National

Businessman: NIB Rate Hike Will Force Price Increase

NASSAU, BAHAMAS – It’s a stark reality for many businesses as businesses and employees prepare for a 1.5% hike in National Insurance contributions.

Published

1 month ago

March 15, 2024

Berthony McDermott

NASSAU, BAHAMAS – It’s a stark reality for many businesses as businesses and employees prepare for a 1.5% hike in National Insurance contributions.

NIB Minister Alfred Sears revealed this past week the increase set for July 1st, will be split between the employer and the employee.

The way Superwash franchise owner Dionisio D’Aguilar sees it, there are only two options for businesses – they can either absorb the added costs or pass it on to customers.

While Sears told Parliament the rate increase would happen every two years, the Office of the Prime Minister quickly came to quell those concerns saying no such decision has been made as yet.

But D’Aguilar, who also served as tourism and aviation minister under the Minnis administration, reasons the government has no other options.

With the NIB fund in its current state on the brink of depletion, D’Aguilar says some tough decisions will have to be made.