PSU Flatly Rejects SARA: Union Escalates Fight Against Tax Authority Transition
By: Omar Silva I Editor/Publisher
National Perspective Belize I Didital 2025
Belize City: Sunday 17th August 2025
The simmering dispute over the government’s plan to transform the Belize Tax Services Department (BTSD) into a Semi-Autonomous Revenue Authority (SARA) has boiled over. On Friday, August 15, 2025, the Public Service Union (PSU) issued its strongest rebuke yet — a formal Position Paper to the Cabinet of Belize flatly rejecting the transition.
The document pulls no punches, branding the SARA process as:
- “Legally flawed” – violating constitutional provisions and the rights of public officers.
- “Procedurally unjust” – imposed without genuine consultation or transparency.
- “Devoid of empirical justification” – lacking data, studies, or evidence that SARA will outperform the current system.
Union’s Core Arguments
The PSU outlines several deep concerns:
- Constitutional Breach
- Officers are being given only three options: resign, transfer, or re-interview for their own jobs.
- The union says this amounts to “a fundamental rupture of constitutional and contractual rights.”
- Absence of Transparency
- No draft legislation, white paper, or economic analysis has been shared.
- Decisions are being made behind closed doors without legal or public scrutiny.
- Threat of Politicization
- Instead of insulating the tax system from politics, PSU argues SARA could increase nepotism and political appointments by centralizing power in a politically chosen board.
- Staff Revolt
- The union reveals that 35% of BTSD’s workforce has already filed formal transfer requests — an unprecedented wave that PSU calls a “direct indictment of the flawed and insecure process.”
The Formal Demand
In its conclusion, the PSU doesn’t mince words:
“Immediately halt SARA transition and suspend all actions towards SARA implementation pending resolution of concerns raised.”
This escalation marks the first time the union has issued such a comprehensive, formal rejection to Cabinet, moving the battle beyond talk shows and press releases into the halls of executive decision-making.
Context: A Fight That’s Been Building
- Workers’ Rights: The PSU has consistently warned that pensions, gratuities, and years of service are at risk — especially for those with fewer than 10 years in the system.
- Financial Fears: Critics, led by PSU President Dean Flowers, say SARA could balloon payroll costs from $9 million to over $25 million annually, with little evidence of efficiency gains.
- Unpaid Returns: Meanwhile, ordinary Belizeans — including Defence Force officers — are still waiting on income tax refunds from 2021, raising doubts about whether the government is fixing the real problems.
Where Things Stand
The Briceño administration insists the shift is modernization, not politics, and promises no one will lose their job. But with over a third of BTSD staff already seeking escape, and the PSU calling the process unconstitutional, the government faces a credibility crisis.
The real test now is whether Cabinet will press ahead with SARA despite fierce union opposition, or pause to address the legal, procedural, and financial red flags.
⚡ Bottom Line: What began as a technical restructuring is now a full-blown political and constitutional battle. And with the PSU drawing a hard line, the Briceño government’s tax revolution is suddenly on shaky ground.
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