & Barbuda

    GrenadaSt. LuciaJamaica

    Why? To determine the perceptions of persons from the OECS

    with respect to the CSME

    Permanent SecretariesLabour CommissionersImmigration OfficialsProfessionals

    Trade OfficialsRandom people on streets

    HowTelephone interviewsFace-to-face interviewsFocus groups

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    Research MethodologyTarget Groups

    Residents of the OECS OECS nationals living in other

    OECS countriesTrade and union officials Jamaicans

    Data Collection InstrumentsFour instruments

    1. Residents of the OECS2. OECS nationals living in

    other OECS countries3. People on streets of OECS4. Jamaicans

    Analysis & Reporting Data Entry Data analysis

    Draft Report Final Draft Report

    Data Collection ProcessTelephone interviews

    Face-to-face interviewsFocus groups

    Random people on streets

    Sample Selection ProcessMixture of OECS residentsMixture of OECS nationals in

    Other OECS countriesMixture of Jamaicans

    Random people on streets

    Presentation

    Summary PowerPoint

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    Sample Composition and Size141 persons spoken to directly

    Antiguans & Barbudans,Grenadians or St. Lucians

    Antiguans & Barbudans,Grenadians or St. Lucians living

    Focus group attendees Grenada = 10

    Antigua & Barbuda = 15

    Sample size was 30

    Sample size was 9

    Randomly selected persons onthe streets of Antigua &Barbuda and Grenada

    Sample size was 41

    Jamaicans living in Jamaica

    Sample size was 20

    Officials interviewed St. Lucia = 6

    Grenada = 7 Antigua & Barbuda = 3

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    Challenges

    Coordination of sample selection Had to rely heavily on people on the ground in OECS

    Thanks to Labour Commissioners Offices

    ocus group Getting the required turnout Data collection

    Finding and interviewing OECS residents and nationals byphone from Jamaica

    Data analysis Large volumes of data

    Report writing Large volumes of information

    Massive report

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    Main Findings Work Permit Data

    Data was received from five OECS MemberStates for the following periods:

    nt gua ar u a: - Dominica: 2000 - 2006

    Grenada: 2002 - 2006

    St. Kitts & Nevis: 2002 - 2006

    St. Vincent & the Grenadines: 2001-2006

    St. Lucia could not present any data on WorkPermits

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    Work Permit Distribution Caricom Nationals

    Antigua &Barbuda

    Dominica Grenada St. Kitts& Nevis

    St. Vincent& the

    Grenadines

    OtherCaricom

    nationals

    12,722 1,624 1,540 613 348

    OECS

    nationals

    3,017 192 260 252 79

    TOTAL 15,739 1,816 1,800 865 427

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    Work Permit Distribution Caricom Nationals

    OECS

    Nationals

    Other Caricom

    Nationals

    n gua ar u a19% 81%

    Dominica 11% 89%

    Grenada 14% 86%

    St. Kitts & Nevis 29% 71%

    St. Vincent & the

    Grenadines

    19% 81%

    Average 18% 82%

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    Work Permits Issued: 2000-2006

    Work Permits Issued

    Antigua

    &

    Barbuda Dominica Grenada

    St. Kitts

    & Nevis

    St. Vincent

    & the

    Grenadines TOTALDominica 1610 0 29 37 13 1689

    Grenada 212 39 0 13 13 277

    Guyana 6594 145 701 363 158 7961

    ama ca

    Trinidad and Tobago 407 40 590 33 113 1183

    St. Vincent & the Grenadines 417 221 83 99 0 820

    St. Lucia 359 78 139 37 28 641

    St. Kitts 157 25 1 0 3 186

    Antigua & Barbuda 0 0 6 71 22 99Barbados 235 46 79 25 40 425

    Montserrat 262 10 2 61 0 335

    Haiti 0 1142 0 0 4 1146

    Belize & Bahamas 0 0 2 2 0 4

    TOTAL 15,739 1,816 1,800 865 427 20,647

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    Distribution of 20,000 Work PermitsIssued 2000-20006

    Grenada

    9%

    St. Kitts & Nevis

    4%

    St. Vincent & the

    Grenadines

    2%

    The graph shows that Antigua & Barbuda accounted for over three

    quarters of work permits issued.

    Antigua & Barbuda

    76%

    Dominica9%

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    Work Permit Distribution by Nationality

    Haiti

    6%

    Dominica

    8%

    Barbados

    2%Other OECS

    11%

    Trinidad and Tobago

    6%

    Guyana

    39%Jamaica

    28%

    The Graph shows that Guyanese nationals received 39% of theWork Permits issued to Caricom Nationals.

    Jamaican nationals received 28% of Work Permits issued.

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    Work Permit Distribution Top 3Nationalities

    Country First Second ThirdAntigua &

    Barbuda

    Guyana - 42% Jamaica - 35% Dominica - 10%

    - -.

