Living in Grand Cayman

The Cayman Islands are located in the Western Caribbean 480 miles south of Miami, Florida, and 180 miles west of Jamaica. The three islands are Grand Cayman, Cayman Brac, and Little Cayman, with a combined area of 100 square miles (259 square kilometers). Grand Cayman is 76 square miles (196.8 square kilometers). Together, the three islands have a total population of some 40,000, of whom approximately 20,000 are Caymanian. There are less than 100 on Little Cayman, about 1,500 on Cayman Brac and the rest on Grand Cayman. George Town, the administrative centre of the islands, is on the western shore of Grand Cayman. The Cayman Islands offer a perfect tropical climate all year round with temperatures ranging from around 70°F in winter to 90°F at the height of summer. Excellent international communications are available with telephone, fax, internet, an efficient postal system and courier services all making for easy international business and personal communications. Several major airlines provide regular jet flights connecting the Cayman Islands with the U.S.A., mainly through Miami, but with direct flights to various other cities in North America. The Cayman Islands are five hours behind Greenwich Mean Time in the Eastern Standard Time zone. Daylight saving time is not observed. English is the official language.

Political Background

The Cayman Islands are a British Overseas Territory, with a high degree of internal autonomy under the present constitution, which was introduced in 1972. The constitution provides for a Governor appointed by the Queen, an Executive Council and a Legislative Assembly. The Assembly currently consists of fifteen members who are elected every four years, and three official members appointed by the Governor. The Executive Council, which sets Government policy, comprises five elected members, and three official members. It is presided over by the Governor. The islands enjoy a stable government and have no desire for independence. Racial and political problems are virtually non-existent. The legal system is largely based on that of England, with a strong influence of English case law, although a number of local statutes have been passed to meet local needs.

Economic Factors

The Cayman Islands are considered a major offshore banking and financial centre. The increasing number of banks, insurance companies, and other financial institutions, together with tourism, provide the basis for the local economy. The cost of living in the Cayman Islands is high for several reasons. Very little is produced locally and almost all goods must be imported. High transportation costs and import duty raises the retail cost of products.

Currency

Cayman Islands currency is the Cayman Islands dollar (CI$), divided into 100 cents. The Cayman Islands dollar is fixed to the US dollar at CI$1 = US$1.20 by agreement through the International Monetary Fund. Local banks buy U.S. dollars at CI$0.82 and sell U.S. dollars at CI$0.84. The total labour force in the Cayman Islands is approximately 24,000, of whom about 15,000 are expatriate workers on work permits. Educational standards in the Cayman Islands are good. Many young people proceed from high school and community college to further education in the United States of America, Canada or the United Kingdom. The Labour Law sets minimum standards for working conditions including leave, remuneration, hours of work, dismissal, health and safety.

The Employment Market

The Cayman Islands enjoy a low unemployment rate and there is no legal minimum wage set by law. Average hourly rates range from US$10.00 for manual workers to US$20.00 for skilled labor. Clerical salaries vary greatly, but US$2,500 a month may be considered an average. In practice, working hours for most businesses are from 8:30 a.m. to 5:00 p.m., although a 40-hour week is considered normal. Hours vary in certain industries, such as construction. Under the Labour Law, overtime pay is paid at the rate of one-and-a-half times the usual wage for hours worked over 45 hours a week. There are 10 days paid legal holidays, 10 days sick leave allowed, and employers are required to grant a minimum of two weeks vacation a year with pay.

Employment of Foreigners

All non-Caymanians must obtain a work permit in order to work in the Cayman Islands. These are issued for one year, renewable annually and are normally granted if no qualified Caymanian is available for the position. Positions must be advertised in the local newspaper. Self-employed foreigners must demonstrate that their business is not prejudicial to a Caymanian in the same line of work. Residence requirements for non-Caymanians include character and financial references. Baraud International can handle all required applications for you. Those of us who have been fortunate enough to travel and to live in different cultures recognise that feeling of personal enlightenment that comes with living and working in a different environment.

