cayman compass Your most trusted news source Established 1965 $1 | Funding local journalism | Weekly, 25 March - 1 April 2022 Issues How rising sea levels could reshape Cayman Page 22 SMOOTH SAILING? Mixed feelings as cruise ships return Page 5 Photo: Taneos Ramsay BK Big Fish April 1st -3rd, Awards dinner April 4th AWARDS PRESENTATION: 7:00 pm on Monday, April 4th upstairs at the GTYC Restaurant and pool Register Now at results.fishcayman.com or in person at GTYC on 31st March, 6pm The first 60 teams to register online or in-person will receive a free case of beer. Enter online before March 31 and be entered to win one of four $500 cash prizes Free beer!Matinees (matinee price before 6pm) • Seniors $9.00 (Mon-Fri before 6pm) Additional charges apply per 3D/VIP tickets 640-FILM (640-3456) Cayman Cinema@cbcinema6cbcinema6 SATURDAY NIGHT: For your viewing pleasure, minors under the age of 18 will not be admitted to any film starting after 6pm, unless accompanied by their parent. AMBULANCE (R) (FRI & TUE) 3:30 | 3:45 VIP | 6:45 | 9:50 | 10:10 VIP (SAT) 12:45 | 3:30 | 3:45 VIP | 6:45 | 7:00 VIP | 9:10 VIP | 9:50 (MON, WED-THURS) 3:30 | 3:45 VIP | 6:45 | 7:00 | 9:50 THE BAD GUYS (PG) (FRI, MON & WED-THURS) | 4:30 | 6:30 VIP (SAT) 1:00 | 1:10 VIP | 4:35 | 6:30 VIP (SUN) 4:00 | 4:00 VIP | 5:00 | 6:30 VIP (TUES) 4:35 | 5:30 VIP THE BATMAN (PG-13) (FRI, MON-THURS) 4:00 | 4:40 VIP | 7:35 | 8:00 | 8:30 VIP (SAT) 12:15 | 12:50 VIP | 4:00 | 4:40 VIP | 6:30 | 8:00 | 8:30 VIP (SUN) 3:45 VIP | 4:00 | 4:40 VIP | 7:00 | 7:30 | 7:30 VIP | 8:00 | 8:30 VIP THE CONTRACTOR (R) (FRI) 4:00 VIP | 7:00 | 9:30 | 10:05 VIP (SAT) 1:25 VIP | 4:00 | 4:00 VIP | 7:15 | 10:05 VIP | 10:15 (MON & WED) 4:00 VIP | 4:00 | 7:15 | 10:05 VIP | 10:15 (TUE) 4:00 | 7:15 | 10:05 VIP | 10:15 (THURS) 4:00 | 4:00 VIP | 7:15 | 10:05 VIP | 10:15 UNCHARTED (PG-13) (FRI) 9:00 VIP (SAT) 1:40 | 10:00 (SUN) 4:25 | 7:15 | 9:00 VIP | 10:00 (MON-THURS) 9:00 VIP | 10:00 WHAT’S PLAYING THIS WEEK CLASSICS THE MATRIX (1999) TUESDAY 7PM VIP (PG-13) KIDS CLUB E.T. THE EXTRA TERRESTRIAL SATURDAY 10AM VIP AVAILABLE (PG) KIDS CLUB ENCHANTED SATURDAY 10AM VIP AVAILABLE (PG) Finance Committee approves $15M in additional tourism stipend funding Parliament’s Finance Committee approved $15 million in additional tourism stipend funding after the money allocated in the budget for that purpose had already run out. Opposition Leader Roy McTaggart questioned in committee on 16 March why the funding was needed after only two months into the budget year and when government planned to end or taper off the stipend to tourism workers displaced by the COVID pandemic. Wesley Howell, the chief officer in the Ministry of Border Control and Labour, said that when budget requirements were put together, the wider reopening of Cayman’s borders to tourists was expected for 2021 and the return of cruise arrivals for January 2022. The delay in reopening meant that more funding is needed. Asked whether the amount of $15 million would be sufficient, given the stipend costs of about $5 million each month, Howell said projections are for the programme to stretch until June, as tourism workers are gradually re-employed. According to a ministry statement issued in February, 2,400 individuals continue to receive $1,500 each month. Following a review, 625 people, who are now employed, would receive $1,000 in February and a final $750 in March. The committee also approved another $5 million for small tourism-related businesses, like tour operators, taxis and restaurants, to maintain their assets in preparation for the return of tourism. Bar owner gun trial ends in hung jury The trial of Ultra Lounge night club owner Kirk Munroe has ended in a hung jury, after neither an unanimous nor a majority verdict could be reached. He was charged with possession of an unlicensed firearm, after police retrieved a loaded handgun from the nightstand of his bedroom in his George Town home. Munroe has said that he found the gun wrapped in cloth outside his bar while closing up in the early morning hours. When he found the gun he panicked and took it home with him. “He was so afraid that he did not even sleep at his house that night and several days after,” Amelia Fosuhene, Munroe’s lawyer, told the court. “In fact, when police attended Mr. Munroe’s workplace armed with a search warrant, he told officers that he had found the gun and told them where it would be located at his house.” Under the British judicial system, which forms the basis of Cayman’s judiciary, a hung jury occurs after members of the panel, after a prolonged period of deliberation, are unable to arrive at a verdict of innocence or guilty, whether unanimously or by majority. Despite the hung jury, Munroe will remain in custody until a new trial can be arranged. Meals programme rolls out in public secondary schools As of Monday, 21 March, free school meals are available for secondary students, the education ministry has announced. The second phase of the public school meals programme will offer daily breakfast, lunch and snacks to students enrolled in public high schools, including the Cayman Islands Further Education Centre. The first phase of the programme started in the islands’ primary schools and at the Lighthouse School in August 2021. The programme will be administered through an interactive meal management system, allowing parents to view menus and view their child’s meal consumption patterns. In primary schools and at Lighthouse School, parents can order meals through the system. Prison officer yet to enter plea in ganja case More than eight months after former prison officer Arnold Geovanny Cabrera Diaz was first arrested, and then subsequently charged with smuggling ganja into Northward Prison, he has still not entered any pleas. Appearing before the Summary Court on Tuesday, 22 March, Amelia Fosuhene, who represents Cabrera Diaz, told the court there was outstanding “crucial information” which she would need before she could advise him how to plea. “On the previous occasion the court and the prosecution were made aware of