    Grenadines - 12%

    Grenada Guyana - 39% Trinidad & Tobago - 33% St. Lucia - 8%

    St. Kitts &Nevis

    Guyana - 41% Jamaica - 14% Trinidad & Tobago 11%

    St. Vincent

    & the

    Grenadines

    Guyana - 36% Trinidad & Tobago - 26% Barbados - 9%

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    Work Permit Gender Distribution

    Female MaleAntigua & Barbuda 56% 44%

    Grenada 18% 82%

    St. Kitts & Nevis 30% 70%

    St. Vincent & the

    Grenadines

    27% 73%

    Average31% 69%

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    Gender Implications

    Overall, more men have been issued withWork Permits than women.

    en are a e to move more ree y Women are more prone to give consideration to

    family before a decision is taken to move

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    Work Permit Top 5 Skillcategories

    COUNTRY First Second Third Fourth Fifth

    Antigua &

    Barbuda

    Domestic

    Workers -

    22%

    Security

    Guards -

    14%

    Construction

    Workers -

    12%

    Hotel &

    Restaurant

    Workers -

    10%

    Sales

    Personnel -

    8%

    Dominica Agriculture -48%

    Community,Social &

    Personal -

    14%

    BusinessServices -

    11%

    Other - 9% Construction- 8%

    Grenada Construction

    - 32%

    Technical

    Workers -18%

    Singers,

    Artists, DJs -14%

    Other - 9% Professionals

    - 8%

    St. Vincent &

    the

    Grenadines

    Other - 26% Managers -

    18%

    Construction

    Workers -

    11%

    Engineers -

    10%

    Professionals

    - 10%

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    Main Findings Skill Certificates Data

    Information was collected from four OECS memberstates:

    Dominica

    Grenada

    St. Lucia

    St. Vincent & the Grenadines

    In the two instances where information was provided

    re: age groups: 87% of the persons who were issued with Skill Certificates

    were in the 20 44 year age group

    On average, 85% of the persons issued with skill

    certificates were graduates

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    Main Findings Skill Certificates Data

    Two types of Skill Certificates in terms offunctionality

    cer ca e ssue y e os coun ry w c a ows or e

    indefinite stay of the holder as well as the ability to work

    A certificate issued by a country to its own nationals, whichacts as a passport, allowing for the entry into a host country temporary stay of 6 months

    Dominica 96% Grenada 43%

    St. Lucia 65%

    St. Vincent & the Grenadines 70%

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    Skill certificates distribution 2004-2006Skills Certificates

    Issued (2004-2006)

    Dominica Grenada St. Lucia St. Vincent &

    the

    Grenadines

    TOTAL

    Antigua & Barbuda 0 0 0 0 0

    Barbados 0 3 5 2 10

    Belize 0 0 0 0 0

    Grenada 0 39 3 1 43

    Guyana 1 20 20 6 47

    Jamaica 0 12 8 2 22

    St. Kitts & Nevis 0 2 0 0 2

    St. Lucia 0 2 98 0 100

    St. Vincent & the Gren. 0 4 2 31 37

    Suriname 0 0 0 0 0

    Trinidad & Tobago 0 4 11 2 17

    Total 25 91 151 44 311

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    Distribution of Skill Certificates 2004-2006

    St. Vincent & the

    Grenada

    29%

    Dominica

    8%

    Grenadines

    14%

    St. Lucia

    49%

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    Skill Certificate Issued byNationality

    Other OECS

    8%

    Dominica

    Trinidad &

    Tobago

    14%

    Barbados

    8%

    St. Vincent & theGrenadines

    5%

    Guyana39%

    Jamaica

    18%

    The Pie Chart shows Skill Certificates issued to non-nationals

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    Gender Breakdown Skill Certificates

    43%

    58%52%

    64%

    57%50%

    60%

    70%

    Dominica

    Grenada

    St.Lucia

    St.Vin

    cent&

    theGre

    nadines

    Male

    Female

    42%

    0%

    10%

    20%30%

    40%

    Overall Females accounted for 51% and Males 49%

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    Business/Stop over Arrivals

    Information was collected from five OECS

    Data period 2000 to March 2007

    us ness rr va s

    St. Lucia (2002 2005)

    Antigua and Barbuda (2003 March 2007)

    Stop-over Arrivals

    Dominica (2000 2005) Grenada (2000 2005)

    St. Vincent & the Grenadines (2001 2006)

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    Arrivals- OECS v Other CaricomNationals

    Twenty nine (29%) of the business/ stop overarrivals were from the OECS.

