15th June 2018
Honourable Mr. Victor Banks
Chief Minister of Anguilla &
Minister of Social Security
Government of Anguilla
The Secretariat
The Valley
Anguilla
Dear Mr. Banks,
Re: Retirement as Chairman of the Anguilla Social Security Board
Pursuant to our conversation at a Anguilla Social Security Board meeting in January of this year, I wish to formally inform you that as my tenure on the Board ends on June 25th 2018, please note that I have no desire to continue as Chairman. let me also through this medium publicly thank you for affording me the opportunity to serve in the capacity as Chairman of the Anguilla Social Security Board for the past three (3) years. I am very humbled to have another pivotal leadership role for the strategic management ofhuman capital on the island. Today the Social Security Fund is by far the lifeline and most important fund taken into contextthe reality of our current situation, even more since the recent passage of Hurricane Irma.
I would also like to publicly thank the members of the Board, management and staff for their invaluable support during my time as Chairman. As a human resources professional, it has always been my passion to focus on building relationships in people centered work spaces, where employees feel valued and are treated with fairness and respect. I am happy to report that members of the Board, in collaboration with management and staff, and a Caribbean Consultant, recently developed and signed off on a new and dynamic three (3) year strategic plan with a vision to transform the Anguilla Social Security Board into “a smart, resilient, diversified, inclusive and green economy with universal social security coverage and full employment; enabled by a customer.” It is expected that a presentation ofthe same will be made to Cabinet or Executive Council in the near future.
Although the Anguilla Social Security Board is in good standing with assets totaling approximately EC$350 Million, we must be mindful and very vigilant of the global challenges affecting social security schemes worldwide. For example, an ageing population can lead to relatively reduced levels of contributions and increased expenditure. We are also vulnerable to be impacted by natural disasters, most notably in our situation, hurricanes. High levels of unemployment and underemployment are other challenges that we are to this date experiencing in some sectors before and after Hurricane Irma. Thanks to the support of your Administration and other Government Departments, in 2017 the Board introduced a Temporary Unemployment Benefit to assist employees who were negatively impacted by Hurricane Irma. It is my hope that this initiative will become a permanent feature after an holistic and inclusive review be done with all stakeholders including, not just Government and the Social Security Board, but also employees and employers alike.
As the outgoing Chairman, I wish to reiterate that social security is not only a fundamental human right. Social security can also help to address a wide range of socio-economic challenges that directly affect its contributors, beneficiaries and the island on a whole. The Board needs to keep the sacred trust where the promise to pensioners and other benefit recipients can be fulfilled. Additionally, and that the fund is sustainable and is able to meet the needs of current generations without compromising the needs of future generations. That being said, whenever social security funds are being used and invested, the Board has to ensure that there is always a return on investment directly or indirectly.
“The downturn in the economic climate has led to low returns on social security investments in some areas, which is impeding upon the potential beneficial impact that the investment of social security reserves could have on the overall economy.” Government, however, needs to urgently revisit and amend the current legislation giving social security the authority to invest in some traditional sectors left vacant by our two indigenous banks. For example, social security in conjunction with the Anguilla development Board can address the issue of purposebuilt low-income housing and offer to contributors and beneficiaries at reduced interest rates. Additionally, the cost to produce electricity is very high which is also passed on to consumers. There is much talk about renewal energy which is more cost effective. Social security can also play an integral role by investing in this area to ease the financial hardships of all stakeholders and the island on a whole. These are just a few of many opportunities available, if implemented will undoubtedly bring some immediate financial relief to all. Finally, the returns on these investments will be definitely higher to what social security is currently receiving from some institutions.
We have to be visionary in our approach and to think creatively outside the box to ensure that the Anguilla Social Security Board is around for many years to come, while at the same time helping to alleviate the burdens of all stakeholders and to improve the standard of living for all. Failure to do such, we will be only managing and not leading.
May God continue to bless the Anguilla Social Security Board and Anguilla in general.
Yours sincerely,
Russel Reid
CC: Dr Aidan Harrigan , Permanent Secretary, Ministry of Finance, Mr. Tmothy Hodge, Director Social Security, The Media
(Published without editing by The Anguillian newspaper.)