the very sensitive and crucial information that can only be provided by the RCIPS,” said Fosuhene. Cabrera Diaz faces two counts of smuggling contraband, two counts of possession of ganja and two counts of possession of ganja with intent to supply. He also faces one count of breach of trust by a public officer and one count of giving a false address to a police officer, for a total of eight charges. Diaz was released on bail and is expected to return to court on 5 April. He is one of two prison officers who last year were charged with smuggling ganja into HMP Northward. Rudolph Rambaran, who last month pled guilty to smuggling packages of ganja into the prison, is awaiting sentencing after his 7 March court date was postponed. Female STEM careers showcased at all-girl robotics camp Cayman’s young girls were encouraged to consider careers in the Science, Technology, Engineering and Mathematics (STEM) field through the Family Resource Centre’s first all-girls robotics camp on 19 March. “This [International Women’s Day] year’s theme is #breakthebias and we thought it would be really fitting to host a camp that’s targeted to young girls ages 8 to 13 that are interested in the field of STEM,” clinical supervisor of Family Resource Centre Charmaine Miller told the Cayman Compass at the special camp organised as part of Honouring Women Month activities. The camp, held in partnership with 345 Robotics at the John Gray High School gymnasium, gave the young girls the opportunity to build a robot collaboratively, showing them STEM in action. Miss Teen Cayman Islands Asaiah Thomas, who is pursuing engineering and architecture, shared her ambitions and how STEM is an important part of her future career with participants at the all-girl robotics camp on 19 March. - Photo: Gary Franklin, Lions Club of Grand Cayman news in brief weather Friday Forecast FORECAST Partly cloudy skies with a 40% chance of evening showers. SEA STATE Moderate with a wave height of 3 to 5 feet. WINDS Southeast at 10 to 15 knots. 88°F HIGH 75°F LOW FIND US ONLINE Caymancompass.com Facebook.com/Caycompass cayman_compass@cayCompassCayman Compass PRINTED AND PUBLISHED BY: Cayman Compass Ltd. Compass Centre, Shedden Road, George Town, Cayman Islands SEND US YOUR VIEWS OR NEWS: P.O. Box 1365 Grand Cayman, KY1-1108 Cayman Islands Telephone: (345) 815-0095 Email: newsdesk@compassmedia.ky ADVERTISE WITH US: T: (345) 949-5111 E: sales@compassmedia.ky W: caymancompass.com NEWS EDITOR CAROLINE JAMES BUSINESS EDITOR MICHAEL KLEIN ISSUES EDITOR JAMES WHITTAKER LIVING EDITOR VICKI WHEATON HEAD OF SALES CHERYL BIRCH-GILLIES cayman compass 2 N news FRIDAY, 25 MARCH 2022MICHAEL KLEIN mklein@compassmedia.ky The most visible symbols of the hunt for Russian riches have been the yachts, aircrafts and mansions that offer tangible evidence of extreme wealth. But the attention on these physical, photographable luxuries may be diverting focus from the much larger Russian financial assets that could also be subject to sanctions. Tracing Cayman’s exposure in the more obscure, but potentially much larger, area of investment funds is more challenging. Chasing the Chelsea billionaire Perhaps the most famous of all Russian oligarchs, Roman Abramovich’s wealth extends far beyond the ownership of Chelsea Football Club, which he is now being forced to sell. The New York Times reported on Monday, 21 March that the now- sanctioned Abramovich had invested billions in US hedge funds and private equity funds over the past two decades. Using a circuitous investment strategy involving a small Austrian private bank and a string of offshore companies, the origin of the funds remained unknown to most involved. The newspaper detailed one such transaction in the form of a US$20 million investment made by a British Virgin Islands company through a Cayman Islands fund. None of the fund’s directors, including from Cayman Islands governance firm Highwater, nor the fund manager, were aware that the investment, facilitated by small New York advisory firm Concord Management, had come from Abramovich, the article stated. It added that the fund’s administrator GlobeOp, now owned by SS&C Technologies, had also not raised any red flags or indicated higher-than-usual money-laundering risks because a so-called politically exposed person might be involved. Even if the fund managers had known the money had come from Abramovich, they may have accepted the investment, because he was not sanctioned at the time. Since Russia’s invasion of Ukraine, Abramovich has been sanctioned by the UK and the EU for his close ties to President Vladimir Putin. However, investigators at financial services firm State Street filed several suspicious activity reports as early as 2015 and 2016 related to US hedge fund investments made by Abramovich through shell companies in Cyprus and the BVI, Buzzfeed reported last week. State Street investigators alerted the US Treasury to court records that showed Abramovich had made “substantial cash payments” in Russia for “political patronage and influence”. They also detailed that the corporate structures that held the approximately $1.3 billion in US fund investments from 2001 to 2016 had frequently changed, potentially to conceal their ownership, the report said, citing documents from a 2019 leak of several thousand FinCEN suspicious activity reports. Financial institutions must file suspicious activity reports under anti-money laundering laws and regulations. By definition, the reports identify transactions that appear suspicious and may lead to further investigation by law enforcement but are not necessarily evidence of any wrongdoing. ‘Krysha’ or corruption? The court records referenced by State Street stem from Abramovich’s legal battle with former business partner Boris Berezovsky, which played out in London’s High Court in 2012. In the case, Berezovsky claimed Abramovich had used threats of expropriation to force him to sell his stake in oil company Sibneft at a significant undervalue – for $1.3 billion. Abramovich’s defence was that Berezovsky had never