A Guide to Investing in Trinidad and Tobago (2011) - Ministry of ...

hours and
• Three times hourly pay for time worked in excess
of eight (8) hours
Retrenchment and Severance Benefits Act
The Retrenchment and Severance Benefits Act of
1985 lays down minimum severance pay which is
payable in the event of redundancy. Where an employee
has served the employer without a break in
service for between more than one (1) but less than
five (5) years, he is entitled for each such completed
year of service to two (2) weeks’ pay at his basic rate
if he is an hourly, daily or weekly rated worker, or one
half month’s pay at his basic rate if he is a monthly
rated worker.
Where he has served the employer without a break in
service for five (5) years or more, he is, in addition to
his above-stated entitlement, entitled for the fifth year
and for each succeeding completed year of service
to three (3) weeks pay at his basic rate if he is an
hourly, daily or weekly rated worker, or three-quarters
month’s pay at his basic rate if he is a monthly rated
worker.
In the event of the winding up of the “employer company”
or the appointment of a receiver, severance
benefits provided for under the act enjoy the same as
wages or salaries under the winding up provisions of
the Companies Act.
Trade Unions
Employees may choose to join a union. The majority
of workers including industrial, civil servants, members
of the police force and fire services are represented
by trade unions. Via the Industrial Relations
Act, under which the Industrial Court is established,
power is given to that court to settle trade disputes,
prevent inappropriate industrial action and register
collective agreements.
Services deemed “essential” such as electricity, water
health, fire, communications and sanitation are prohibited
from undertaking industrial actions such as
strikes and lockouts.
32 A Guide to Investing in Trinidad and Tobago (2011)
Social Security
All employees between the ages of sixteen (16) and
sixty (60) are covered by the National Insurance System,
on an earnings-based system of benefits and
contributions. Contributions are made, two-third by
employer and one-third by employee. The employer is
responsible for submitting payment of the full amount
to the National Insurance Board after deducting the
employees’ share from their wages.
Occupational Safety and Health
The Occupational Safety and Health Authority (OSHA)
bill was approved by parliament in February 2004.
Amendments were made to OSHA in February 2006.
OSHA practises are now mandatory in all workplaces
throughout the country.
Labour Exchange
The National Employment Service of the Ministry of
Labour, Manpower Development and Industrial Relations,
screens, registers, interviews and counsels
nationals seeking employment. A skills bank which
categorises workers according to managerial, clerical,
secretarial, technical, manipulative and unskilled is
maintained, and supports the placement of individuals
in companies that request recruitment assistance.
The service is provided free of charge.
Real Estate
Acquisition of Real Estate in Trinidad by Foreign
Investors
The Foreign Investment Act, 1990 allows foreign investors
(including individuals and companies) to purchase
up to one (1) acre of land for residential purposes
and up to five (5) acres for commercial purposes
provided that the purchase price is paid in an internationally
traded currency through a bank or other
entity authorised by law as a dealer in that currency.
Additionally, the foreigner must, through his Attorney,
deliver to the Minister of Finance a Notice specifying
his name, address and nationality, the date and registration
particulars of the instrument by which he became
the owner of the property and evidence of his
payment in foreign currency.
Foreigners may exercise the option to lease property