Ban The Housing Allowance

One of the reasons often given for spiralling rents in Bermuda – and it was mentioned again in Friday’s editorial in the Mid Ocean News – is the housing allowances that some expatriate workers are given by their employers.

An employee with a housing allowance does not benefit by paying less for his accommodation than his allowance: the difference is simply retained by his employer. This distorts the rental market by enabling landlords to rent their properties for more than they would otherwise be able, potentially putting them out of the reach of the less fortunate workers obliged to fund their rents from their salaries. As Cris Valdes-Dapena, managing director of real estate firm The Property Group, described at a housing forum last year, housing allowances also have the effect of inflating rents lower down the property ladder.

Because of this, the Government should pass legislation to ban companies from offering housing allowances. All such subsidies should be reflected in the employee’s salary. This would give the employee an incentive to negotiate the cost of his rent: any money he can save is his to spend on other things.

It wouldn’t solve the housing problem. But it might provide some much-needed downward pressure on rents.

Comments

[Tiger Bay on 30.01.05 at 22:31]

Yes. And no. Remember that the receipients of all that inflated rent are also Bermudian - a drop in rental value could have a significant negative impact on the economy.
Intl companies pay virtually no tax. The inflated rents are one way of transferring value to Bermudians.
Also, the intl companies would probably have to correspondingly raise salaries if the allowances were done away with. This would make the pay disparities even worse, and probably not change the housing dilemma.
I think we should take the Bahamas back. We can make Guilden governor or something ;)

[Guilden M. Gilbert, Jr. on 30.01.05 at 22:53]

Tiger Bay,

As I favour Independence you can make me Governor General. LOL

[julian on 30.01.05 at 23:18]

Another factor is the tax break that US citizens receive on housing amounts. The US taxes based on citizenship, not residence. There is a sizable ($80,000) exemption of income and a foreign housing exclusion for amounts paid for rent, utilities etc. over a certain base amount.

The debate over whether Uncle Sam should tax its citizens living overseas is a debate for another time, but this tax structure helped start housing allowances and continues to perpetuate them.

Overall, I agree that housing allowances may not properly incent employees to negotiate the best deal. However, I don't think that banning allowances is the answer. Look around...1 or 2 bedroom condos are being built everywhere. 50 more being built by GL on Cedar Ave, for example. The market will correct itself (or at least stabilize) in due course. Supply and demand 101.

[Buckwheat on 31.01.05 at 09:17]

Julian,

You are misinformed on the US tax situation. Whether the housing allowance is called a housing allowance, or included in salary, it is taxable. Calling income housing allowance doesn't exclude it from income for tax purposes. You are correct, however, that qualifying housing costs above roughly $10,000 a year are deductible.

So, if a US expat makes $100,000 in salary and $60,000 in housing, or $160,000 all in, the tax situation is exactly the same.

As for getting rid of the housing allowance, I think the real reason for it is a psychological one. The housing allowance is an easy way for these companies to have consistent pay across different companies. If an accountant in New Jersey makes $60,000 and that same accountant in Bermuda makes $100,000, it seems to be much more palatable for that company to pay the accountant $60,000 and a housing allowance of $40,000 and attribute that extra $40,000 as a cost of doing business in Bermuda.

Limey, as for legislating away a housing allowance, I see your point, but once gubment starts legislating how much or how a company can pay its employees, we've got a slippery slope. I can easily see the next step being legislating consistent pay across companies, or between Bermudians and expats. Whereas it might sound good to a Bermudian who may get a raise to be on par with his expat colleague, the international business community would start packing bags in that situation.

[julian on 31.01.05 at 09:47]

Buckwheat - yes, I agree with your understanding of the US housing exclusion. I simplified it a bit. The problem lies in the use it or lose nature of the allowance. I think it has developed as a way to market to US expats and get them to move to the island ("Hey, we'll pay you $5,000 a month and you will hardly have to pay any taxes on it!!")

