Castries, Saint Lucia – Monday, August 4, 2025 — Prime Minister Philip J. Pierre has confirmed that the government has commissioned the National Insurance Corporation (NIC) to present proposals for the establishment of an unemployment insurance program, marking a significant step toward strengthening social protection in Saint Lucia.
Speaking at the pre‑Cabinet press briefing on Monday, the Prime Minister said the initiative is in keeping with the government’s policy to improve the quality of life for citizens. The program will provide unemployment benefits to individuals who have become involuntarily unemployed and will be implemented alongside an active labour market policy.
“The goal of this active labour market policy is to assist the unemployed in securing work placements, to encourage entrepreneurship and small business development, to provide basic work training—particularly for disadvantaged groups—and to incentivize employers to provide staff training,” Prime Minister Pierre explained.
In addition to outlining the new unemployment insurance proposal, the Prime Minister announced a 3.9 percent increase in NIC pensions, effective July 1, 2025. This adjustment applies to all NIC pensioners, including those who received a minimum pension increase last year, and is based on the average Consumer Price Index (CPI). It follows a 4.0 percent CPI‑based increase granted in 2024.
“The government will continue to work with the NIC to ensure that all social protection benefits are adequate and sustainable,” Pierre stated. “We will be reviewing the benefits of the NIC to ensure they meet their intended purpose and can be maintained over the long term.”
The proposed unemployment insurance program and pension adjustments form part of the government’s broader strategy to enhance social protection, reduce vulnerability, and strengthen economic resilience for citizens.
