Issue link: https://maltatoday.uberflip.com/i/1485686
9 EDITORIAL BusinessToday is published every Thursday. The newspaper is a MediaToday publication and is distributed to all leading stationers, business and financial institutions and banks. MANAGING EDITOR: SAVIOUR BALZAN EDITOR: PAUL COCKS BusinessToday, MediaToday, Vjal ir-Rihan, San Gwann SGN9016, Malta Newsroom email: bt@mediatoday.com.mt Advertising: afarrugia@mediatoday.com.mt Telephone: 00356 21 382741 T he labour market is in flux with a lasting legacy of the pandemic being a shortage of workers in various sectors. A recent report by the Malta Em- ployers Association acknowledged that the pandemic gave workers a chance to savour a slower-paced life, prompting them to seek flexible working conditions in a post-pan- demic world. e search for a better balance be- tween work and life has prompted workers to shift away from certain industries, leaving gaps in the labour market that are hurting these sectors. is situation, which is particular- ly evident in the hospitality, catering and retail sectors, is fuelling the need for more foreign workers. is pressure from industry comes at a time when government is itself re-evaluating the economic model it championed over the past nine years, which was based on labour market growth. Finance Minister Clyde Caruana has said the country needs to look at a different economic model that aims for higher value-added, a bet- ter-skilled workforce, technological- ly-driven change and that champions quality of life issues. It is the next stage of "economic development", Caruana described it. But in doing so, the minister added this will not happen at the flick of a switch and not in all sectors. Some will definitely need foreign labour to supplant gaps in availability and skills. Whatever the direction the econo- my takes, foreign labour will still be required across the various industrial sectors for the foreseeable future. Within this context, government must respond to the commercial community's demands by ensuring the work permitting system is robust but efficient. Work permits are currently issued for one year. It may make sense to grant work permits for lengthier pe- riods to encourage permanency and stability, making it worthwhile for companies to train foreigners and help them integrate better. ese lengthier permits may be tied to certain conditions, such as profi- ciency in English and a certain skills level. Allowing foreign workers to settle here permanently should also be a possibility that is offered, especial- ly in areas where the country lacks skills. A number of sectors are dependent on foreign workers to function prop- erly, such as the nursing and care giv- ing professions. Giving these workers a sense of permanency will not only serve as an incentive but also ground them within this society. e MEA has suggested regular communication between Identity Malta and recruitment agencies and other stakeholders. is dialogue is necessary to smooth the kinks and encourage a better understanding of needs and obligations. But businesses also have to respond to the demands of changing society that yearns for more job flexibility. e pandemic has changed attitudes. Workplace flexibility should be en- couraged by government through tax and investment incentives but busi- nesses must also step up, especially if they want to employ Maltese work- ers. Flexibility should be an integral part of work packages, aided by invest- ment in technology that enables safe remote working. Understanding the labour market, and the economy's current and future demands, are crucial. is is why the skills survey undertaken by the Na- tional Statistics Office was important. e findings will help inform policy choices for a gradual transition to a new economic model. A labour market in flux 24.11.2022