[Buckwheat on 31.01.05 at 09:55]

Julian,

The use it or lose it is just stupid all around. I know a couple of clever expats that work for a company that provide such an allowance. They increase the amount that they pay each month to the allowance, but then are allowed to spend some portion of the allowance to make improvements on the house. For example, a friend was paying 7,000 and got 10,000 a month. His lease is for 10,000, but was able to spend 3,000 a month on improvements to the house.

[Adjustah on 31.01.05 at 09:58]

Keep in mind that while it does drive up the cost of housing - extremely bad for the first time home buyer - but the money is stiull injected into the local economy. The problem comes if these companies leave, thus pulling out a significant financial rug.

Also, keep in mind, these companies can offer locals a break on their mortgage..a permanent thing, provided the bottom doesn't fall completely out of the housing market...

Oh, and Guilden for Govenor! Woo-hoo!

[julian on 31.01.05 at 10:01]

I guess the way some companies try to make Bermudians on par with expats is to offer mortgage assistance. I'm not sure how this works exactly, but it probably helps increase property prices.

[Onion on 31.01.05 at 10:32]

Buckwheat,

What is wrong with legislating that Bermudians be paid on par with expats for doing the same job? It is criminal what is going right now in exempt companies. Most companies pay their expat staff rent and travel expenses. A Bermudian doing the same job rarely gets any form of subsidy yet he/she still has to pay rent or mortgage. I hear the argument that they need to do this to attract the best from overseas. What about an expat that came to Bermuda at entry level as an auditor and then works their way up the ladder and then gets a job in an exempt co and all of a sudden gets all their expenses paid?? Yet the Bermudian who followed the same path gets nothing, simply because they were born here.

Then the expat gloats at work to everyone about the 5 bedroom house they bought back in the UK or Canada. The Bermudian has to just sit there and listen and seethe.My goodness, it is no wonder the resentment between expats and locals is so high. I don't blame the expats, I blame the system for allowing such inequalities.

[Buckwheat on 31.01.05 at 11:35]

Onion,

I knew as soon as I posted it that I shouldn't open that can of worms.

I'll respond later when I've got some time--at the moment I need to redo some work that my colleague couldn't finish.

[Ecky Thump on 31.01.05 at 11:37]

Onion, I think you are talking about a relative few expats that enjoy that sort of lifestyle.

Looking around my office, the bulk of the expats here have no property elsewhere, are paid around the same as the locals for a given job and do not have the luxury of being able to put that hard earned rent into bricks and mortar. no-one gets any allowances. Of my circle of friends I know of only one that receives a housing allowance.

I dont think it's necessarily wrong that people get allowances for this and that.

It's up to you, the individual, to negotiate your compensation package - wherever you come from.

[Onion on 31.01.05 at 11:45]

Ecky,

This is simply not true. I know this first hand. There are MANY expats in the exempt cos who are getting subsidies that Bermudians do not get. It is very difficult for a Bermudian to negotiate such packages when the executive repeatedly REFUSE to entertain paying Bermudians such packages. So the Bermudian just has to say well "a job is better than no job."

There are also very few Bermudians in positions of power in these companies who can or are willing to go to bat for other Bermudians.

[Ecky Thump on 31.01.05 at 12:15]

yes, there are a handful of expats who are hugely paid, live in $15K+ per month houses paid for by the company...i do not doubt that for a second...

my point was that such expats are the exception to the norm. the bulk of us are no better off than your average (hard working) 'mewjan.

all things considered, i am probably worse off.

[Arudawakening on 31.01.05 at 13:09]

"An employee with a housing allowance does not benefit by paying less for his accommodation than his allowance: the difference is simply retained by his employer."

"All such subsidies should be reflected in the employee’s salary. This would give the employee an incentive to negotiate the cost of his rent: any money he can save is his to spend on other things."

The reinsurance company that I work for pays the housing allowance directly into the employees account once a month. No one checks to see how much money is paid on rent vs. saved, but none of these employees is living in an "economy" house. Their salary is still high enough that they do not need to negotiate to save their rent money.

Just for the record, the ONLY employees in this company that do not receive housing allowances are Bermudian. Even Bermudians doing the same job (or higher) than the expats.

