'Militancy is not the way...'

Employers warned yesterday that industrial disruptions and mass protests like that held by the General Workers' Union on Thursday were undermining efforts to attract investment.

During a protest planned to coincide with the Commonwealth Heads of Government Meeting, GWU secretary general Tony Zarb said industrial action could be called as early as Thursday unless the government accepted to discuss with the union how it would mitigate workers' burdens.

Mr Zarb said employers who tried to coerce workers who followed the union's directives would find "everyone behind their doors".

Reacting to Mr Zarb's comments, the director general of the Malta Employers' Association, Joseph Farrugia said the GWU should be careful as its actions could deter investment.

"It is not in the union's interest to threaten employers on whom jobs ultimately depend," Mr Farrugia said.

While the GWU has criticised the government because the Lm1.75 cost of living increase per week given in the last budget was not sufficient, employers have asked the government to stop awarding the yearly increase across the board as this is raising labour costs and pushing them out of business. They insist any increases should be linked to higher productivity.

"Militancy is not the way to generate employment," Mr Farrugia said.

Recalling the failed attempt to agree on a social pact last year and again earlier this year, he said that "certain unions" were to blame for the collapse of the talks.

There were issues of competitiveness and productivity that were at stake in the country at the moment but these could definitely not be solved by protests and threats, Mr Farrugia said.

The Federation of Industry said the GWU should seek constructive solutions to the country's problems: "No amount of mass protests, let alone industrial disruptions, can be translated into new jobs and will not help to protect the existing ones. Such tactics can only create instability".

While acknowledging the right of unions to speak for their members, the FOI said resorting to industrial action before other options had been exhausted was "unacceptable".

"It would be much more sensible should the GWU present its proposals to the Malta Council for Economic and Social Development and ask for an urgent discussion on the current situation."

Resorting to industrial action when there was no industrial dispute smacked of old-fashioned and outdated strategies.

At this point in time, and faced by challenges brought about by globalisation and the oil price hikes, the country needed to focus and to channel its resources into positive and innovative thinking, the FOI said.

The general secretary of the Union Haddiema Maghqudin, Gejtu Vella said the present state of affairs further strengthened the UHM's belief that the country had lost a big opportunity to agree on a social pact.

In the absence of a pact, which would have bound all stakeholders for a period of time until the country regained competitiveness, the government had the constitutional right to implement any measure it deemed fit.

At this point, however, just solutions were sought through meaningful dialogue and not by taking to the streets, Mr Vella said, adding that the UHM only resorted to industrial action when employers "become arrogant" and when there was no other alternative.