Sure sign Superferry future unstable by Blake Jones – The Garden Island Hawaii Superferry said yesterday that it will indefinitely layoff 249 employees that the company can’t afford to keep on the payroll, including 35 Kaua‘i residents. Fifty-nine Superferry employees
Sure sign Superferry future unstable
by Blake Jones – The Garden Island
Hawaii Superferry said yesterday that it will indefinitely layoff 249 employees that the company can’t afford to keep on the payroll, including 35 Kaua‘i residents. Fifty-nine Superferry employees will retain active status to handle administrative and operational needs on O‘ahu.
Hawaii Superferry CEO John Garibaldi cited the outcome of Maui court proceedings as the impetus for the decision.
“It wasn’t prudent for us any longer to keep people on the payroll,” Garibaldi told The Garden Island yesterday. “… Hopefully if there is good news out of the legislative session then we can bring people back.”
In response, the state Department of Labor has activated its rapid response team to assist the dislocated workers. Services offered will include counseling, training, education and career planning.
During the Maui trial, Garibaldi testified that Hawaii Superferry was losing $650,000 a week while out of service, about $300,000 of which was worker compensation. Garibaldi said that while only 20 percent of Superferry employees will keep their jobs, those positions are high-paying.
He said there are no plans yet to stop the construction of a second ferry on the Mainland due to contractual obligations.
As a skeleton crew of Superferry employees worked to disassemble the staging area at Nawiliwili Harbor yesterday afternoon, state Democratic senators met with Attorney General Mark Bennett on O‘ahu to discuss a possible special session to save the company. Bennett presented the group a first draft of legislation that would amend Chapter 343 and allow the Superferry to operate before completing an environmental assessment.
Gov. Linda Lingle has expressed interest in calling such a session to remedy the Superferry’s predicament.
After reviewing the draft yesterday, Sen. Gary Hooser, D-Kaua‘i-Ni‘ihau, said it is “unacceptable,” as it gives the Superferry carte blanche to operate without addressing any of the environmental issues argued in court.
He described the caucus as fairly contentious and said no consensus was reached.
“The only way we’ll do a special session is if the governor calls us in,” Hooser said.
After a similar meeting Wednesday, House Democrats expressed tentative support for a special session, but said they would have to review the draft.
Kaua‘i’s three representatives, however, comprised a pocket of opposition within the House.
According to Rep. Hermina Morita, D-14th District, gathering to change the law for one company is unprecedented.
“Businesses need to look at this really closely because of all the political favoritism for one company,” Morita said. “… Do they want a predictable business climate based on laws or (one) relying on political access?”
Rep. Roland Sagum III, D-16th District, and Rep. Jimmy Tokioka, D-15th, also rejected the idea.
“Although we feel bad about (the furlough),” Sagum said, “I think it’s important to follow the law.”
