BASSETERRE, St. Kitts – AS companies continue to be burdened by the crippling effects of the international economic crisis, Red Sail Sport has announced its intention to cut most of its staff and close one of its popular outlets.
Speaking exclusively to SKNVibes, Operating Manager Harvey Lang informed that by the end of this week (May 16) the Red Sail catamaran service would leave the island, and by the end of May its Port Zante store would be closed. He said that the decision to close would put the four-member catamaran crew and the six-member Port Zante staff into unemployment but maintained that the Marriott outlet is going to remain open until further notice.
“We cannot continue sustaining our losses. Although the decision is not good for the business and for the island, it was strictly a business decision. It was a corporate decision because we cannot afford to keep holding on to losses posted on our books. It is what it is. If we had more tourists on the island then we probably wouldn’t have to come to this decision,” he said.
Lang said the Labour Commissioner and staff members were previously informed in reasonable time and added that all necessary payments would be made.
“We have been in discussions with the Labour Commissioner for over a month now. We informed the employees about two weeks ago and we have made arrangements to make severance payments,” Lang said.
The Operating Manager described the decision as “unfortunate” as he explained that the company did not foresee such challenges having experienced a promising spring season. He declared that although the company has no intention of cancelling all operations on the island, the possibility exists that the Marriott outlet may be closed if the situation worsens.
“I don’t see anything happening by this time next year since plans for travel are usually made a year in advance. There is the potential for the entire business in St. Kitts to be closed since we are doing dramatic cutbacks. We are trying to consolidate with the Marriott store, but if there is not even business there or our expenses exceed our revenue then they [Red Sails Executive] would probably pull the plug there,” Lang added.
Lang said the company is keeping its business licence and maintained that the corporation is not going to “be folded on the books”. When asked about reopening the company’s outlets once the nation benefits from an economic upturn, Lang said he is uncertain as to the steps that would be taken by management.