Cayman Islands' community

Cayman is a unique place in the world and certainly within the Caribbean. It has the highest standard of living in the Caribbean and you will find it clean, harmonious and safe. The Caymanian people are educated and hospitable and are rightfully proud of their heritage and of the successful world financial centre that Cayman has become. With only about 40,000 people on Grand Cayman the community has a "small-town" feel, but with a difference. You will find that after a short time you will see people you know everywhere on the island. This leads to a very closely-knit community. With over 15,000 workers in Cayman from other countries, your working experience will also provide you with an opportunity to meet, work and socialise with people from around the globe. The combined population forms a dynamic community, which leads to a multitude of opportunities in both professional and social clubs and activities.

Cost of Living

The cost of living in the Cayman Islands is high, but should of course, be considered in the context of a tax-free salary. Examples of the cost of living are as follows: • Accommodations - although there is a great variation largely based on location and access to the beach you can expect to pay between US$1,200 and US$1,500 per month for a typical one-bedroom apartment. Two bedroom apartments are available in the range between US$1,600 and US$2,400. Most accommodations will ask for first and last months' rent as a security deposit. • Vehicles - the typical four year old small Nissan or Toyota will most likely run between US$5,000 and US$7,000. Bank loans are available from a variety of local institutions. Vehicle registration will cost about US$160 and insurance about US$300. • Electricity - cost will depend largely on how much air conditioning you use. A typical mid-range bill would be about US$150 per month. • Water - a typical mid-range bill would be about US$60 per month for two people. • Telephone - Cable & Wireless will ask for a deposit of US$425. • TV - The local cable system offers in excess of thirty stations including all the major U.S. networks and costs about US$65 per month. Many rental agreements include cablevision or satellite TV charges in the monthly rental charge. • Depending on rental agreements deposits for electricity (US$300) and water (US$250) may be required from the tenant or may be already covered by your landlord. Despite the high cost of living, our overseas recruits find that their salaries allow them the opportunity to build substantial savings during their employment contract. Others prefer to enjoy an enhanced standard of living and use the discretionary element of salary to travel, to buy or share a boat or enjoy some other hobby.

Starting work in Cayman

There is a certain amount of adjustment to be made with any move to a new country and Cayman is no different in this respect. We are confident however that you will find many friendly and helpful people to ease any initial stress. One of the biggest concerns in moving to the Cayman Islands is the cost of setting up a home. Since all consumer goods are imported, and subject to duty, costs can be high. Landlords normally require two months rent up front, there are utility deposits and the purchase of a car all to be incurred in the first few weeks. Together these and other initial costs can represent a significant cash drain. We would suggest that you obtain bank and insurance references in advance of your arrival. These can help you in organising your affairs in Cayman.

What arrangements have to be made for spouses who wish to work in Cayman? The process of adjustment to life in the Cayman Islands is more complicated with a spouse involved, and this should be given careful consideration by any applicant. The labour market is very tightly controlled through the issuance of Gainful Occupation Licences, "work permits". No expatriate is allowed to work in the Cayman Islands without this work permit. The firm applies for work permits for its own recruits, but is not in a position to assist with permits for spouses. Although most spouses who wish to do so usually find some form of employment in due course, the process can be difficult and sometimes frustrating. Obviously it is easier to obtain work permits in some occupations than others. Traditionally professions such as accountants, lawyers, nurses and teachers have had little problem in obtaining the right to work in the Cayman Islands. Other occupations can have more difficulty. We normally encourage spouses to seek employment and start the work permit process before coming to the island, if at all possible. In addition, we may be able to assist in finding employment leads for spouses through our local business contacts. The situation is more difficult in the case of an unmarried "partner", as the Cayman Islands authorities still take the position that such an individual is not a "dependent". Thus there can be no assurance that a "partner" will be granted residential status. Although we have not experienced any lasting problems in this area, the whole issue should be very carefully addressed in making a decision to come to the Cayman Islands.

Formalities for obtaining a work permit.

The application process includes various forms that must be completed in order to obtain a Gainful Occupation Licence. A medical examination and a police clearance certificate are just two parts of the process. The importance of completing the application in a timely and accurate manner cannot be stressed enough. An incomplete application can delay the granting of your work permit indefinitely. The work permit is renewable annually.