School caterers not paid since May

THE EDITOR: Since May, school feeding caterers have not been paid — only 25 per cent of the May payment was made in late May, a small percentage was paid in September and an even smaller percentage was given in October. Outstanding payments are still due for May, June and September, now October claims are to be submitted and November is fast coming due.

The incompetence of the Ministry of Education under the Rowley administration has resulted in the continued suffering of many caterers and the potential adverse effects on thousands of students.

VAT payments are now overdue for October and sources have indicated that the National Schools Dietary Services Ltd (NSDSL) has given caterers a draft letter to take to Inland Revenue asking for interest and penalty to be waived. It is uncertain, however, that the letter will work.

Salaries and other expenses are still to be paid. Caterers are now taking goods on credit from suppliers, some of whom have refused to give goods due to the large amounts of money owed.

Many caterers will have to close their operations this month as they have no money to carry on. Most of these caterers supply approximately 1,500 meals a day each.

Funds are allocated from the Ministry of Education to the NSDSL. There are about 87 approved caterers in the programme nationally. Each facility has at least 12 employees, depending on the number of meals prepared. Over 40,000 breakfasts with approximately 100,000 lunches are served to about 820 schools daily.

The NSDSL cannot say to caterers when payment is expected.

The NSDSL may have breached the contract with caterers due to the non-payment by the Ministry of Education for services.

DEVANT MAHARAJ via e-mail