Also to note, many of the houses being rented out as "executive" homes are not owed by Bermudians, and therefore I'd question the total value added to the Bermuda economy.

[ruby tuesday on 31.01.05 at 13:19]

Onion

your bitterness masks an ignorance that pervades the blame culture of many Bermudians in the white collar environment here. The success of Bermuda is dependent on the maintenance of a culture of laissez faire in terms of regulation and administration which is something that the PLP singularly fails to grasp.

If you regard the rental market as a problem then the entire blame has to be laid at the feet of Bermudians - they own the property market and they set the rent. When I hire employees do you think I want to pay a housing allowance, legal fees for work permits plus the ridiculous other expenses that are incurred by expats? Do you think we pay expats more to make the conversation at the watercooler easier?

[Tiger Bay on 31.01.05 at 13:29]

"many of the houses being rented out as executive homes are not owed by Bermudians"
-
Don't non-Bermudian homeowners need special permission to rent their properties?

[Arudawakening on 31.01.05 at 13:31]

Correction to my last post - according to the Coldewll Banker Website -

"Non-Bermudian property owners are also prohibited from buying 'investment' property or property intended primarily to earn rental income. While they may be given permission by the Immigration Department to rent under certain circumstances, this permission cannot be taken for granted and is generally not given for periods in excess of one year. (A tax of 5% is paid to the government on rental income earned by non-Bermudians.)"

According to one of the rental agents at Coldwell Banker JW, there are non-Bermudian landlords, but most of the executive rental properties are owned by Bermudians.

Apologies.

[clydesdale on 31.01.05 at 13:32]

One of the main problems is that since housing prices went up some home owners have increased rents to help pay for inflated housing mortgages.
I have a rental unit and I rent it for a good price, but that is to help me afford my mortgage. I paid way to much for what my house was worth, what can I do?

I put a lot of blame on Coldwell Banker. I was in the process of looking for a home and was searching all the websites etc. Well single family homes back then were around $500/600K, then that article came out that homes were $1million, well sure enough the Following week (I am serious the following week) all those homes that i saw around $600k were now close or over 1 million. Exempt companies may have no problem paying but I blame the real estate companies and how no one regulated them or their so called "findings". All of the other real estate companies followed suit.

There is limited housing in Bermuda, so to secure housing for their employees, these exempt companies would pay the top or offer more to make sure they got it. It is the bermudian people who saw the money in this and kept on asking more.

So what do we do?

[Buckwheat on 31.01.05 at 13:36]

posted by rude:

"Also to note, many of the houses being rented out as "executive" homes are not owed by Bermudians, and therefore I'd question the total value added to the Bermuda economy."

I am under the impression that a non-Bermudian can not rent out his house, or at least must get permission--I'm assuming someone else knows more about this than I.

Regarding whether to legislate equal pay or whether it is fair to pay the expat a housing allowance and not the Bermudian, it comes down to free market. Like it or not, to get the necessary talent on the island, Int'l companies must pay "combat pay" to expats to come to Bermuda. Believe it or not, some people would rather live near their family and friends in their hometown than move to Bermuda.

Secondly, if a Bermudian is truly doing the same job as the expat, then he should market himself to another company if his company isn't willing to pay him "fairly." Onion. It is this entitlement attitude that you seem to be advocating. If you are truly as qualified as an expat, apply for his job at his work permit renewal and demand his salary and benefits. Have the company explain to immigration why they are willing to pay more for him than you.

The fact is, as an employer here, I'd pay more for a Bermudian than an equally capable expat. The Bermudian is more likely to stay than an expat I'll have to move back. Further the expense and time lost from dealing with Immigration is worth quite a bit more. I'd be willing to bet every employer would say the same.

So where is the fault with your premise? It must be with the assumption that the Bermudian and expat are doing the same job with the same capabilities.