been a beneficial owner of any Sibneft shares. Instead, the substantial cash payments to Berezovsky had been made so that Abramovich and Sibneft would enjoy Berezovsky’s political patronage and influence. The High Court judgment goes on at length to explain that this type of support was known in Russia as ‘krysha’ a term that literally means ‘roof’ but was also widely used to describe ‘protection’ services provided by organised crime. ‘Krysha’, according to Abramovich’s claim, was indispensable to building a major business in the conditions in Russia following the fall of the Soviet Union in the 1990s, where the effective rule of law was largely absent and legal processes were defective. Rather than representing nepotism or corruption, such payments, worth hundreds of millions of dollars, were owed to existing power structures in Europe’s ‘Wild East’ at the time, his legal team suggested. In March, Labour MP Chris Bryant quoted from an internal UK Home Office document in the House of Commons, suggesting that the British government disagrees with that interpretation. “I’ve got hold of a leaked document from 2019, from the Home Office, which says in relation to Mr. Abramovich: ‘As part of HMG’s [Her Majesty’s government] Russia strategy aimed at targeting illicit finance and malign activity, Abramovich remains of interest to HMG due to his links to the Russian state and his public association with corrupt activity and practices’,” Bryant told Parliament. Russian assets in Cayman unknown It is not known how much money of the estimated more than $800 billion in Russian offshore assets is held in Cayman companies and other entities. Traditionally, Cyprus and the British Virgin Islands have been the preferred locations for Russian asset-holding companies. A 2018 report by advocacy group Global Witness suggested that five times more Russian money is held in British Overseas Territories than in the UK itself. The report followed the poisoning of Sergei Skripal in Salisbury. It stated, based on data from the International Monetary Fund and Russia’s central bank, that money invested in the Overseas Territories accounted for 12% of all Russian investments outside of Russia. Whether Russian assets held offshore and invested through Cayman would be classified as Russian is not clear. $2.6 billion Cayman investments directly from Russia Statistics from the Central Bank of Russia indicate the country’s portfolio investments in the Cayman Islands amounted to $2.6 billion as of 30 June 2021, the latest available figure. Of this, $2.06 billion was invested in equities and $553 million in debt. Given the size of investment flows through Cayman each year, this would represent less than 1% of all portfolio investments. Ireland has the largest exposure to Russia’s portfolio investments with $25.3 billion. Irish-domiciled funds, in turn, held almost €13 billion of Russian stocks and bonds as of last September, at a time when the Moscow stock market peaked at a record high, the Irish Times reported. The US ($21.2 billion) and the UK ($17 billion) trail Ireland, while Cayman is number seven in the world for Russian portfolio investments, according to Central Bank of Russia statistics. Missing US Treasuries However, not everything is captured by these statistics, as information on cross-border flows and financial counterparties can be incomplete or difficult to attribute. When, in 2018, Russia’s central bank reportedly sold $81 billion of its $96 billion holdings of US Treasuries to avoid future sanctions, $38 billion went missing in official data. Two economists at the US Council on Foreign Relations concluded that to protect the bonds against US seizure, Russia had simply moved the Treasuries, mainly to Belgium, the home of custodian bank Clearstream, and to the Cayman Islands. Whether these approximately $15 to $20 billion in Russian-held US Treasuries are still in Cayman is not clear. As of January 2022, Cayman entities owned US government bonds worth about $271.1 billion. Russia’s foreign debt mainly raised in Europe Another potential source of financial exposure to Russian assets comes in the form of special purpose vehicles for bond issuances and other types of fundraising. Statistics from the Bank for International Settlements show that companies from emerging market economies tend to raise most of their debt through offshore affiliates. China is by far the largest, with Chinese companies raising funds mainly in the Cayman Islands or the British Virgin Islands. Russian companies, in contrast, borrow mainly in advanced economies such as the Netherlands, Luxembourg or Ireland. Dublin’s International Financial Services Centre, for instance, is home to €36 billion of assets in Russian- linked SPVs used to raise funding. Abramovich investments highlight Cayman’s unknown Russia exposure Russian oligarch Roman Abramovich stands in a VIP lounge before a jet linked to him took off for Istanbul from Ben Gurion international airport in Lod near Tel Aviv, Israel, March 14, 2022. – Photo: File The newspaper detailed one such transaction in the form of a US$20 million investment made by a British Virgin Islands company through a Cayman Islands fund. cayman compass 3 news N news FRIDAY, 25 MARCH 2022- Photo: Seaford Russell Jr 1234567 89 101112 13 1415 16 171819 20 212223 2425 1234567 89 101112 13 1415 16 171819 20 212223 2425 ACROSS 1 To voice (7) 5 Language of Ancient Rome (5) 8 Ruthlessly competitive (9) 9 Set of equipment (3) 10 For fear that (4) 12 Very hot day (8) 14 Place of business (6) 15 Hasty untidy writing (6) 17 Physically present (2,6) 18 Pack tidily (4) 21 Eccentric (3) 22 Colluding (2,7) 24 Sortie (5) 25 To empty (7) DOWN 1 Be pre-eminent (5) 2 Learned exactly (3) 3 Repeat (4) 4 Walk with stooping gait (6) 5 Ability to read and write (8) 6 Be encouraged (4,5) 7 Inherent (7) 11 Play down (4-5) 13 Dearth (8) 14 Inauspicious (7) 16 Involuntary (6) 19 Refuse (5) 20 Gaming counter (4) 23 Be indebted to (3) The Compass Crossword Puzzle The Compass universal kakuro Puzzle 16961 The numbers in the black