Nurses rebut Camillo’s claim that NDP govt ‘axed’ 5% income

The Nurses Association of St. Vincent and the Grenadines, on Wednesday, responded to a March 2, St. Vincent Times article in which former Finance Minister, Camillo Gonsalves, is reported as saying the New Democratic Party (NDP) government has “axed” the 5% tax-free supplement previously paid to nurses and called on the association to seek clarity regarding its discontinuation.

“At the outset, the Association believes it is important to clarify that the use of the term ‘axed’ may create the impression that a permanent benefit was abruptly removed,” the association said in a press statement.

“However, based on the public statements made at the time of its introduction, the 5 per cent supplement was clearly communicated as a temporary, time-bound measure intended to provide short-term fiscal relief while discussions on the possible upgrading and reclassification of nursing posts were being considered.”

The association said it acknowledges and commends the former government for introducing the supplementary allowance.

“The measure was welcomed by nurses as a meaningful effort to provide some financial relief and recognition of the important role played by nurses, nursing assistants, and nursing aides within the healthcare system.

“At the same time, the Association appreciates being recognised as the professional body representing nurses in St. Vincent and the Grenadines. However, it is important to place the matter in its proper context.”

The statement said that for several years, the Nurses Association and the SVG Public Service Union had made repeated attempts to engage the ULP administration regarding the need to review and revise allowances for nurses, as well as to initiate discussions on the reclassification and upgrading of salaries within the nursing profession.

“We are aware that during the 2023 Independence Address, former Prime Minister Dr. Ralph Gonsalves announced that, effective January 2024, all nurses, nursing assistants, and nursing aides would receive a monthly supplementary non-taxable income equivalent to 5 per cent of their salary.

“This measure was introduced for an initial six-month period to assist with challenges being faced by nurses, with the understanding that it would be reviewed while the government considered a possible upgrading and reclassification of posts within the nursing profession.”

The association said that during the October 2024 Independence Address, it was announced that the government would extend this 5% monthly supplementary non-taxable payment as a time-bound fiscal relief measure for an additional year, ending December 31, 2025, for nurses, nursing assistants, and nursing aides.

“It is also important to note that in the 2025 Independence Address, the only incentive announced for nurses was a one-off, tax-free Christmas Cost of Living Allowance (COLA), amounting to 3 per cent of an employee’s salary or wages for a three-month period,” the association said.

“As far as we are aware, at no point during that announcement or during the election campaign period did the government indicate that it intended to make the supplementary allowance for the selected group of public servants permanent or extend it beyond the specified period.”

The nurses association noted that international financial institutions, including the International Monetary Fund and the Inter-American Development Bank, have observed that governments often introduce time-bound fiscal measures to provide temporary relief during periods of economic difficulty while maintaining long-term fiscal stability.

“Considering this context, the Association finds it somewhat ironic that concerns are now being raised about the possible migration of nurses due to the discontinuation of the supplement. The reality is that the previous administration was well aware of the longstanding migration challenges within the nursing profession,” the association said.

It also highlighted that while a commitment was made to provide an allowance for all midwives in St. Vincent and the Grenadines as an incentive to support retention within the profession, midwives attached to the Division of Nursing Education were omitted from receiving this benefit.

“The Nurses Association wrote several times to Mr. Camillo Gonsalves, the then Minister of Finance, in an attempt to have the matter resolved; however, the correspondence was never acknowledged.”

The association said the efforts were made to ensure that midwives within the Division of Nursing Education would receive the same consideration as their counterparts across the health system.

“Unfortunately, these attempts proved futile, and the inequity remains unresolved,” the association said.

“Given this background, references to the risk of high migration of nurses now appear somewhat contradictory, particularly when opportunities previously existed to implement more comprehensive and equitable measures that could have strengthened retention within the profession.”

The release said that the President of the Nurses Association of St. Vincent and the Grenadines, Shelly-Ann Alexander-Ross, reiterated that the association remains committed to advocating for improved working conditions, fair compensation, and the professional recognition that nurses deserve.

“The association will continue to engage constructively with all relevant stakeholders in the best interest of its members and the healthcare system of St. Vincent and the Grenadines,” the association said.