[Guilden M. Gilbert, Jr. on 31.01.05 at 14:11]

Clydesdale,

The prices in the housing market, like every other market is determined by what a seller is willing to sell and what a buyer is willing to pay. The real estate agents obviously have a vested interested in rising property costs because it positively impacts their income.

How many of these agents are willing to negotiate their commission rates? With the level of demand I would assume that not many are willing to negotiate.

Unfortunately, unless they receieve the property by way of inheritance, most young Bermudians will not realise the "dream" of home ownership. That is a very sad reality. Another sad reality is that many who can afford to purchase a home cannot afford to live in it, they have to rent it out to cover the mortgage, maintenance and taxes.

Does anyone know the last time the minimum price of a property than can be purchased by a foreigner has been reviewed or changed? I could be mistaken but it seems to me, more and more that foreigners and Bermudians are competing on available properties. Am I correct in this?

The point I am trying to make is that if this threshold were raised by say, $500K there would potentially be a larger pool of available homes exclusively for Bermudians. I say potentially because unless financially strapped, many people may not be willing to sell knowing that there is a cap, i.e. what Bermudians can and will pay, on the return they can get on their investment.

I simply cannot believe what has happened to real estate prices. I think about how much I sold my condo for when I left Bermuda in 1997 and what I could get for it today and it is just unbelieveable.

[ruby tuesday on 31.01.05 at 14:17]

Clydesdale - help me out here. You paid far too much for what your house was worth? Nobody put a gun to your head, you met the sellers expectations therefore you paid exactly what the place was worth.

You rent out an apartment and I imagine you determine the rental value. Blaming Coldwell Banker or other intermediaries is only slightly more ludicrous than blaming expats.

So what can Bermuda do in the light of this problem? The tourist industry has been regulated to the point of extinction - it is evident that housing has to be deregulated to make it more affordable, however as this will inevitably mean a transfer of ownership there will be a predictable outcry from Bermudians suspicious of change.

[arudawakening on 31.01.05 at 14:18]

Does anyone know of any exempt companies where the salaries and benefits are applied "fairly" to Bermudians and non-Bermdians?

None of the companies that I interviewed with offered housing allowances to Bermudians. I interviewed with, and received offers from, four companies, which is not a huge sample.

Perhaps I'm not "doing the same job with the same capabilities" as my predecessor - an expat with the same title, same responsibilities, but with a housing allowance.

Sorry for the sarcasm, but it's hard not to be a little bitter.

[julian on 31.01.05 at 14:31]

Guilden, I would recommend www.landvaluation.bm as an excellent resource. I believe that ARV values were adjusted in 2004 but I am not sure if the ARV threshold has been revised yet or not.

[onion on 31.01.05 at 15:26]

Hey Ruby, thanks for enlightening me from my "ignorance". But guess what! I also work in the white collar industry I am also an employer. If you read my note I did say that I do not blame the expat, I blame the system that allows for inequalities. Read before you write.

I stand by what I say. A Bermudian doing the same job as an expat is entitled to the same pay and benefits.

[Pitts Bay on 31.01.05 at 15:33]

Julian

While the ARV's have increased, for the purpose of a non-Bermudian purchaser, the old rates and threshold still apply - somewhat nonsensical, but this is what I have been informed. Essentially, for the time being, until the non-Bermudian threshold is changed, the old ARVs and old threshold will continue to apply.

When the ARV's went up, lots of people were thinking, great, now that my house is above an ARV of $126K, the price of their house just went up as it was now available to non-Bermudians - but that is not the case.

[ruby tuesday on 31.01.05 at 16:19]

Mr Onion

I apologize - I mistook your criticism of executives not entertaining the notion of artifically inflating Bermudian wages as a criticism of expats. Obviously your semantics are a little too subtle for me. You say you don't blame expat employers and then you go ahead and excoriate them. A bit like Guilden saying I'm not homophobic and then employing the language of the homophobe and the bigot to justify his view.

[Guilden M. Gilbert, Jr. on 31.01.05 at 16:38]

Ruby Tuesday,

What homophobic or bigot language did I use? If you are referring to te discusion under another tpic regarding rights of gays and said that i do not and will not support gay marriage. What is homophobic about that.