cells are clues. Numbers above the slash are across clues. Number below the slash are down clues. The goal is to enter digits 1 - 9 in the white cells to add up to the number clues. You cannot enter any digit more than once when adding up to clue. TODAY'S SOLUTIONS Puzzle 16961 ACROSS: 1 Express, 5 Latin, 8 Cutthroat, 9 Kit, 10 Lest, 12 Scorcher, 14 Office, 15 Scrawl, 17 In person, 18 Stow, 21 Odd, 22 In cahoots, 24 Sally, 25 Deplete. DOWN: 1 Excel, 2 Pat, 3 Echo, 4 Slouch, 5 Literacy, 6 Take heart, 7 Natural, 11 Soft-pedal, 13 Scarcity, 14 Ominous, 16 Forced, 19 Waste, 20 Chip, 23 Owe. Work permit challenges hamper tourism industry My question is, why only de- pend on work permits when there are many young Caymanians who are leaving school that can get a job? But you all depend highly on work-permit holders. Just a slap to our face. Then you wonder why there are many young Caymanians who are jobless. – Jamie Montero The (Cayman Islands Tour- ism Association) and the hotels explained long ago the number of staff vacancies they needed to fill, and what their expectations were from hiring local. The number of vacancies is/was higher than the total number of people collecting the stipend. They have hired, attempted to hire, and will continue to hire locally. But that was never going to be enough to fill their needs. The work permit processing time is an embarrassment, and like the article says, people cannot wait forever and accept other jobs, which starts the process and end- less wait all over again. – Scott Ebanks-Bodden Where are all these permit holders going to live? All the ac- commodation must be in a real mess now after two years! – Andrew Theaker All this is to force government to allow permits! Hire the required Caymanians and train them. Is that so hard when expats on permits don’t have the experience or quali- fications either? – Phyllis Parchment There are 1,700 Caymanians getting $1,500 a month not to work and there are hundreds of job openings. Does anyone see a problem with this picture? – Bruce Leibowitz They would have better luck hiring Caymanians if the pay rate was a livable wage; that might be part of the problem. – Natascha Schroll-McLaughlin If it’s necessary to hire import- ed labour, who, exactly, is benefit- ing from this industry? – David Wolfe As much as I believe that our Caymanians need to work, they do not have the relevant experience to sustain the demands businesses will have and that is what is lost in this process of decision making. It has to be a good balance. – Yvette Katrina Disney brings the ‘Magic’ of cruise back to Cayman A very welcome sight to have to cruise ships back. A lot will com- plain but tourism workers need to live so it’s great to have them back. – Dahlia Roberts Waiting for all the people com- plaining that cruise ships are the basis for all the problems in their life in 3...2...1... – Jan Morgan A firefighter works to put out a blaze on Tuesday, 22 March. The Cayman Islands Fire Service responded around 3pm to a 911 report of a brush fire at Compass Drive, George Town. Once on scene, the Fire Service confirmed that an old sewage treatment plant was engulfed in flames, along with nearby brush. Fire crews were able to extinguish the fire without incident. Witnesses told the Compass that it was put out in minutes. No injuries were reported. Dousing the flames I write with some dismay following the publication of [19 March]’s email news digest regarding the abandonment of COVID testing for cruise line passengers and the prejudice shown to air passengers. https://www.caymancompass.com/ 2022/03/18/return-of-cruise- passengers-will-not-be-required-to- test-before-they-disembark/. As an air passenger (arriving from the UK), I would take a test prior to departure. This means that I would essentially isolate at home (or at least stay well away from as many people as I can) for 7-10 days prior to the test to ensure I am clear to travel. On the plane I wear an FFP3 valve mask as well. My time on the island is typically in self- catering accommodation only with my wife (pre-COVID we spent most Christmas periods in Cayman). Compare that with a cruise passenger who is tested once, 7-10 days before boarding the vessel, then mixes with thousands on the ship every day; eats using a shared cafeteria multiple times each day; interacts with different people on different islands each day. Tell me who has the greater number of daily interactions? Who is at greatest risk of catching and passing COVID? Not the air passenger, that’s for sure. Look, I get it. The desire here is to increase the number of visitors to the island for the benefit of the local economy and for the general enjoyment of the holidaying public. All I ask is that you treat air passengers with the same degree of acceptance. Anthony Miller Pre-departure testing policy unequal between cruise and stayover visitors pic of the week What they’re saying Online Letters to the editor cayman compass 4 news N news FRIDAY, 25 MARCH 2022PLEASE TURN TO PAGE 11» cayman compass 5 news N news FRIDAY, 25 MARCH 2022 RESHMA RAGOONATH rragoonath@compassmedia.ky The sight of Disney Magic’s colourful vessel on the horizon on 21 March elicited excitement and sighs of relief for those who had been waiting for a long two years to see the return of cruise tourism to the Cayman Islands. As the ship’s trademark Mickey Mouse logo came into view, the sweet strains of soca, accompanied by the roaring of tender engines, signalled that Cayman was officially back in the cruise business, rolling out the figurative red carpet for the 1,493-passenger cruise ship. “We’re all excited. It’s not about me and my ministry or my government, it’s about the people in the Cayman Islands. It’s about our second pillar of our economy getting back on its feet. This is the first step. Just think about a baby trying to get back to walking, and travelling again and that’s what today [21 March] is about,” said Tourism Minister Kenneth Bryan, who led the welcome party gathered at the Royal Watler Cruise Terminal. He said the return of