    71% were from the other Caricom countries

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    Business/Stopover Arrivals: Top 3 byNationality

    OECS Member

    States First Second Third

    Business Arrivals

    Antigua & Barbuda Barbados - 21% Trinidad & Tobago -

    18%

    St. Kitts &

    Nevis -13%

    St. Lucia Barbados - 29% Trinidad & Tobago -

    24%

    Dominica - 8%

    Stopover Arrivals

    Dominica Antigua & Barbuda -

    28%

    Haiti - 21% Barbados - 13%

    Grenada Trinidad & Tobago -

    52%

    Barbados - 18 % St. Lucia - 7%

    St. Vincent & the

    Grenadines

    Barbados - 39% Trinidad &Tobago -

    36%

    St. Lucia- 11%

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    Main Findings Residency Permit

    Received data from 5 countries for the period2001 - 2006:

    Antigua & Barbuda Temporary Residence

    Dominica Temporary & Permanent Residence

    Grenada Residence & Citizenship

    St. Kitts & Nevis - Residence

    St. Vincent & the Grenadines TemporaryResidence

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    Residency Permits issued OECS:Other Caricom Nationals

    Twenty one (21%) of the Residency Permitsissued were to OECS nationals

    79% were from the other Caricom countries

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    Residency Permits Top 3 Recipientsby Nationality

    OECS Member States First Second Third

    Antigua & Barbuda Guyana - 38% Jamaica - 37% Dominica -16%

    Dominica Jamaica - 45% Trinidad & St. Vincent &o ago - 14% t e

    Grenadines - 10%

    Grenada Trinidad &Tobago - 41%Guyana - 41%

    Barbados 9% Jamaica - 6%

    St. Kitts & Nevis Guyana - 47% Jamaica - 22% Montserrat -12%

    St. Vincent & the

    Grenadines

    Guyana - 46% Trinidad &

    Tobago - 22%

    Barbados -

    11%

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    Conclusion on data trends in regionalmovement of persons since 2000

    Guyanese nationals are dominant in terms of labour movementwithin the Region as noted by the number of work permitsissued to them compared with those issued to other CARICOMcountries.

    However, Guyanese are not dominant in tourism and otherregional movement as seen by their relatively low numberswhen business travel and stopover data are compared withother CARICOM countries.

    Barbados is low in terms of regional movement of labour buthigh in terms of business travel and stopover travel.

    Trinidad and Tobago is high in terms of both regional movementof labour as well as stopover travel to Grenada proximity andfamily connection

    Jamaica tends to follow a similar path as the Guyanese wherethey are relatively high in terms of movement of labour but

    relatively low in terms of business and tourism movement withinthe OECS.

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    Main FindingsAwareness of the CSME

    High level of awareness in OECS countries

    All persons interviewed had heard about the CSME

    87% of the OECS respondents living in the OECS hadvisited or lived in at least one other CSME memberstate

    A few claimed to have visited all member states except

    Belize and Suriname

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    Main Findings from Surveys

    OECS Residents living in OECS

    OECS Residents living elsewhere in OECS

    OECS Residents on the streets Jamaicans

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    Awareness of categories of labourgranted free movement under the CSME

    Level of awareness was relatively lowamongst OECS residents

    It was also relatively low

    amongst Jamaicans

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    Given state of awareness what policyresponses are necessary?

    Suggestions from participants

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    Appropriate Messages are required

    Go and get your SkillsCertificate

    From the Ministry of Labour

    Might have to use thevernacular where necessary

    in the CSME

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    Policy Implications based on findingsconcerning awareness

    High levelof basic

    awareness

    Low level

    of in depthawareness

    Need for

    Public EducationPublic Education

    To deepen understandingand change attitudes

    Social MarketingSocial MarketingTo influence behaviour

    A di M di

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    Audiences Media

    Children Posters, Teachers & pastors, Flyers to take home, Community radio,

    Skits, dance, songs (competition)

    Adolescents Posters, Teachers & pastors, Flyers to take home, Town criers, Massmeetings, Community radio, Skits, dance, songs

    Young Adults Posters, Pastors, Flyers to take home, Town criers, Focus groups,

    Mass meetings, Community radio, Skits, dance, songs (bashment)

    Adults/Heads of

    Households

    Posters, Pastors, Flyers to take home, Town criers, Focus groups,

    Mass meetings, Community radio, Skits, dance, songs

    , , , , ,

    Mass meetings, Community radio, Skits, dance, songsTeachers Face-to face discussions, Flyers, Posters, Skits, dance, songs, essays

    (school competition)

    Police Face-to face discussions, Flyers, Posters

    Business people

    Face-to face discussions, Flyers, Posters, Focus GroupsCBOs, NGOs Face-to face discussions, Flyers, Posters, Focus Groups

    Comm. leaders Face-to face discussions, Flyers, Posters, Focus Groups

    PoliticiansMPs and Councillors

    Face-to face discussions, Flyers, Posters

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    Examples of Media Use forPublic Education

    Community communication specialists could be usedto get the messages across

    Schools could use essay or poetry competitions as c an r mary sc oo c ren cou carry yers

    home in their bags Community competitions Dee Jay, dancing,

    community cleanliness Churches could be asked to provide information during

    their announcements segment PTA meetings

    Community notice boards

    Hi-tech media text messages

    T t di Pl t h th

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    Target audiences Places to reach them

