Unions concerned about employment situation

Increasing unemployment prompted Malta's main trade unions to hold talks with the Prime Minister in January 2004. The General Workers’ Union (GWU) organised a rally to protest against unemployment and made several proposals to the government, while the Union of United Workers (UHM) and the Confederation of Malta Trade Unions (CMTU) emphasised the role of the Malta Council for Economic and Social Development in redressing the economic and unemployment situation.

Statistics from the Labour Force Survey indicate an unemployment rate in Malta of 8.2% in September 2003, compared with 6.4% a year previously. This amounted to 13,166 people, representing an increase of around 3,000 in one year. The major decrease in employment has occurred in the sectors of transport, storage and communication, hotels and restaurants, manufacturing and education, with several firms closing or cutting their workforces in 2003

On 23 January 2004, leaders of the major trade unions - the General Workers' Union (GWU), the Union of United Workers (Union Haddiema Maghqudin, UHM) and the Confederation of Malta Trade Unions (CMTU) - held separate meetings with the Prime Minister on the state of the economy and the employment situation.

On 27 January, GWU, Malta's largest union, organized a mass rally in Valletta, the country's capital, to protest against the rising unemployment. The union threatened nationwide industrial action if the present situation persists. This protest, attended by thousands of people, was backed by the opposition Malta Labour Party (MLP). However, it did not receive the support of all the unions or of the employers' organisations (MT0310101F). GWU wants the government to take the following steps to increase employment and show solidarity with unemployed people and their families:

• concrete measures to eliminate bureaucracy;

• meetings with prospective foreign investors;

• immediate help for the tourism industry in terms of training, innovation and research;

• the introduction of a network of counsellors to help those faced with losing their job;

• effective consultation with Malta Enterprise, the Employment and Training Corporation (ETC), the Malta Environment and Planning Authority (MEPA) and the social partners to prepare redundant workers for new job opportunities;

• an extended moratorium for the repayment of loans to workers and young people if they do not find a job;

• the establishment of a task force to tackle problems and draw up clear solutions;

• making better use of Maltese ambassadors to attract foreign investment; and

• providing students whose parents do not have a job with help to pay for their exams.

UHM argues that the only way forward for economic revival and employment growth is to establish a 'social pact' within the Malta Council for Economic and Social Development (MCESD), the country's highest forum for consultation and social dialogue between the social partners. CMTU, to which UHM is affiliated, is also stressing the need for the MCESD to address the economic and unemployment situation.

Meanwhile, the government is preparing a National Action Plan for Employment which should be completed by June 2004. This action plan will seek to increase the coordination between all departments of the government, raise labour market participation, encourage further training and boost entrepreneurship.