A court has ordered Stingray Tours to pay more than CI$90,000 to workers who were denied paid vacation and sick leave after being classified as independent contractors.
The Office of the Director of Public Prosecutions brought the case earlier this year on behalf of the Department of Labour and Pensions (DLP), following complaints from workers who had provided services to the tour operator for more than a decade.
Stingray Tours maintained that the workers were engaged on a commission basis and were not full-time employees entitled to paid vacation or sick leave under the Labour Act.
However, after considering evidence from both sides, the court ruled that the nature and duration of the workers’ relationship with the company established that they were employees, regardless of how they were paid.
The company was ordered to comply with the legislation and pay the affected workers CI$86,230 in vacation pay and CI$4,080 in sick leave pay.
The DLP said it is also continuing an investigation into allegations of unpaid pension contributions.
However, Cayman News Service reported that sources connected to the case said a final determination regarding compensation had not yet been made. The news outlet said it had submitted questions to the relevant ministry and was awaiting a response.
In a statement, the DLP said it would continue enforcing the Labour Act and taking action against employers who fail to ensure workers receive their legally mandated benefits.
‘This case sends a clear message that companies are on notice,’ Immigration Minister Michael Myles said.
‘The Labour Act must be respected and complied with. Employers cannot simply structure working arrangements in a particular way to avoid their legal responsibilities or deprive workers of statutory rights and protections.’
Myles also praised the DLP team for its investigation, which he said resulted in a successful prosecution and a significant outcome for the affected workers