    Children Basic Schools, Primary Schools, Churches,

    Homes, Scouts, Boys Brigade, Girls Guides

    Adolescents Secondary Schools, Youth Clubs, CommunityCentres, Sporting Clubs, courts, complexes or

    fields, Churches, Homes

    Young Adults Youth Clubs, Sporting Clubs, courts, complexesor fields, Community Centres, Churches, Homes,

    At work in community, On Corner

    Adults/Heads of Households Community Centres, Churches, Homes, At workin community

    Seniors Community Centres, Churches, Homes

    Teachers Schools

    Police Police stations

    Business people Businesses

    CBOs, NGOs Monthly meetings

    Community leaders/persons of

    influence

    Homes, Corners, Work place

    Politicians (MPs and Councillors) Offices

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    Perceptions of the likely effects of theCSME on OECS economies

    Persons from the OECSliving in their own countrywere generally quite positive

    When rating how they thought the

    CSME would affect their economy50% of respondents gave positiveratin s 33% were neutral and onl

    Sentiments shared bypersons from OECS living inother countries, as well as bypersons interviewed on thestreets and participants in

    focus groupsPositive

    50%

    Neutral

    33%

    Pessimistic

    17%

    Jamaicans interviewed were alsogenerally positive about the likelyeffects on their economy

    17% were pessimistic

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    Possible policy responses to favourableimpressions of free movement?

    Focus on the possible negatives

    Do not prepare citizens

    -

    o not n orm c t zens o pos t ves

    Do nothing

    Prepare citizens

    To compete locally To compete in other states

    Give information on opportunities

    Give training and certification opportunities

    0

    +

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    Perceived relative earningpotential of labour in OECS countries

    Persons from Antigua & Barbuda perceivedHigh

    Relative Earnings

    the highest in the CSME

    Grenadians perceived that their wageswere relatively low

    Perceptions were varied amongst St. Lucians

    Jamaicans interviewed generally perceivedthat salaries were higher in other CSME

    countries than in Jamaica.

    Med

    Low

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    Willingness to move to work or live inanother CSME member state

    60% of respondents claimed they would be prepared to moveon a temporary basis to live or work in another CSME country

    Only 17% were definitive about being prepared to move

    With respect to temporarymovement, there is seemingly aninverse correlation between thedomestic wage level and willingnessto move

    a higher percentage of Grenadiansfollowed by St. Lucians and then

    Antiguans were prepared to move

    Grenadians

    St. Lucians

    Antiguans

    DomesticW

    ageLevel

    Temporary willingness to move

    65% of Jamaicans interviewedclaimed they would be prepared tomove on a temporary basis.

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    Willingness to move to work or live inanother CSME member state(cont)

    The analysis also revealed aninverse relationship betweenage and willingness to move

    There is a high level ofinertia with respect topermanent movement as

    on a emporary as s - o er

    persons were less prepared tomove.

    The analysis showed that menare more willing to move on a

    temporary basis than females. Married women, regardless of

    dependents, were leastfavourably disposed tomoving.

    degree of love & loyalty totheir country.

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    Implications of findings

    The profile of the person that will be mostre ared to move is

    Younger Unmarried

    Male

    Higher income

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    Implications of findings (cont)

    In the Re ion Mode 4

    trade in servicescould be activebecause of the highpropensity to move

    temporarily

    Mode 2: Movement of consumer

    Mode 3: Commercial Presence

    Mode 4: Temporary Movement

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    Ranking of CSME member states asdesirable destinations to work or live

    Residents of the OECS ranked Barbados as the most desirableCSME member state to live or work in

    Safe

    Good standard of living (despite the high cost of living) Good opportunities

    Good infrastructure

    Many attributes of a developed country.

    Close geographical proximity to the OECS

    Trinidad & Tobago and Jamaica were joint second in terms ofthe number of times they were ranked in the top four

    Perception of crime reduced the desirability of both Jamaica andTrinidad & Tobago even though numerous attractive featuresabout both countries were identified.

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    Ranking of CSME member states asdesirable destinations to work or live(cont)

    If all the OECS countries were aggregated, the OECS as a sub-region was far more popular than Barbados or any other singlecountry mainly because persons felt a sense of familiarity andbelonging.

    OECS citizens living outside of their home country selected St.Kitts & Nevis as the most popular country in terms of desirabilityfollowed by St. Lucia and Barbados.

    Suriname is the only CSME member state that did not feature at all

    as a desirable place, this could be a reflection of a languagebarrier and lack of familiarity.

    Jamaicans also selected Barbados followed by Trinidad &

    Tobago as their most desirable CSME countries to work or live.

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    Policy Implications from findings

    Other CSME member states should considerbenchmarking Barbados in terms of economic andsocial development

    that Suriname is part of the CSME and there may beopportunities Crime is a major inhibitor of the free movement and

    trade in services

    OECS member states should introduce crime preventionstrategies Community policing Youth clubs for youth Mentoring programmes for young men

    Parenting training for young mothers

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    Possible threats from free movementof labour identified by interviewees

    Increase in crime and the number of criminals

    Increase in fraudulent business activities

    -

    Development of slums as unskilled persons enter andaccept low paying jobs or are unable to find jobs

    Lower wage structure and standard of living as the influx

    of foreigners pushes wage rates down Loss of jobs as

    more skilled foreigners from countries with universities enter themarket

    unskilled foreigners are prepared to accept lower wages.