cruise tourism was a significant milestone for the jurisdiction. Cayman will not see 2019 cruise numbers in the immediate future, Bryan said, adding the cruise industry may never go back to that volume of passengers, as he assured critics that a managed approach will be taken. “The cruise lines themselves are having their own trust factors that they have to deal with; they still can’t sail at 100%. They are having their own internal problems. So it may just pan out to be exactly the number that we need that doesn’t affect us negatively in our commutes and our natural resources and so on. But we will continue to take that assessment over this period. That’s why I wanted to do a phased approach, watch and see how far we go rather than ticket too much and have to pull back,” he said. Six ships called on Cayman from 21 to 25 March, rounding off the first week of phase one of the staggered return. The five other ships were Carnival Paradise, Carnival Sunrise, Celebrity Apex, Carnival Glory and Emerald Princess, with passenger numbers ranging from 1,500 to 3,100. Caymankind welcome An air of celebration greeted Disney Magic passengers on 21 March as the first passenger tender came into sight. There was excitement not only for those gathered to welcome them, but also from the cruise shippers themselves who arrived onshore around 8am. “It feels great to be here. We’re excited to be here and I know you’re all excited for us to be here,” said the first passenger to step off the tender at the cruise terminal. The passenger, from North Carolina, said that it was not the first visit to Cayman for him and his wife, but it was their first onboard the Disney Magic. The couple both expressed excitement at being able to return here and they were headed to “swim with the dolphins first”. With tender engines roaring and soca music blaring, the passengers, many with families in tow, waved and took photos of the live music and dance performances from Dream Chasers as well as with the pirates on hand to welcome them. Disney Magic was the only ship scheduled for day one, which the minister said was a “good thing”. “Being one ship, I think the passengers will get the real Caymankind and proper attention… we’ll learn from today, whatever little things we need to tweak. Wednesday [23 March] we’ll have more ships, that we’ll be even more prepared [for]. But we just shake off the rust and get back to what we have always delivered which is great tourism,” Bryan added. Getting back to work ‘a blessing’ It was an emotional moment for interim Port Authority Director Elizabeth McField and her team, as she said they have been waiting for this moment. “We just really have a product that we should be proud of today. This is a huge moment, and I feel really, really proud of the team at the Port Authority who worked very hard, and everybody here today in tourism... I’m very happy with everything that has occurred since we started preparing for this a few weeks ago,” she said. For Kirk Freeport’s vice president of operations, Christopher Kirkconnell, seeing George Town getting back to a bustling hub was a more than welcome return to “closer to normal”. “Walking through town now and seeing many of the stores that have been shuttered for two years beginning to re-open and life being breathed back into our capital gives a lot of hope that we will soon have the worst of the pandemic in the rearview mirror,” he told the Cayman Compass in an email response to queries. Kirk Freeport, like many of the businesses on the waterfront, was hit hard with the border closure. It was forced to close one of its Cardinall Avenue shops and relocate staff. Now that things are moving again, Kirkconnell said, they are ready for business. “Tourism has always played a large role in most of the businesses in George Town and cruise is a large part of the volume for tourist traffic. This has been missing and many of the supporting businesses have been dormant since March 2020. We have always made local clients a priority for us and we would not have weathered the last two years the same without strong local support. We have been operating a much smaller number of stores, but Cayman is in a unique position compared to many other Caribbean islands, with having the financial industry as such a major pillar that we had the luxury of not having to force our borders open earlier. Between the boom in the financial sector and also in construction, we have been able to Phased return of cruise not all plain sailing SHIP SCHEDULE STARTING 29 MARCH Cruise ShipDate Maximum Passenger Capacity Disney Fantasy29 March 20224,000 MSC Seashore29 March 20224,560 Celebrity Reflection30 March 20223,480 Rotterdam 31 March 20222,650 Celebrity Edge 1 April 20223,385 Carnival Vista6 April 20224,977 Carnival Paradise6 April 20222,697 Carnival Sunrise6 April 20223,920 Celebrity Apex7 April 20223,385 Carnival Pride8 April 20222,680 MSC Seashore12 April 20224,560 Carnival Pride12 April 20222,680 Carnival Horizon13 April 20225,101 Celebrity Edge13 April 20223,385 Celebrity Equinox17 April 20223,148 CRUISE SHIP RULES All crew must be vaccinated No COVID-positive passenger or crew will be allowed to disembark. Children 12 and under will be given the same vaccination status as the adults in their group Final dose of a Cayman Islands-approved vaccine must be completed at least 14 days prior to the start of voyage Only fully vaccinated passengers over 12 will be allowed to disembark. Disney Magic was the first cruise ship to arrive in the Cayman Islands since borders were closed in 2020. - Photos: Taneos Ramsay→ gov.ky/booster Keep Up Your Protection COVID-19 boosters are proven to help prevent severe illness, hospitalisation, and death. Everyone 18+ can now get a booster to keep up their protection. Lack of staff impacting capacity at hotels JAMES WHITTAKER jwhittaker@compassmedia.ky Recruitment challenges are impacting the recovery of the tourism industry as Cayman’s businesses attempt to bounce back from COVID-19. Optimism has surged with restrictions lifted and airlines and cruise