I also stated in a later post that just because feel that way does not mean that I woudl protest such a wedding.

Obviuosly you have named me in an effort to be combative. Knock yourself out if that's your desire. But rather than do it under a pen name, as I have said to others, use your real name than we can have a combat on any topic you wish.

You can use a pen all you wish to discuss topics but when ou name names then you should have the testicular fortitude to identify yourself so that we can talk adult to adult.

[Buckwheat on 31.01.05 at 16:47]

Rude,

Let's take a simple example. Let's say a company in Bermuda wants to write a new line of Reinsurance business. They need 2 underwriters to do this and have identified you as the only capable Bermudian. They also identified an American who would need to uproot his family in the states and move here. The company will not pursue the line of business unless they get 2 capable underwriters. You agree to work for $150,000 a year all in. You find out the other underwriter has agreed to come on for $200,000 all in. Do you:

1) blame the company that you agreed to work for because they are paying the other guy $50,000 more despite the fact that you were happy with the job before deciding you were "entitled" to more money.

2) blame the other underwriter and tell him to meet you at Dennis' Hideaway for dinner telling him to remember that it is coat a tie only.

3) Threaten to quit if you don't get a raise that puts you on par with the expat.

4) Vow to get those job-stealing expats back by voting 3 times for the PLP in the next election.

I'd say you made a bad deal and have to live with it until such time as you could reasonably expect a raise. If the company values your skills enough that they were willing to bring in an expat and pay him $200K and you didn't realize it then shame on you and noone else.

What is "the same pay" anyway? The other underwriter's extended family live away. It costs money to go see them. THe other underwriter will pay US taxes, you won't. The other underwriter can not realistically own property in Bermuda, you can--what is that worth. Is your disposable income really less than his?

People that say they are entitled to anything without explaining why get me worked up.

[Steve Moffat on 31.01.05 at 17:16]

I see a couple of points here.....most working Bermudians already have somewhere to live here. All ex-pats don't. I for one couldn't have afforded to come and live here without the extra money that is offered to ex pats.

[Arudawakening on 31.01.05 at 17:21]

Buckwheat -
Let's say the line of Reinsurance already exists and they hire me and an expat who is already on island? They pay us both the same salary but offer the expat $10,000 a month in housing allowance. Or what if the underwriter is from the UK where he can claim exemption from UK taxes? What is the justification for the discrepancy then?

There are lots of scenarios we can discuss. I agree I got a bad deal - my question was is there anywhere that I could have gotten a better deal?

I could threaten my employer, but that's not really my style. I'd rather work for a place that values employees based on what they contribute, not where they come from. Yeah, shame on me. What about "combat pay" to recruit and retain good Bermudians?

Do you really think that expats take on such a burden in coming here, that they are ENTITLED to this allowance? They don't need to uproot their families to come here, they choose to.

I don't blame the expats for accepting well paid jobs with great benefits, anymore than I blame landlords for accepting $10K a month when they could rent to people with no allowance for a lot less.

[Tiger Bay on 31.01.05 at 17:23]

Bermuda's white collar workers REVOLT! The BIU will be happy to represent you ;)

[Milo on 31.01.05 at 17:36]

Arudawakening,
My cousin works for a re-insurance company and was in just your predicament. He went to his supervisor and pretty much demanded equal compensation. His position was that if the company is willing to put out an amount of money for someone else doing the same job as him, then they should be willing to put out the same for him. And that is what it boils down to from a business perspective. He is now the only Bermudian I know in the re-insurance industry with a housing allowance. If you truly believe you are of equal value, how could they say no?

[Onion on 31.01.05 at 17:36]

Ruby,

Obviously my subtleties were not the only thing lost on you. Somehow you equate the notion of "equal work for equal pay" with the notion of artificially inflating a Bermudian's salary.

Why is it artificial? I am not talking affirmative action!

Clearly this is a subject you are having a bit of trouble coming to grips with - Bermudians getting paid on par with their expat colleagues.