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    Threats from free movement of labour(cont)

    Loss of capital as wages and profits are remitted out ofthe country

    Reduction in the availabilit of land as forei nerscompete for land given that the Alien LandholdingRestrictions have been recommended for removal forCSME residents

    Increase in property prices as more persons compete

    for land. In some countries the brain drain may exceed the

    brain gain thus leaving the country relatively short ofthe skills necessarily to facilitate optimal growth and

    development.

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    Threats from free movement of labour(cont)

    Some saw it as an opportunity as the influx of skillswould benefit the economy.

    movement is not a threat and has been happening foryears, especially in Antigua & Barbuda.

    JamaicansJamaicansThe main threats to Jamaica were in terms of wagerates being driven down and the culture being diluted.

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    Policy Implications from Threats Identifiedby Residents, Nationals & Officials

    Government should pay careful attention and considersetting up a monitoring agency/team to assessdevelo ments CSME Unit . Perha s Re ional

    support (RDF) could be sought to deal with suchmatters

    Social

    Crime, anti-social behaviour, etc

    Economic Wage rates, capital flight, land and property issues, brain drain,

    etcEstablish or utilize existing public, private and civil society agenciesand groups to figure out how to obviate or deal with emerging

    problems

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    Readiness of the OECS for the FreeMovement and CSME

    The OECS was not perceived to be fully readyfor free movement and CSME

    o not ave t e tert ary eve tra n ng nst tut ons

    to provide the level of certification required to make tradespeople and other workers competitive in a regional marketwhere labour movement is free

    There has been insufficient public education

    Many residents of the OECS are not fully aware of theopportunities and threats and the preparations they need tomake to operate optimally within the CSME

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    Policy Implications

    Government of OECS countries shouldconsider

    ett ng up tra n ng nst tut ons, suc as

    H.E.A.R.T in Jamaica to certify tradespeople Funded by a special 2% payroll tax

    Cold initially start with one or two in the sub-

    Region Collaborating with organisations such as

    H.E.A.R.T to set up certification programmes

    Include on-the-job certification

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    Attitudes towards free movement for allcategories of labour(Favourable)

    More than 63% of respondents feltthat all categories of labour shouldbe able to move freel All categoriesAll categories

    Not in favour of discriminationbetween categories

    Region needs a mixture of both skilledand unskilled labour to develop andunite

    imbalances and disunity are beingcreated by restricting the movement ofcertain categories.

    should moveshould move

    freelyfreely

    >63%>63%

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    Attitudes towards free movement forall categories of labour(Unfavourable)

    Region needs more skilled not unskilled people

    Onus should be on the unskilled to get skills so they

    development of the Region. Some fear that if unskilled persons move freely,

    they may end up unemployed

    Anti-social behaviour may result which may adverselyaffect the development and growth potential

    such as crime

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    Jamaican attitudes towards freemovement for all categories of labour

    85% of Jamaicansinterviewed felt that all All categoriesAll categories

    categories of labour shouldbe granted free movement

    Not in favour of discrimination

    However, there was some

    skepticism

    of labourof labour

    should moveshould movefreelyfreely

    85%85%

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    Impact of increased competition for jobs

    Nearly all respondents feltthere would be anincreased level of

    Some felt that therewill not be any greatre ional movement

    competition for jobs Not necessarily a threat

    because it should result ingreater efficiency andhigher standards

    Increased competitionwould be offset by theincreased opportunities

    of persons becausemany factors apartfrom jobs determinewhether peoplemove.

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    Job opportunities as a result of thefree movement of labour and the CSME

    73% of OECS respondents claimed that freemovement of labour should increase job opportunities Greater effective market size

    of greater need

    As long as a regional vision and planning are put in place,investment will increase to take advantage of resourcesavailable all across the Region

    Concerns

    Businesses may move from one member state to another totake advantage of lower cost labour thereby creatingunemployment in the country that they leave

    75% of Jamaicans interviewed also felt more job opportunities

    would become available as a result of the CSME

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    Policy ImplicationsEmphasis on Continuous Training

    Government, unions and private sector shouldencourage all citizens to view continuous training asone of the best wa s to deal with com etition

    To deal with persons from elsewhere CSME To capitalize on opportunities elsewhere in the CSME and in

    the world

    Putting in place the necessary training facilities and PublicEducation would certainly help

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    Important factors that make OECS peoplewant to remain in their homeland

    In terms of attributes that wouldinduce respondents to remain intheir homeland the six most

    important in order of rank were:1. The desire to contribute to their

    country

    2. Close family ties

    3. Low crime rate4. Job prospects

    5. Earning potential

    6. Education system.

    A nationalistic factor followed

    by two sociological factors andthen two economic factorsemerged as most important formaking OECS residents wantto remain in their homeland

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    Important factors that would inducemovement to another member state

    In terms of attributes of anotherCSME country that would induceres ondents from the OECS to

    move, the six most important inorder of rank were:

    1. Low crime rate

    2. Earning potential

    3. Education system4. Job prospects

    5. Social services

    6. Governance

    After the social factor of lowcrime, labour market (economic)factors emerged as veryimportant as did the educationand governance systems.

