Issue link: https://maltatoday.uberflip.com/i/1518643
WE are constantly bombarded by the mantra that Malta has a strong and ever-growing econo- my. For the government, this is a source of pride and joy. As if having a strong, growing econ- omy means that everyone's bel- ly and pockets are full and that we are living in some heaven on earth. Had this been the case, the government would really have something to boast about. However, the facts give a very different picture. They suggest that our economy is based on worker exploitation, greed, in- justice, environmental destruc- tion and a decline in people's quality of life. When created wealth is not divided in a just way, it is only the few who ben- efit from economic growth while the gap between those with phenomenal incomes and those working for peanuts continues to widen. Economic growth is a ma- jor goal of this government but who is actually benefiting from this growth? And how does our economy grow? The govern- ment embraces a neo-liberal economic model based on a free market philosophy, an individu- alist model which does not pri- oritise workers but rather the wealthy who are willing to invest their wealth to generate more wealth. This model puts eco- nomic growth for its own sake as the ultimate goal with the conse- quence that many foreign work- ers were lured to work in Malta, generally in bad working condi- tions, especially in construction, hospitality and other services. According to Jobsplus statistics, the Maltese labour market is very volatile, with a large turno- ver of workers and a higher rate of workers leaving employment rather than being recruited. Following the pandemic, Malta experienced a wave of inflation like other countries. Although the government partially com- pensated for this, the measures were not enough for workers on low income to cope with the cost of living. In real terms, workers did not have more spending money in their pockets, espe- cially those with low incomes. European Commission esti- mates show that during 2023, in Malta, the nominal increase in wages was only of 1.5%, the low- est in Europe, apart from the fact that the hike in the cost of living rendered any increase in wages practically ineffective. Those who do the shopping know how much more they now have to pay for essential goods. Those who do not go shopping may read official reports which show that despite the increase in wages, workers could not cope with the cost of living, especial- ly when one take into consider- ation that it is the cost of food items that increased the most. Besides budget measures to compensate for the rising cost of living, towards the end of last year, the government increased the minimum wage by 20c an hour with increments of up to 45c by 2027. While, positive, this measure did not adequate- ly address the unjust low wages of many workers. If one looks at other countries in the Europe- an Union, one finds that Malta occupies the 12th place in this regard. Comparing the mini- mum wage in Malta with that of other countries, one notes that the income of those earning a minimum wage in Malta is still quite low. Even in countries like Cyprus, Portugal, Poland and Slovenia, workers earn a higher minimum wage than their coun- terparts in Malta. Although workers on a mini- mum wage are not in their thou- sands, Maltese wages are not generally high, apart from the fact that there are many work- ers who earn slightly more than the minimum. A recent study has revealed that many Maltese youngsters, including University graduates, prefer to work abroad than in Malta on a low wage, which means losing educated and trained workers in whom we would have invested. Low income is not the only problem of an economy which puts the market on a pedestal while seeking to milk workers. Worker exploitation, precarious employment and the uncertain- ty it brings with it, the excessive- ly high rents, the lack of safety in the workplace all eat away at workers' dignity as well as lead to accidents which may prove fatal. There are workers who have to work long hours or to take on a part-time job to make ends meet to the detriment of their health and personal life. Many foreign workers are constrained to share an apartment with others to af- ford rent. Furthermore, in Malta there are many workers, especially those on low wages and in pre- carious jobs, who are not union- ised, making it impossible for them to negotiate better work- ing conditions. We live in a country where the dignity of workers and quality of life are sacrificed on the altar of greed. The construction industry has exploded, an industry that not only disrespects workers and residents, but which is taking up every patch of land in this coun- try, for the benefit of developers. Although construction is not the largest motor behind economic growth, together with other sec- tors like cleaning and food de- livery, it employs many workers, both Maltese and not, in bad and precarious conditions. Economic growth for its own sake is not a positive thing ex- cept for those who prioritise the market and profits, over social justice, worker dignity and the quality of life of all and not just of the few who are pigging out on this growth which is so close to our so called socialist govern- ment's heart. We need a different econom- ic model, built on social justice, worker dignity and employ- ment stability; wages that enable workers to have a decent life, se- rious regulation of the rent mar- ket and a labour market where workers have a say in decisions affecting their life so that we will truly have an economy worth boasting about. maltatoday | SUNDAY • 7 APRIL 2024 4 OPINION On the altar of greed not everyone's belly and pockets are full Angele Deguara Angele Deguara is a Graffitti activist and sociologist