We are not abandoning Jamaica, says Bahia Principe MD

Ahead of Monday’s meeting with the Ministry of Labour and the Bustamante Industrial Trade Union (BITU) about the planned redundancy exercised to accommodate refurbishment exercises Bahia Principe’s managing director, Jonay Guerra, says the planned redundancies was not abandonment of its investment in Jamaica. He reaffirmed the company’s commitment to its original US$1.5-billion, 10-year investment plan.

Guerra said he wanted to clarify the circumstances that led to the decision to implement redundancies and dismiss any suggestion that the company was acting in bad faith.

According to him, discussions with BITU President General Kavan Gayle about refurbishment of the Bahia Grand began long before Hurricane Melissa struck on October 28.

“We were in the consultation process with Kavan and his team before the hurricane happened. We are talking about September, October. It was a discussion for the refurbishment of Bahia Grand. The refurbishment cost was US$85 million, but an additional US$5 million was added following the damage to Runaway Bay Luxury from the hurricane,” Guerra told The Gleaner yesterday. “The reconstruction investment we are talking about is approximately J$15 billion between the two buildings. But I want to make it clear that we were not moving our business from Jamaica. We are not abandoning Jamaica.”

Guerra noted that the resort sheltered approximately 900 staff members and their families during the hurricane because of concerns about the safety of their homes. After the storm, more than 300 team members reported varying levels of damage, and the resort disbursed roughly $80 million to support their recovery. Housing is still being provided to about 400 staff and relatives.

Noting that his wife and children are Jamaicans, he reiterated that the hotel had no plans to leave Jamaica. Nor was it abandoning its investment.

He explained that, in early 2025, the company had planned to close its original 2006 hotel for extensive repairs while keeping the 2015 hotel open with partial renovations. However, Hurricane Melissa caused heavy damage to both properties, forcing the company to begin full reconstruction of the entire complex.

Guerra said the company informed both the Ministry of Labour and the union that the longer-term closure would leave employees out of work for an extended period. He said the redundancy decision was made to allow staff to “benefit financially” during the shutdown.

Once reconstruction is complete, he said, Bahia Principe expects to again employ thousands of Jamaicans.

“The Bahia Principe footprint in Jamaica will also be expanded with an additional 350-room luxury villa product within the same Runaway Bay, Pear Tree Bottom area of St Ann. This is expected to increase the investment by Bahia Principe in the Jamaican hotel sector within the next three years,” he said.

Guerra pointed to the resort’s actions during the COVID-19 pandemic – offering more than 1,000 rooms as a national quarantine centre and serving as a vaccination site – as evidence of its long-standing partnership with Jamaica. He noted the resort was the first on the island to reopen in July 2020.

However, the BITU has strongly opposed the planned redundancy of nearly 2,000 workers following the indefinite closure of both hotels. The union argues that the decision amounts to unjust termination and that management failed to conclude ongoing discussions about a previously planned 12-month refurbishment closure.

The BITU has written to the Ministry of Labour seeking intervention, urging management to explore alternatives to job losses and to protect workers’ rights. The ministry has scheduled a meeting for November 24, 2025 with both parties.

Guerra told The Gleaner that the company understands staff hardship and noted that employees will also receive furniture no longer needed by the hotel. He added that reconstruction is expected to generate 1,000 new jobs.

“Like a phoenix, we will reopen brighter, bigger and better,” he stated.

erica.virtue@gleanerjm.com