Everyone acknowledges that Malta is facing a serious demographic crisis – the number of Maltese babies being born is at an all-time low.
According to official statistics, Malta has the lowest birth rate in Europe. There are many reasons for this but a major factor is our quality of life and our economic and social challenges.
Last week, Finance Minister Clyde Caruana admitted that Malta has a problem because fewer people are having children. He simply confirmed what the Nationalist Party has been warning about for years. But Caruana is not just a commentator, he is the finance minister, the architect of Labour’s economic model and the person in a position to act.
Why hasn’t the government done anything about this? And why are families thinking twice before having children?
The truth is simple: Maltese families are not necessarily against having children but couples are struggling with serious difficulties that make it almost impossible to plan for and raise a family.
Several factors contribute to this such as the rising cost of living. Food, rent, medicine and essential services have all become significantly more expensive. Meanwhile, wages remain low and do not keep up with rising costs.
Work-life imbalance is another factor. Many parents work long hours and barely have time to spend with their families. Without adequate support, raising children becomes unsustainable.
An economic policy that increased the population but lowered the quality of life is another issue. The Labour government pursued a model that rapidly expanded the population by importing thousands of non-EU workers each year, without proper planning. This pushed up property and rent prices and placed added strain on essential services.
The result is clear but dangerous – couples are realising that life in Malta has become so expensive and difficult that raising children feels almost impossible. Rather than just talk about the problem, the Nationalist Party has already proposed concrete solutions to help families.
The PN has proposed concrete solutions to help families- Michael Piccinino
The PN will expand parental leave. A strong family needs time together. That’s why we propose increasing paternity leave from 10 to 15 days; increasing parental leave from eight to 28 weeks, shared equally between parents; extending maternity leave from 18 to 24 weeks, with the last six weeks transferable to the other parent; and a full year of combined maternity and parental leave to encourage parents to spend more time with their newborns.
We also propose paid parental leave for all workers, including the self-employed. Parental leave should be paid at the average wage so parents can take time off without financial worries; self-employed workers should have the same leave rights as employees; and there should be financial support for employers to absorb the costs of parental leave.
Support for childcare and introducing more flexible work options is another proposal. There should be financial aid for parents who choose to stay home for their child’s second year, matching the amount the government currently gives childcare centres; and increased tax credits for employers who provide hybrid or flexible work arrangements.
Beyond these measures, the PN has also proposed specific solutions to address the rising cost of living. We will make COLA tax-free, give tax credits to employers so businesses don’t have to raise prices due to higher wages, set up a national fund to support local businesses that import or export, helping to stabilise costs and introduce a new economic model focused on high-quality sectors that provide better jobs and higher wages.
If Caruana and the Labour government truly believe Malta’s low birth rate is a problem, they must say what they plan to do about it. The least they can do is support the concrete proposals put forward by the PN to help families cope with rising costs and have children without financial anxiety.
This is a national challenge that demands serious solutions. This is not the time for empty speeches or excuses. This is the time for real action.
If we all agree there’s a problem, let’s act because that’s why we entered politics: to solve people’s problems.
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Michael Piccinino is the PN general secretary and an electoral candidate on the fourth district.