The Antigua and Barbuda government has announced a bond payment plan to settle outstanding severance payments for former employees of LIAT (1974) Ltd.
The government will issue a bond to cover the outstanding amount over a 10-year period, with an interest rate of 2%. The initial installment of $1.9 million will be made annually in advance, with the government viewing this as a compassionate gesture.
The government has urged the Antigua and Barbuda Workers Union (ABWU) to pursue legal action if they disagree with the government’s position.
The government is also working to provide direct support to former LIAT employees, circumventing union discussions.
In addition to the LIAT severance issue, the government plans to secure around $35 million to meet back pay commitments for public servants. The government’s commitment to maintaining timely payments is compared to previous administrations’ delays.