An employer will do whatever he can get away with. If he absolutely needs an international treaty underwriter and there are no Bermudians available or qualified he will pay whatever he can to get that person (including housing allowance etc.)

The problem is when you have a Bermudian with the same qualifications the employer sees this as an opportunity to cut his costs. He says well this person won't need housing subsidy. Rationale? Because none of the other companies pay it soo we can get away with notpaying him. So the Bermudian, despite all efforts to negotiate otherwise, is left to accept his lot. Let's be realistic fellas. It is all fine and dandy to talk about you get what you negotiate. I agree with this and I believe too often Bermudians don't negotiate enough for themselves. However, when dealing with a billion dollar company your negotiating powers are somewhat limited. When most of the billion dollars companies in Bermuda follow the same course of action, the Bermudian again has to accept his lot. He just can't afford to fight it.

[Eve on 31.01.05 at 18:10]

I find it somewhat humourous that high cost of rent and Expat salaries in Bermuda are being discussed as though it has evolved over the past 10 years or so. In 1960/62 we paid at least 50% more, exchange rate included, for a one bedroom apartment in Bermuda than we did in the US. It usually took 2 to 3 months to find a house or apartment. My husband was in the Air Force and without BX and commissary costs we could not afford to live in Bermuda. In 1961 I was lucky to find a job as an Executive Secretary for an international company and my salary was twice what I made in the US. International companies were prepared to pay top dollar for experience, in my case it was shorthand. In 45 years not much has changed, Bermudians are still making a very good return on their rentals and some Expats are making twice the income they would elsewhwere. In Bermuda, Supply & Demand still rules.

[Tiger Bay on 31.01.05 at 18:53]

Bingo! The housing costs are very hard for young Bermudians - but our parents are reaping the rewards. High rents are one way of transfering intl company dollars into the local economy.

It might help to dig harder into the practice of fronting where Bermudians buy houses on behalf of expats.

The expanded rent controls - while controversial - do help out those at the bottom of the economic ladder.

[big bad wolf on 31.01.05 at 21:42]

Its really really simple we have to build more affordable housing under water....there is just about no room left on the rock ,unless we are going to become the Manhattan of the Mid- Atlantic ^..^

[shipstones on 31.01.05 at 21:44]

"I see a couple of points here.....most working Bermudians already have somewhere to live here."

Bermudians have somewhere to live but they have to pay for them in the form of rent or mortgage, so I don't get your point.

"They don't need to uproot their families to come here, they choose to."

They could decide not to come! Right, then they would have to increase salary to get them to come!

Its all supply and demand, sometimes it works for ya and mostly against! Unless you have a pot full of money! then you got the supply to meet the demand!

[Douglas on 01.02.05 at 08:15]

quote: ``I stand by what I say. A Bermudian doing the same job as an expat is entitled to the same pay and benefits.''

That's true. But you ain't gonna get it unless you ask for it!

I know of several Bermudians who, knowing about housing allowances etc., have asked and received extra benefits such as mortgage subsidies from their Exempt Co employers.

Other people may have different experiences. But, it's the case that all over (not just in Bermuda) you need to be savvy when negotiating with your employer before accepting a job. This means figuring out what you are worth. And keep in mind that the company doesn't really care where the money it pays you goes to -- it costs them the same whether it's housing allowance or extra cash for salary. They will only hire you for a particular total compensation if it makes business sense: that is, they'll make enough money off of you for it to be worth it to them. Don't forget that hiring a guest worker (not sure if I find that term more or less offensive than `expat') has many hidden costs: immigration paperwork processing time and costs, uncertainty regrding work permit renewals, the possibility that your employee will leave as time passes (which might grow as time passes), the extra time it takes for the newly arrived guest worker to settle in and become productive, etc.

But as a Bermudian, especially one starting in an industry, you must also be realistic about what value you bring to a company. How much work experience do you have? Maybe you could be willing to trade a little salary upfront (especially since we are essentially--but not actually--tax free down here) for an opportunity to get a foothold in the company or industry. Whether that makes sense or not depends on how you think the company will treat you: some are fair and want to grow their employees, while some just want to use you...

