For Immediate Release: Castries, St. Lucia, February5, 2025
PRESS RELEASE
As the St.Lucia Chamber of Commerce Industry and Agriculture continues its work and service to its members and the wider Business Community, a key vehicle remains the assessment of critical business variables such as workforce, sales, recruitment challenges, cash flow trends and external pressures such as regulatory and cost drivers. The St. Lucia Chamber of Commerce Industry and Agriculture Business Performance Survey examined business performance and other variables during the third quarter of 2024 (BPS Take12) and the results are provided herewith.
The Survey reveals continued positive trends in workforce changes, with 66% of respondents keeping workforce size stable, while 24% reported an increase in size. Additionally, positive trends continue to be reported in investment, where 50%of respondents reported increasing investment plans while 34% indicated that their investment plans remained constant. Business Performance was seen as better in 2024 compared to 2023 by 48% of respondents.
Cashflow improved or remained the same for 72% of respondents (improved for 34% and remained the same for 38%). 50% of Survey respondents reported increased sales in comparison to the same period of 2024, while 40% reported increased sales inQ3 compared to Q2.
The issue ofrecruitment challenges continued to affect a high percentage of firms seekingto recruit staff, with a large percentage finding greatest difficulty inrecruiting professionals and skilled workers.
Rising pricescontinued to be expected by many survey respondents, with 44% of respondentsexpecting the prices of their goods and services to increase and the balance56% expecting prices to remain unchanged. The main drivers of price increasesremain changes in the price of goods they trade in, labour costs, and theHealth & Citizens Security Levy.
Concomitantly62% of respondents indicate that their businesses have been affected by theHealth & Citizens Security Levy, with 51% citing that the Levy has impactedcosts and 58% profitability. On the contrary, the implementation of the minimumwage has apparently had a minimal impact on the vast majority of respondents,with only 20% reporting being impacted, (24% of those, by less than 5%).
The BPS (Take12) results appear to signal a need for closer examination of the impact andeffectiveness of the H&S Levy on the business community, especially sincemore exemptions than initially planned have been granted. Additionally, thereappears to be a need for some studied impact assessment of the Minimum Wage onthe sub-sectors affected. It may also be timely for consideration to be givento investment encouragement, for firms enjoying improved cash flow. TheChamber, for its part, will respond to the messages emanating from the BPS, byseeking to provide support to members with the management of cost pressures ina manner that avoids negatively affecting customer retention. The ChamberSecretariat also has more detailed analysis of the BPS by Sector and Sizeavailable to Members.
For more information contact: Mr. Brian Louisy, Executive Director
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