ships beginning to return. But, staffing up to meet those visitors with high quality service is the next big challenge hampering the industry. For the big hotels, in particular, recruiting enough chefs, cooks and wait staff to run 24/7 food and beverage service is proving a significant challenge. Many hotels, including The Ritz-Carlton, Grand Cayman are unable to run at full occupancy, partly because they can’t staff their restaurants adequately. Some industry leaders have highlighted concerns over the slow processing of work permits, claiming it is hindering the ability of hotels to fully reopen and hampering their attempts to put Caymanians back to work. Premier Wayne Panton said his government was keen to ensure Caymanians were given first priority as jobs open up in tourism. But he acknowledged that government may not have got the balance right in ensuring work permits were processed and granted where they were genuinely needed. Michael Tibbetts, secretary of the Cayman Islands Tourism Association, said it was a myth that allowing work permit holders to return would stifle Caymanian employment. In many cases, he believes the opposite is true. Right now, Tibbetts said, the islands’ major hotels are unable to open up all their rooms because they can’t get the staff to service the guests. The biggest challenge is sourcing food and beverage staff locally. “There are a relatively large number of permits needed for those positions, but by having those posts filled you create front-office jobs, you create housekeeping jobs, you create business for water sports and tour operators. There are downstream impacts throughout the industry.” Work-permit delays He said processing permit applications for those jobs in a timely manner would allow hoteliers to open up more of their resorts and create more jobs in positions where there are more Caymanian applicants, like concierge services. “We’ve had cases where work permit applications went in last September and were approved in the last month. Obviously by that time the applicant has taken another job.” Tibbetts, who runs Clearly Cayman resorts, which has dive resorts on all three islands, said every other businesses in the industry is impacted when hotel beds aren’t filled. Marc Langevin, president of CITA and general manager of The Ritz-Carlton resort, said several of the hotel’s restaurants remain closed and capacity is being restricted to around 50%. “We can’t put people in the rooms if we can’t service them when they come out,” he said. Langevin acknowledged it was a ‘good problem’ compared to the issues of the past two years, but said it was a problem nonetheless. Numerous recruitment fairs and events have failed to identify sufficient numbers of applicants for food and beverage positions, he said. “Every job fair, every recruitment drive that we have done, identified clearly that there are not enough local applicants in those job categories,” he said. “That is something we can hopefully change in future. Perhaps we need to do something fundamentally different as a country to attract more people into those jobs but that doesn’t help with the present situation.” Water-sports and buses impacted Bill Edwards, of Red Sail Sports, said there were also challenges in recruiting for the water-sports industry. He said there was a shortage of qualified applicants for dive instructors and catamaran crew, among others. “There is a global worker shortage that is impacting everybody. We are in the same boat as everybody else,” Edwards said. Nigel Mitten, of Majestic Tours, said transport operators were feeling the impact. He said he was unsure how many buses he would be able to put into service at any one time because of recruitment issues across the industry. There are specific concerns about the level of bureaucracy required to hire drivers for public transport and the time it is taking to get new recruits registered. The Compass is investigating these issues for a separate story. But Mitten also highlighted knock-on impacts of the recruitment challenges facing the hotels. “If the hotels aren’t able to open up all their rooms, then there is a trickle-down effect. There is not enough demand for buses, taxis, spaces in restaurants. It all filters through. “There is no point us hiring 20 bus drivers if the hotels are at 40% occupancy.” Panton seeks balance The premier, speaking at a press briefing on 18 March, said there could still be as many as 1,700 Caymanians unemployed, based on census data. He said his administration was doing everything it could to ensure they had opportunities to get back to work. But he acknowledged, “We have to recognise as a government and as a country, that the private sector needs the staff… in order to provide the products and provide the services that they’re known for. Otherwise, it’s cutting off our nose to spite our face.” He said it was in Cayman’s best interests to ensure that businesses were in a position to provide the level of service the Islands are famous for. He said government would “make adjustments” and try to ensure the balance was right in future. Many hotels aren’t operating at full occupancy, partly because they can’t staff their restaurants adequately. - Photo: Taneos Ramsay Work-permit challenges hamper tourism recovery cayman compass 6 news N news FRIDAY, 25 MARCH 2022RESHMA RAGOONATH rragoonath@compassmedia.ky In a comprehensive letter to government, Business Staffing Plan Board chairman Richard Barton said there is an “urgent need” for legislative reform to address the ongoing abuse of the work-permit application process that is increasingly detrimental to Caymanians. “The BSPB has noted what it perceives as a clear abuse of the process by some applicants that, for whatever reason, appear more determined to either recruit from abroad or retain their incumbent work permit holder at the expense of the Caymanian and holder of a [Residency and Employment Rights Certificate] counterpart,” Barton said, in a 1 March letter to line minister Deputy Premier Chris Saunders. He pointed to the “misguided