Royal Resorts was responsible for negotiations with labor unions

POSTED: 05/5/11 12:15 PM

St. Maarten – The report from the St. Maarten Timeshare Association boasts of its independence and puts the blame for everything that went wrong at the Pelican Resort Club at the feet of the Tenants Association and its chairman Jeff Borowick. This newspaper did not immediately get a reaction from Borowick to the allegations yesterday.

But a confidential email from Chief Operating Officer Richard Corso, dated Friday March 13, 2009, to members of the board shows that negotiations with the labor unions were the “exclusive responsibility of the management company.” This is at odds with the report’s claim that the tenants association, as the sole shareholder, had the authority to give instructions to the management company, Royal Resorts.

Corso forwarded an email from Rodrigo Gamboa containing details about the negotiations to the board members that started after some pleasantries with the following line:  “This negotiation duty is the exclusive responsibility of the management company; however, we want to continue to foster the excellent communication and teamwork together.”

Corso stated that the draft agreement was “within our 2009 budget and contains many positive elements for the resort (and the owners via quality and fiscal efficiency and responsibility).”

In the attached email, Gamboa repeats Corso’s statement about the union negotiations: “Even though it is the exclusive responsibility of the management company to deal with these negotiations we value the continued close communication and teamwork with the board.”

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