Ten jobs to go at BESCO after harvest as cost pressures mount

Barbados Energy and Sugar Company (BESCO) will cut 10 jobs after the 2026 sugar harvest, saying on Monday the layoffs are needed to rein in costs and safeguard the future of the island’s only sugar factory amid sustained financial strain.

BESCO said the layoffs formed part of a limited restructuring aimed at aligning its staffing and operating costs with the company’s current commercial realities.

The company described the move as “extremely difficult” and said it had not been taken lightly, acknowledging the personal impact the decision would have on affected employees and their families.

“This is a painful decision for the company because it affects people who have contributed to BESCO and to Barbados’ sugar industry,” the statement said.

“At the same time, BESCO has a responsibility to make decisions that protect the viability of the business and preserve the possibility of continued operations in future crop years.”

According to BESCO, the restructuring follows sustained operational and financial pressures affecting both the company and the wider sugar industry.

Since the divestment of the government’s sugar operations, BESCO said it has operated as a private company and does not receive a government subvention. Instead, it must finance its operations through commercial revenues while meeting the costs associated with factory operations, cane processing, sugar and molasses production, maintenance, labour and other essential obligations.

Those circumstances reinforced the need to review its staffing requirements and overall cost structure to support a more sustainable operating model, the company said.

“The decision is not a reflection on the value of the individuals affected,” the statement said.

“It reflects the commercial reality facing BESCO and the need to ensure that the company is not carrying cost structures that it cannot sustain. Our priority is to handle this process respectfully, lawfully, and with as much care as possible.”

Affected employees have already been informed of the decision and will be guided through the applicable next steps by management and the company’s human resources department, BESCO said.

The company added that it would engage with those employees on severance arrangements and other administrative matters, consistent with legal and human resources guidance.

While reducing its workforce, BESCO maintained that it remains committed to the future of cane processing and the development of a more sustainable business model for sugar and related by-products.

The company would continue working with farmers, suppliers, regulators, employees and other stakeholders as it seeks to improve efficiency, stabilise operations and support the long-term viability of the industry.

“We understand the national significance of sugar and the concern that any workforce decision will create,” the spokesperson said.

“BESCO’s objective is not simply to reduce costs, but to make the adjustments required to give the business a stronger chance of continuing to serve farmers, customers, workers, and Barbados in the years ahead.”

The announcement comes as Barbados continues efforts to strengthen the long-term sustainability of its agricultural sector. In recent months, the government has outlined plans to modernise agriculture through its Agriculture 2030 agenda, with an emphasis on improving efficiency, encouraging investment and building more commercially sustainable operations across the industry.

BESCO said it would continue to provide factual updates as necessary and communicate directly with key stakeholders “to reduce uncertainty and prevent misinformation”.