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    Factors that determine movement forJamaicans

    For Jamaicans, thetop six factors thatmade them want to

    For Jamaicans, thetop six factors thatwould induce them to

    1. Closeness to family2. Culture3. Entertainment and

    recreation4. Job prospects

    5. Desire to contribute tocountry6. Earning potential

    country were:

    1. Earning potential2. Job prospects3. Low crime rate4. Education system

    5. Social services6. Friends

    Overall for Jamaicans, social factors are the most important inkeeping them at home, whereas economic factors are the mostimportant in terms of inducing them to leave.

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    Policy Implications

    To prevent a brain drain develop policies that focus on The importance of contributing to the development of the

    country

    Strengthening families

    Minimizing crime

    To foster a brain gain develop policies that focus on

    Minimizing crime

    Increasing productivity and earning potential Enhancing the education system

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    Implications for OECS of free movement

    OECS or other member states should not be overlyconcerned about being overrun with persons from otherCSME member states

    Many pull factorsact to preventpersons fromleaving theirhomeland

    Several important

    factors would haveto be in place inanother memberstate before personsfrom the OECS

    would be induced tomove

    In general, a high

    degree of nationallove and loyalty wasdetected amongstrespondents,especially in

    Grenada and St.Lucia.

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    Main opportunities for the individual inthe CSME

    Jobs and business prospects were ranked highest interms of being the most important opportunities forindividuals in the CSME

    However, other factors were identified as importantopportunities Opportunities for collaboration

    Meeting new people

    Entertainment options

    Improvements in social services

    Cultural improvements

    Learning new methods of doing things

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    Is the CSME good for the Region?

    90% of the OECS residents interviewed from the threeselected countries think the CSME is good for theRegion

    .

    Many reasons were given for these impressions Benefits of being unified in international negotiations Economies of scale Possible gains from specialization Gains from niche production and marketing A strong regional currency Development of the culture-based industries.

    85% of Jamaicans feel the CSME is good for the Region and

    gave similar reasons

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    Is the CSME good for the Region?(cont..)

    On the whole, persons from the OECS arefavorably disposed to the free movement of

    The greatest fear of residents of the OECS isthe possible infiltration or stimulation of crimethrough the free movement

    A low crime rate was identified as one of the mostimportant factors in the lives of people in the OECS

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    Policy Implications

    Promote heavily the opportunities in the CSME

    Make a lot of noise about the fact that measures

    repercussions Such as crime

    Put measures in place and announce them on acontinuous basis

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    Similarities between OECS andJamaican Perspectives and Opinions

    On the whole the analysis shows very littledifference in the perceptions of persons from

    .

    This finding augurs well from the perspectiveof integration Persons from different parts of the Region are at

    similar levels of awareness

    There is harmony with respect to perceptions ofthe opportunities and threats presented by theCSME.

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    Gender related findings

    An extensive gender analysis was carried out based on a sampleof 47 males and 24 females The OECS telephone interviews were combined with the OECS street

    interviews to obtain a representative sample for this analysis.

    Main Gender Related FindingsMain Gender Related Findings Awareness

    Both males and females were found to be highly aware of the CSME

    Perceptions about benefits A high percentage of both males and females think the CSME is good

    for the Region and the Region will benefit as a result. More males are optimistic about the effects of the CSME than females

    Perceptions about earning potential The difference in the perceptions of males and females in terms of

    earning potential outside of their home country is not significant.

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    Gender related findings (cont)

    Preparedness to move

    Preparedness to move on a temporary basis Males seem more prepared to move on a temporary basis than their

    female counterparts.

    Married women re ardless of whether the had de endents were

    the least likely to be prepared to move temporarily.

    Want to be with husbands

    Preparedness to move on a permanent basis

    Overall, males are significantly more willing than females to move toanother CSME member state on a permanent basis

    30% males expressing a willingness to move permanently comparedto 8% of females.

    Married women, especially those with dependents, were the mostuncertain category of all in terms of willingness to move permanently

    However, the significant majority of both genders are not prepared to

    move permanently.

    Gender related findings (cont )

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    Gender related findings (cont)

    Visits to andDesirability of other CSMEMember States

    CSME States visited Relatively few OECS females seemed to have lived or worked

    in other CSME member states compared to their malecounterparts.

    The most visited CSME member state was Trinidad andTobago for both males and females.

    Desirability of other CARICOM countries to live or work

    In the ranking of countries in terms of desirability to live orwork, Barbados was most popular for both men and women

    While Trinidad & Tobago was equally popular as Barbados formales, it was far less popular amongst women.

