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2 NEWS maltatoday | WEDNESDAY • 6 NOVEMBER 2024 2 MARIANNA CALLEJA mcalleja@mediatoday.com.mt 'Ready to face the challenges of tomorrow' Overpopulation takes over post-Budget debate on TVM's Xtra OVERPOPULATION dominat- ed the first debate following the Opposition's post-Budget rebut- tal, with union leaders and busi- ness representatives voicing their concerns over Malta's current economic model and its implica- tions. "There was a push to grow our economy by expanding our work- force without fully considering the repercussions," Malta Cham- ber of Commerce CEO Marthese Portelli said. On Monday, Opposition leader Bernard Grech delivered a budget rebuttal that heavily criticised the Labour government's policies, particularly around economic growth and overpopulation. He argued that the government's reliance on low-income, foreign labour to stimulate growth is unsustainable and leaves the na- tion vulnerable to socioeconomic pressures, especially as living costs continue to climb. Speaking on behalf of the Mal- ta Chamber of Commerce, on TVM's Xtra, Marthese Portel- li emphasised that Malta's 2013 strategy to fuel economic growth by expanding the workforce has led to unforeseen strains on the country. She also said that while eliminating foreign workers en- tirely from the equation isn't fea- sible, the country should priori- tise transitioning to a high-value economy. "It's essential to shift towards high-value-added policies," she said, pointing out that the last industry strategy, dating back to 2007-2010, shows how overdue this change is. Kevin J. Borg from the Malta Employer's Association echoed these sentiments, highlighting a lack of long-term vision in Malta's rapid economic expansion. He described it as "almost hap- hazard growth, an explosion with- out sufficient foresight for an end goal". According to Borg, this approach contributed to a "productivity deficit", with rising costs of living and stagnant quality of life. To re- store balance, Borg argued, Malta must focus on boosting produc- tivity through improved quality, increased efficiency, and techno- logical advancements, while also investing in skill development. Meanwhile Josef Bugeja, from the General Worker's Union, ar- gued that Malta's overpopulation concerns extend beyond foreign workers alone. "The perception is that overpop- ulation is only about workers," Bugeja said, suggesting that tour- ists and expats who have made Malta their home also play a role. He argued that Malta needs a unified vision that includes long- term considerations for workforce sustainability, especially with low birth rates and a dependence on foreign labour in sectors such as elderly care, hospitality, and man- ufacturing. CONTINUED FROM PAGE 1 He drew comparisons to the government's handling of past crises, like irregular immi- gration and COVID-19, sug- gesting that Malta is equipped to address current economic challenges with a quality-first approach. Tourism and migration Abela proposed a new ap- proach to evaluating invest- ment by measuring not only its economic benefits but also its societal impact. Regarding tourism, he advo- cated for a shift in how success is measured, from the sheer number of arrivals to the qual- ity of visitors. He said Malta needs to attract affluent tour- ists who stay longer. "We're at an advantage with our culture and history, but that alone won't attract high-quality tour- ists. They expect a clean en- vironment and a high level of service," he said. Abela announced a tourism policy consultation process for later this year, which will con- sider issues such as the preva- lence of apartment rentals and their impact on local residents. Abela also touched on labour migration. He said the Labour government won't allow a sit- uation whereby employers hire foreign labour for the sake of keeping local wages low. "Certain businesses hire and fire foreign workers on a weekly basis," he said, adding that the workforce needs to be strengthened through skills training. He mentioned temping agen- cies, saying they spent years operating in an unregulated market. "We addressed the re- ality for the first time and in- troduced a robust regulatory framework in this area." Family measures Abela said the Labour Party is committed to family welfare, and two Budget measures show this: the increase in children's allowances and the income tax cuts. He argued that these measures could save families an additional month's salary annually. In response to concerns raised by the Nationalist Party, he clarified that the government does not intend to raise the official retirement age, though the number of years required to qualify for a full pension has increased by one year. Transport and health On infrastructure, Abela said the government will make sig- nificant changes to traffic man- agement and waste collection. He said the government needs to transition to digital systems, especially in traffic manage- ment. "We can't rely on outdated systems; it's like using CDs instead of Spotify in an era where you can barely find a CD player," he said, adding that the government is consid- ering adopting AI and drone technology for real-time traffic monitoring. Abela said the government will enter into €14 million partnership with private health providers to reduce waiting lists for surgeries. The government will also expand the amount of mental health services offered, includ- ing telehealth and community outreach programs. "We're de- termined to address the stigma around mental health," he said. Education and public sector support Malta's early school leaving rate remains a concern for Ab- ela, who stressed the impor- tance of keeping youth engaged in education. "If we want a good future for our youths, we need to convince them to stay in school and continue learn- ing," he said. He briefly congratulated Glenn Micallef, who was con- firmed as Malta's next Europe- an Commissioner on Monday. He also announced a €1.2 billion agreement for public sector employees, which will provide a six-year package, in- cluding additional paid emer- gency leave. "This is what the government does when it really believes in the human resourc- es of its country," he said. In support of Gozo, Abela mentioned a €93 million in- vestment, including an added ferry to the Gozo Channel fleet to improve connectivity. Opposition takedown Abela dedicated a considera- ble part of his speech to criti- cising the Nationalist Party. He described the party as lacking a coherent plan and being divid- ed on key issues. He also criticised the Nation- alist Party for not publishing its pre-Budget document, despite starting work on one. At one point, Abela insinuat- ed that the pre-Budget docu- ment was leaked to the Labour Party by Nationalist MP Adri- an Delia. The MP denied this on Facebook. Abela specifically mentioned the Nationalist Party's failure to file financial accounts on time and questioned their abil- ity to manage the country's fi- nances effectively. The Prime Minister also took issue with the party's legal challenge to prohibit public broadcasting of Budget-related content, and he accused it of hypocrisy on the issue of for- eign labor. Closing statements In closing, Abela said the La- bour Party is committed to progressive reform, resilience, and unity in addressing Malta's challenges. "The Labour Party is the on- ly political force that can bring reform and positive change," he said. "We are ready to face the challenges of tomorrow." Abela criticised the Nationalist Party, described the party as lacking a coherent plan and being divided on key issues