We need a new economic model. This has been the call that has frequently been made over the past few months.

While such a view had been circulating around for some time, it gained momentum when the finance minister explicitly said that building an economy which is dependent on the importation of foreign workers is no longer sustainable. If there was ever a need, the recent multiple failures of the power distribution system brought this reality home in a very stark and tangible manner.

Various organisations and economic pundits have said that the government needs to design and implement a new economic model but should it really be left to the government to decide the design and direction of our economy moving forward?

I believe that there is no doubt in anyone’s mind that the current situation from an economic, environmental and social point of view is no longer sustainable. Achieving economic growth based mainly on the importation of foreign labour is clearly not possible any longer. The over-construction of the country, the collapsing waste and energy infrastructures are leaving a negative impact on some of the very key industries on which, ironically, we are dependent for growth.

Over-construction and the general shabbiness of the country are negatively impacting the experience of visiting tourists. Significant power cuts, such as the ones we just experienced, make operators in key industries, such as the gaming industry or the pharma industry, to think twice about investing further in their Malta operation. Indeed, it might even spur them to move to a more ‘secure’ and stable environment. 

Then there is the very evident growing alarm at the rapid degradation of our environment. Large swaths of land continue to be eaten up by a construction industry that has a seemingly insatiable thirst for more and more concrete, accompanied by a total lack of sophistication when it comes to aesthetics.

In addition to this, there is also the total dehumanisation of our village cores where once quaint and attractive villages are being turned into faceless urban sprawl. What is left of the natural environment is very often being blocked off, making it almost impossible to walk through the countryside.

All of which is also giving rise to social tensions. I’ve had countless discussions with people from all walks of life during which they continue to express alarm at the fact that they no longer feel comfortable in Malta and, indeed, sometimes feel alien in their very own home town.

Power cuts make operators in key industries think twice about investing further in their Malta operation- Stefano Mallia

With all that is going on, various organisations and NGOs have been calling on the government to do something quick and tangible about the whole situation. Various proposals and ideas are put forward as to what could be done to make the situation better. The government is clearly under incredible pressure and is struggling to come up with an impactful response.

I, however, feel that, all too often, the calls, appeals and suggestions are either too short-term or, indeed, too fragmented. This is not to say that efforts at providing holistic approaches have not taken place. To mind comes the effort made by the Malta Chamber at presenting an Economic Vision as well as the Malta Sustainable Development Vision for 2050.

It is clear, however, that if we are to break this dire state of affairs, we need to change step, change the dynamic. Much as the main responsibility to get us out of this predicament lies with the government, we cannot just continue calling on the government to do something hoping it has a magic wand.

The circumstances are such that the social partners need to collectively step up and take the lead. I use the word ‘collectively’ in a very forceful manner. It is only by working together, employers, trade unions and NGOs, putting our collective power and resources together, that we can make a difference. After all, who knows better than employers, trade unions and civil society what kind of economy is needed. The platform to undertake this collective effort already exists and this is the MCESD.

As social partners, we collectively need to devise a plan of action with clear milestones and targets, with tangible actions that employers, trade unions and civil society can take. Let us call it an economic, social and environmental pact if you wish.

Yes, clearly the government must feature in this plan and, indeed, has a key role to play. However, it should be the social partners and civil society who should lead the way, bring the government on board and ensure that it too takes on its responsibilities.

In other words, it should be the social partners and civil society that should design what is needed and then hold the government accountable to a plan of action, devised and fully agreed upon by the same social partners and civil society. For too long we have expected the government to do what the country needs. It’s time we changed the paradigm and took the lead.

Stefano Mallia is the president of the Employers’ Group at the European Economic and Social Committee in Brussels.