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    Gender related issues (cont..)

    Greatest threats from the CSME

    Greatest threats from the CSME identified by asignificant number of both males and females

    Drugs Murders

    Other felonies

    Locals losing jobs to workers from other CSME

    member states Better qualified

    More educated

    More professional

    More efficient

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    Gender related findings (cont)Personal job prospects, competition and jobthreats from the Free Movement

    Job Prospects In terms of job prospects due to the CSME, males were more

    optimistic than their female counterparts

    Competition for jobs

    87% of males and 100% of females expected increasedcompetition for jobs as a result of the CSME.

    However, a high percentage of both males and females felt nopersonal threat for their own jobs and felt they could hold theirown.

    The relatively few that felt threatened claimed it was mainly

    because of their lack of qualifications.

    Gender related findings (cont)

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    g ( )

    Opportunities and losses from theFree Movement

    Opportunities from movement of labour A significant percentage of both males and females felt that

    the greatest opportunity for their country from the inwardmovemen o s e a our was n erms o cross er za on

    of skills, professionalism, methodology, technology as localsand nationals learn from each other.

    Job opportunities, opportunities for collaboration, andmeeting new people were rated highly by both males andfemales as personal opportunities from the CSME.

    Loss of skills More females than males seemed concerned about the

    potential loss of skills to other CSME member states due tothe free outward movement of labour.

    Gender related issues (cont)

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    ( )

    Factors critical to the decision to remainin homeland or move

    Factors critical to the decision to remain in homeland The desire to contribute to the home economy and low crime

    rate were in the top three for both males and females.

    Malesplaced a higher ranking on closeness to family,

    entertainment and recreation, earning potential and friends. Femalesplaced greater emphasis on job prospects, the

    education system and church association.

    Factors critical to the decision to move to another

    CSME state Low crime rate, earning potential, job prospects were top threefor both males and females

    However, men rated the importance of the education systemhigher than females who rated governance higher than males.

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    Focus Groups

    Conducted four Focus Group Sessions:

    Two in Grenada

    wo n n gua an ar u a

    Met with the following officials in St. Lucia, Grenadaand Antigua and Barbuda:

    Trade Union

    Immigration

    Labour

    Trade/Commerce

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    Focus Group Sessions MainIssues

    Generally felt that there is already a fairlyhigh degree of movement amongst labour

    population in both countries Opportunities

    Accessibility to a larger pool of skilled persons

    Diversity and creativity in terms of ideas etc

    Learn from the persons with the skills

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    Main Issues contd

    Threats Tradespersons are not certified because there is

    certified persons from other countries

    Insufficient trained persons because they are notcampus territory like the bigger member states

    Importation of foreign cultures

    Increase in certain communicable diseases, e.g.HIV AIDS

    CSME was not communicated properly, hencelack of understanding amongst the population

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    Focus Groups - Recommendations

    Increase the education budget from nursery to tertiary Invest in Training of the workforce e.g. give more

    scholarships

    oc a mar e ng o n uence a u es o wor an o ra n ng

    Develop and implement a three -year plan based on thebenefits to be accrued from the CSME

    Ensure the competency of persons who disseminateinformation about the CSME

    Alien Land holding Act as it relates to land should be upheld

    Small businesses should be protected

    More training and certification support from the bigger countries

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    Perspectives - Immigration

    Three issues emerged: Crime need for vigilance and suggestion that

    Health - Trafficking of Persons

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    Perspectives from the TradeUnions

    Perceived impacts of the CSME: Widen the Job Market

    not e mass m grat on n ux o uyanese

    workers May depress wages when workers come from

    lower waged economies

    Public not sufficiently educated

    Unions not sufficiently involved in public

    education

    P i f h T d

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    Perspectives from the TradeUnions

    Groups most threatened by the CSME: Uncertified Construction Workers (at all skill

    Vendors

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    Perspectives from the Trade Officials

    No mass migration in either direction

    Main beneficiaries will be service providers(Mode 3 commercial presence)

    Job Creation

    Wages not a pull factor in the case ofGrenada but may be for St. Lucia andAntigua & Barbuda

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    Perspectives from the Trade Officials

    Fears of the Impacts of the CSME: Lack of certification amongst tradespersons

    ncrease n cr me

    Issues with land Perception that the CSME is for persons with

    tertiary education

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    Perspectives from Labour Officials

    Always been an influx of Caribbean migrantlabour over the years most evident in

    Jamaica, Guyana, Barbados and Trinidad &Tobago have campus universities - percapita they can turn out more graduates

    Lacking in the Technical VocationalInstitutions which the big four have had foryears - lacking in the critical areas of skilledtraining persons.