perception that a work permit is a right rather than a privilege”. The four-page letter, also sent to Premier Wayne Panton, Commerce Minister André Ebanks and Workforce Opportunities and Residency Cayman officials, outlined the board’s challenges and addressed criticism of the system levelled as recently as this month. At the same time, tourism leaders seeking to get their businesses staffed for the increase in visitors, are being hampered by work-permit delays (see page 6). These delays appear unlikely to change without proper law amendments to address the board’s concerns, Barton said. “The increased demand and urgent need to expand the hospitality industry labour force, unless interim legislative reform is considered, will continue to outpace the resources of the BSPB in the short to medium term,” Barton wrote. In laying out the board’s challenges, the attorney said, they have witnessed “the clearest evidence of this [abuse] and sought to change the misguided perception that a work permit is a right rather than a privilege”. Saunders, responding to Compass queries on the letter, stood by Barton’s assertions. “There is a need for reform and our agenda is taking a multifaceted approach to the issues,” the deputy premier said in his statement (see page 15). “It is no secret that some medium-to-large employers have not consistently provided opportunities to Caymanians who are qualified, experienced, willing to work and progress. This culture needs to change. Our people must be given those opportunities as required by law,” he said. Saunders pointed out that the correspondence from the Business Staffing Plan Board has “validated what my colleagues and I have been hearing from our constituents. “It also confirms that these historical challenges existed well before the election of the PACT Government. As in every crisis, there are always opportunities to learn. The global pandemic allowed us to take a very hard look at not only the unemployment trends, but also the trends in underemployment. Both are equally bad and perhaps more so underemployment, as if it becomes entrenched, it hides the impact on productivity and wage growth,” Saunders said. Barton argued that there must be a “universal desire” by all related agencies, as well as the public and private sector, “to honour the well-established legislative mandate to make Caymanians and holders of a RERC a priority. “After all, this is not a distant concept and has always been the law. The BSPB is not prepared to countenance any request for work permits in circumstances where there are Caymanians and holders of a RERC duly equipped and available to fill the relevant positions,” he said. ‘Systemic abuse’ A copy of Barton’s letter has been obtained by the Cayman Compass, in which he expressed frustration over the public pressure being brought to bear on the board as it seeks to carry out its mandate. In laying out the issues the board has encountered, Barton reported that they have “continually witnessed eligible Caymanians and holders of RERC deliberately shut out from the recruitment process only to pave the way for a work permit application. “This practice now appears to be systemic with some applicants that have operated in the Cayman Islands for several decades”, demonstrating no desire to hire Caymanians and holders of RERCs. “Once again, this is not a novel encounter and to suggest otherwise can only be regarded as an act of willful blindness,” he wrote. Barton, in the letter, noted that successive administrations have agreed upon a “common desire” to enhance the board’s regime to ensure its legislative objectives are met regarding hiring Caymanians and holders of an RERC. “This would be a welcome approach and the BSPB is readily available to further develop” all these issues, he said. “An initial step in the process is the urgent need for legislative reform to increase efficiency and repair the unfortunate and unfair perception of the BSPB and WORC.” Barton pointed to periodic complaints received from “aggrieved” Caymanians and RERC holders about the behaviour and practices of various applicants and work- permit holders. “It is often the case that the author of such complaints is fearful that they will be alienated and ostracised by the applicant or a particular industry,” he said, suggesting that efforts be made to train and utilise the resources of WORC’s compliance division to determine the veracity of such complaints. “This is a very serious concern and places the BSPB in a difficult situation, given the obligation to refuse applications that are deemed contrary to the local interest of Caymanians and holders of a RERC,” he said. Saunders said that the WORC compliance team “is working closely with its boards to investigate concerns and ensure those found in breach of the law are fined or prosecuted”. Backlog not new Barton acknowledged that there are numerous applications that have remained unprocessed for several months. “This issue of the backlog is not one that is novel and has been plagued by what appears to be historical legacy issues. At the core of this issue is the frequent submission of incomplete applications, the consequence of which is self-evident,” he said. Barton explained that in recent years two additional factors have seemed to exacerbate the backlog issue. “First, the global pandemic which, by its nature, undermined the efficiency of the process. Second, the 2021 elections which brought about a change in the government naturally caused further disruption, as would be expected in any scenario where an administration is replaced after two consecutive terms in office. Indeed, this factor has compounded the delays,” he wrote. However, Barton said, the board has increased the frequency of meetings to address the issue, with two business days dedicated each week to give “due weight and attention to each application received”. He said an average of 50-75 agenda items are settled per meeting, which “nearly doubles the pace of the previous Board that processed some 75 agenda items per meeting once weekly. “At twice per