My second point is that this thread has lots of speculation about salaries, who owns what, etc. But I haven't seen any hard data or survey results, etc... So everyone has a different opinion based on who they know!

[Ra-ra-ra Man on 01.02.05 at 08:18]

Banning the allowance will have zero effect. The compnies will simply increase salaries to equal the level of compensation. It is all about supply & demand - simple as that.

Companies need to pay to get the best.

[missingbda on 01.02.05 at 08:23]

If all this talk about expats being paid more than Bermudians is true then how come when THREE of my expat friends married Bermudians in the last few years, their salaries AT LEAST doubled???

[The Limey on 01.02.05 at 09:12]

Ra-ra-ra Man:

"Banning the allowance will have zero effect. The compnies will simply increase salaries to equal the level of compensation."

That's exactly my point. They should do that. But if the employee receives his allowance as cash rather than a use-it-or-lose-it subsidy, he'll have an incentive to spend less on rent because he gets to keep anything he saves.

[Buckwheat on 01.02.05 at 09:36]

Many years ago when I was working in NYC, I was working on my computer and using my boss' computer to run another program. While using my boss' computer I stumbled upon (actually through some clever snooping, but I digress) a list of the salaries of everyone in my department. Some made more than me, some made less. One guy who I believed to be much less capable was making significantly more.

I could have had 2 reactions to this news 1) be upset that the dolt was making more than I, or 2) realize I had some data points on what the company was willing to pay, and realize that I am worth more to the company than I was currently being paid. I took it as very good news. The bad news would have been finding out that those at a higher level in my department were making the same or slightly higher than I was. Then I would have known I was in a dead-end job, at least from a salary perspective.

At my next review, I got a significant bump in salary.

[big bad wolf on 01.02.05 at 10:41]

Bermuda based Companies should start recruiting single people only or we should start treating the white collar segment the same way we treat service sectors...you can come and work in Bermuda but you cannot bring your family. The shorter duration of work permits may help excelerate Bermudian promotions also...One thing is for sure we have already passed the carrying capacity of Bermuda--its time to down size the exempt business sector.

[Tiger Bay on 01.02.05 at 10:53]

Downsize? And do what?! Be realistic wolfie!

[Buckwheat on 01.02.05 at 11:55]

Wolf,

Congratulations! I believe we have a winner for most ridiculous post of this thread.

[Adjustah on 01.02.05 at 13:36]

"Down size...the exempt business sector"...

*Aims at foot, closes eyes, pulls trigger*

What about expanding it, by training Bermudians instead? Y'know, instead of biting the hand that feeds us?

[CB on 01.02.05 at 15:34]

I get Limey's point - but how can you realistically ban housing allowances - or any other benefits for that matter?

They would just re-emerge as something else.

Any Bermudian worth the money - will be paid the money.

[noname on 01.02.05 at 21:24]

The problem is economics. There are far more Bermudians than ex-pats. There is a shortage of housing. There is excess demand due to overpopulation, primarily because there are too many Bermudians not too many expats. Demand drives up prices. If you remove the housing allowance, expats won't be able to live here and the economy will collapse. We have to stop breeding like rabbits folks.

[big bad wolf on 01.02.05 at 23:31]

I think that most in this thread seem to turn a blind eye to what uncotrolled growth is doing to Bermuda. Bermudians are being marginalized in their own country. If we wont control growth and put stricter controls in place then we can expect that as the exempt companies continue to grow Bermudians will have no choice but to move to other countries if they can. On an Immigration side note if working class expats are being denied their families moving to Bermuda then white collar expats should be treated the same way. There is no social justice in different policies for different job categories. We need to reign in growth and take better care of our Bermuda generated problems.

[big bad wolf on 01.02.05 at 23:36]

No name actually Bermuda population growth is minimal annual births and death rates are about balanced.It is the growth in non-Bermudian jobs and their families and thier superior purchasing power in the white collar sector that is putting the stess on Bermuda.