    S t d S l ti t

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    Suggested Solutions toChallenges

    Strategies: A Regional Strategy to protect workers and the

    disenfranchised

    A streamlined Public Education Strategy involving the

    Unions, NGOs etc. Harmonisation of Labour Laws and Social Security Systems

    (NIS, Health benefits, leave benefits and Pensions etc)

    A regional policy on HIV/AIDS

    Regional certification and licensing authority for constructionworkers

    Adoption of the HEART model from Jamaica skillcertification programme

    Rating of CSME Countries in Terms of

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    Rating of CSME Countries in Terms ofDeterminants of Labour Movement

    Objective Develop and index measuring the attractiveness of each

    CSME member state to labour

    Variables that determine attractiveness

    Wage rates

    Level of development

    Absorptive capacity of local labour market

    Perceived level of safety Perceived openness/welcoming of outsiders

    Each variable scored from low to high and then given a valuebetween 1-5 for each member state

    Rating of CSME Countries in

    Terms of Determinants of Labour Movement

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    Terms of Determinants of Labour MovementCountry Wage Rates Level of

    Development

    Size or

    Absorptive

    Capacity of

    Labour Market

    Perceived

    Safety Level

    Perceived

    Openness

    Antigua & Barbuda High High Low/Medium High High

    Dominica Low/medium Low Low High Medium

    Grenada Medium Low Low Hi h Medium

    St. Kitts & Nevis High High Low High Medium/Low

    St. Lucia High Medium Low/Medium High Medium

    St. Vincent &

    Grenadines

    Medium Low Low High Medium

    Barbados High High High/Medium High Low/medium

    Belize Medium/low Low/medium Medium Low/medium Medium

    Guyana Low Low/medium Medium Medium High

    Jamaica Medium High High Low High

    Suriname Low Low Medium High Medium

    Trinidad & Tobago High/Medium High High Medium High

    Scoring of CSME Countries in Terms of Determinants ofLabour Movement

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    Country Wage

    Rates

    Development Size or

    Absorptive

    Capacity of

    Labour Market

    Perceived

    Safety Level

    Perceived

    Openness

    Antigua & Barbuda 5 3 2 4 5

    Dominica 2 1 1 5 3

    Grenada 3 1 1 5 3

    St. Kitts & Nevis 4 3 1 5 3

    St. Lucia 4 3.5 2 5 3.5

    St. Vincent &Grenadines

    3 1 1 5 3

    Barbados 5 5 3.5 5 1.5

    Belize 2 2 2 3 3

    Guyana 1 2 3 3 5

    Jamaica 2 5 5 1 5

    Suriname 1 1 3 4 3

    Trinidad & Tobago 4 5 5 2 4

    Average 3.0 2.7 2.5 3.9 3.5

    A-Z Index of Country Attractiveness to Labour

    (ICAL)

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    (ICAL)Country Overall Score ICAL

    Antigua & Barbuda (3)Antigua & Barbuda (3) 19 0.76

    Dominica (10) 12 0.48Grenada (8) 13 0.52

    St. Kitts & Nevis (6)St. Kitts & Nevis (6) 16 0.64

    St. Lucia (4)St. Lucia (4) 18 0.72

    St. Vincent & Grenadines (8) 13 0.52

    Barbados (1)Barbados (1) 20 0.80

    Belize (10) 12 0.48

    Guyana (7) 14 0.56

    Jamaica (4)Jamaica (4) 18 0.72

    Suriname (10) 12 0.48

    Trinidad & Tobago (1)Trinidad & Tobago (1) 20 0.80

    Average 15.7 0.62

    Net Attractors versus Net Losers of

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    Net Attractors versus Net Losers ofLabour

    Six countries withabove average ICAL

    Six countries with belowaverage (ICAL)

    ar a os

    Trinidad &Tobago Antigua & Barbuda

    St. Lucia

    Jamaica

    St. Kitts & Nevis

    uyana

    Grenada St. Vincent & Grenadines

    Dominica

    Belize

    Suriname

    Net Attractors of Labour Net Losers of Labour

    Migratory Trends of People fromCARICOM

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    Migratory Trends of People fromCARICOM

    North America UK/Europe

    People have shown a preference to migrate to North America andUK/Europe and this trend is likely to continue for economic(earning potential)and social (family)reasons

    Intra-Regional migration should not be a cause for great fear but anopportunity to develop (like North America and UK/Europe)

    Within CARICOM

    Importance of Labour

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    Importance of LabourMathematics of Growth and DevelopmentMathematics of Growth and Development

    We ought not to be afraid of our own labour

    We must use our labour to develop We ought to follow the example of the

    countries to which our people have migrated

    Look regionally at Antigua & Barbuda

    Labour + Capitalrow an

    Development

    CheckNorth America

    and

    UK/EU

    + Technology/Governance

    =

    Opportunities in other CSME membert t

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    Opportunities in other CSME memberstates

    Guyana land and lower cost labour Jamaica high rates of return on capital

    ,

    Belize tourism development opportunities

    Trinidad & Tobago natural resources, econ. growth

    Suriname land and lower cost labour

    Dominica eco-tourism

    Conclusion

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    Conclusion

    Let us correct our weaknesses and developour strengths so we can deal effectively with

    along. Our people/labour are our greatest asset