week, members have devoted approximately 40% of their professional commitments solely to meet the Between April 2021 and Feb. 2022, WORC has deferred 10,600 applications for work permits and renewals, and refused 2,687. Staffing board chair: ‘Urgent need’ for reform of work-permit process Business Staffing Plan Board chairman Richard Barton. - Photo: Taneos Ramsay “The BSPB has... sought to change the misguided perception that a work permit is a right rather than a privilege.” CONTINUED ON PAGE 10 cayman compass 7 news N news FRIDAY, 25 MARCH 2022BRITCAY INSURANCE SCHOLARSHIP Are you a young Caymanian considering a career in the growing Insurance industry? British Caymanian Insurance Company Limited (CG BritCay) wants to hear from you. The CG BritCay Insurance Scholarship has a maximum value of US$25,000 p.a. for up to two (2) years towards tuition, books, accommodation, airfare and meals. Caymanians or permanent residents with a minimum GPA of 3.0 or higher, who are undergraduate students entering their junior or senior year at an accredited university, and pursuing studies in the following concentrations may apply: • Insurance• Risk Management•Actuarial Science • Mathematics•Economics• Business or Commerce Your career in insurance could start with a US$25,000 scholarship. To learn more or apply go to https://cayman.cgcoralisle.com/scholarship or email us at KY_HR_Manager@cgcoralisle.com. Deadline: 31st May 2022 British Cayman Insurance Company Limited BritCay House, 236 Eastern Avenue, P.O. Box 74, George Town, Grand Cayman KYI-1102 12 Kirkconnell Street, P.O. Box 254, Stake Bay, Cayman Brac KY2-2101 Grand Cayman Tel: 949-8699 | Cayman Brac Tel: 948-1760 A member of Coralisle Group Ltd. performed,” said Malonia. She said she had been terrified of losing her daughter, who spent almost a month in hospital in Cayman, much of that time on a ventilator, before being flown off island for emergency surgery. Because she had no valid insurance at the time she was diagnosed, the transfer was funded by community donors co-ordinated by charity Acts of Random Kindness. The hospital in Jamaica performed the surgery at no cost. “ARK and the people that donated to them have been the angels in our life and we are eternally grateful to them,” said Malonia, who works as an agriculturist and part-time educator in Cayman. “I know it would have been a diverse population that was touched by Imani’s story and responded. We will always be grateful for their support.” She said her daughter was still feeling some discomfort from the surgery but was in good spirits and looking forward to coming home. She asked for her favourite snacks – apple juice and Lay’s potato chips – when she came out of surgery. And watching Peppa Pig on her iPad helped take her mind off the pain, said Malonia. “That’s what she wanted to watch for comfort,” she added. “She is an exceptionally strong child. If you explain something to her, she understands and she accepts it.” She said Imani had called her dad, Omar, on the phone every day. The experience has been “life changing” for the entire family, including Imani’s two older sisters. “This situation has brought us, as a family, closer to God,” Malonia added. She said the events and the support of the Cayman community have redoubled their commitment to give back to the island they call home. Omar, Malonia and Imani moved to the island in September from Jamaica. But complications with their insurance meant their daughter was not covered and the medical bills are now mounting up. ARK raised almost $40,000 in less than a week to help the family – just over half of which funded the evacuation flight. The rest will go towards paying off a six-figure bill at the Health Services Authority, Tara Nielsen, the charity’s founder, told the Compass. “On behalf of the family we would like to share infinite appreciation for the kindness and generosity of the community that enabled Imani to get off the island and have her life-saving surgery,” she added in a statement. “For Imani we received donations of all sizes and every cent made this miracle possible.” ‘Miracle’ helps save baby Imani after suspected COVID complications Imani, 3, wanted chips and apple juice after her surgery. - Photos: Supplied The little girl is a fighter, her parents said. JAMES WHITTAKER jwhittaker@compassmedia.ky A toddler, who suffered severe lung issues believed to be linked to the COVID-19 virus, successfully underwent life-saving surgery in Jamaica on 21 March. Three-year-old Imani Hanson was flown out of Cayman on a specially chartered medical evacuation flight last week. She had suffered a collapsed lung, among other complications, that doctors believe could be linked to the virus. Imani underwent two surgeries at the Bustamante Children’s Hospital in Kingston. Her mother Malonia told the Compass 22 March that the operations had gone well and she is breathing normally and is expected to make a full recovery. “I thank God every minute for the miracle he has cayman compass 8 news N news FRIDAY, 25 MARCH 2022cayman compass 9 FRIDAY, 25 MARCH 2022 Are you over age 45? Shhhh we won't tell anyone! If so, annual breast screening is an important way to look after your health. Breast screens can find cancers that are too small to see or feel. The earlier breast cancer is found, the better the chance of a positive outcome. For the month of April, we are offering a mammogram and initial follow-up consultation with Surgical Oncologist and Oncoplastic Breast Surgeon Dr Rashmi Sharma for only US$150. Book your mammogram today, call 525-8871 or email breastclinic@healthcity.ky Prioritise your breast screening with our promotional pricing for the month of April WWW.HEALTHCITY.KY If you're age 55+ your mammogram is due every 2 years. Mammogram scans are at Health City's hospital in East End. Consultations with Dr Rashmi can take place in East End, Camana Bay, or the patients can opt for a virtual consultation. Reporting turn-a-round time is within 48 hours. Appointments must be made and taken during the month of April 2022.Next >