Issue link: https://maltatoday.uberflip.com/i/1222482
5 maltatoday | WEDNESDAY • 18 MARCH 2020 NEWS Coronavirus Lay-offs already taking place in catering industry, association says MATTHEW AGIUS THE Association of Catering Estab- lishments (ACE) has called for calm as businesses start to lay off workers due to the economic impact of COV- ID-19. The body, which represents catering industry staff, noted that layoffs were already occurring in view of the cur- rent situation. ACE appealed to all in- volved "not to take rushed decisions." "Regrettably some are having imme- diate reactions to communications. We call for informed decisions in or- der to ensure to save businesses, jobs and the future of our economy." Although the government on Mon- day gave instructions for bars and restaurants to close, most establish- ments had already closed due to di- minished sales, said the association, noting that the government was being "very cautious" in the circumstances. Saying the situation had changed drastically for the catering industry, the association asked for addition- al measures, including transforming the existing government schemes for business growth into business sav- ing schemes and using the maternity fund to help in paying parents who are unable to go to work because of school closures. The ACE said that where possible, catering establishments are to sustain payments of 2 days a week for the next two months, suggested the asso- ciation. It also urged the government to consider to exempt from tax, land- lords who reduce their rent by at least 50% in the case of establishments and by 75% in the case of homes. "The situation everyone found themselves in is that all establish- ments will become start ups in a few weeks. In this context, we feel that there may be sufficient arguments to use these funds to protect the existing businesses," said Reuben Buttigieg, CEO of Erremme Business Advisors. After meeting health experts, Delia relaxes call for lockdown MASSIMO COSTA ADRIAN Delia appears to have relaxed calls for an immediate lockdown after meeting public health experts, insisting today that he only mentioned lock- down twice. The Nationalist Party leader avoided mentioning lockdown when delivering a press confer- ence on Tuesday and appeared to moderate earlier calls for an immediate and complete lock- down when asked by the media about his position on the matter. Delia met with Public Health Superintendent Charmaine Gauci and other healthcare pro- fessionals on Monday, a meeting which appears to have left its im- pact. Last week, Delia wholehearted- ly embraced calls for an immedi- ate lockdown made by the Med- ical Association of Malta and the UĦM. Delia said the country was practically three-quarters in lockdown and called for a dis- cussion on which essential ser- vices would need to keep being provided and which should be stopped immediately to limit vi- rus spread. Asked by MaltaToday what the PN's position was on the lock- down - given that government was abiding by the advice of public health authorities on the issue - Delia said that while the health superintendence was giv- ing good advice, putting in place the needed measures immedi- ately was crucial. "The superintendence gives its advice [...] but the time it takes for the government to react makes all the difference," Delia said. Had, for instance, the govern- ment promptly closed Malta's borders to travel, the number of Covid-19 transmissions would have been reduced, he said. "We could have avoided 90% of trans- missions." In light of the fact that the number of tourists coming to Malta had already drastical- ly dropped due to factors such as the mandatory quarantine measures, Delia asked why the step hadn't been taken to ban all flights, barring those to repatri- ate Maltese residents. "The only thing [which happens by allow- ing flights in] is that the risk is greater," he said. Government should finance 50% worker salaries Delia said the government should cover 50% of workers' salaries for businesses which are facing problems in retaining em- ployees due to the economic im- pact of the coronavirus. The Nationalist Party leader said the 50% should be capped after agreement with industry stakeholders and unions. The government's financial help to businesses would be pro- vided on the condition that no workers are laid off, he said. Delia said the government had to bolster the aid it was provid- ing to businesses and ensure that jobs were safeguarded. Should government fail to help shoulder the salary burden faced by employers, workers would be sacked, he said. This would mean the govern- ment would have to pay their unemployment benefit, which would end up costing it more than the cost of covering 50% of capped salaries. Delia said the government had to declare that it would be shoul- dering the burden of quarantine leave for workers. "The govern- ment should carry this burden," he said. A third measure the PN leader proposed was for the govern- ment to create a structure to- gether with the banking sector to use local banks' "massive sup- ply of liquidity" to postpone loan obligations which businesses have on their existing facilities. "The Opposition is prepared to immediately help the govern- ment in Parliament to pass emer- gency laws needed for such a fi- nancial package to be launched immediately," Delia said. "We are not in an electoral campaign, competing with each other. We are in a national emergency the likes of which we have very rare- ly encountered in the past. The government, Opposition and all of society must work together." Adrian Delia