Issue link: https://maltatoday.uberflip.com/i/1537913
15 maltatoday | SUNDAY • 27 JULY 2025 FEATURE Malta: A closed shop in the port labourers section, were authorised to be replaced by their son, daughter, brother or sister. The amendment to the Port Workers Regulations also es- tablished that port workers who had been in possession of such a licence on 23 October 1992, or during the period between Oc- tober 2004 and October 2017, were also eligible to be replaced by their children. A closed shop Companies can hire among the hundreds of port work- ers listed in the Port Workers Register but if those workers do not meet the employers' requirements, the companies must hire among the relatives of these port workers. Only if the relatives do not meet the re- quirements can the employers choose their staff freely. This has created a system whereby some 400 licensed port workers enjoy exception- al working conditions and can sub-contract the work they're supposed to be doing to oth- er workers. These workers are self-employed, do not enjoy leave benefits, and are assigned work on a day-to-day basis usu- ally as drivers or in just one par- ticular port. A former worker who was hired under this system spoke to MaltaToday about his ex- perience working at the Malta Freeport. While he never had a prestigious port worker licence, he was sub-contracted by some- one who carries out the same work. "I eventually left that work be- cause it was not worth it for me. I was working as a full-time em- ployee at the Malta Freeport but without the benefits," he said. A port workers' monopoly With high barriers of entry, the port worker trade is consid- ered a closed shop. What makes the trade even more lucrative for those with a licence is that they enjoy a monopoly on all port work in Malta. There are many cogs in the freeport machine, but only a port worker can board a vessel and handle cargo. A shipping agent cannot hire its own em- ployees to do the job, regardless of whether they are fit and able to do it. A logistics executive explained to MaltaToday that this mo- nopoly system is making im- ports far more expensive than they have to be. "When comparing Malta to other countries, the Malta Free- port is very expensive," he said. "Why does it have to be a closed shop?" He also pointed out that port worker charges are regulated by parliament, instead of being dictated by the free hand of an open market. Another executive with years in the industry said that ship- ping agents are not directly af- fected by this system because they only deal with Malta Free- port Terminals, the company that runs the transhipment hub in Birżebbuġa. "At the end of the day, the sea freight transport industry has evolved so much. Cargo used to come in sacks that would have to be carried on the shoulders of port workers. Now, the port worker just has to go on board and unlash the cargo. They just support the process," he said. Still, the system is not per- fect and some things can be tweaked. "We all know the effects a monopoly has on a system," he said. "It restricts people with experience from entering the market. That is bad in and of itself." Government defends the system When the European Commis- sion announced its court action against the government, Trans- port Minister Chris Bonett de- fended the system outright. He said the government will defend the law wholeheartedly in the interest of port workers and their families. In a comment to MaltaToday, a spokesperson for the prime minister said he has mobilised the full support of the govern- ment, including a legal and technical team, to protect this scheme. "The prime minister remains fully committed to protect the rights and livelihoods of Mal- tese port workers, as he has consistently done throughout these last years while serving as their legal consultant, then as Member of Parliament, and now as head of the country's ex- ecutive." Prime Minister Robert Abela once served as the legal repre- sentative of the Malta Dockers Union. He followed in the foot- steps of his father, George Ab- ela, who had represented port workers in the port reform of June 2007. Casual workers challenge the system A group of casual port work- ers had filed court proceedings against the Ministry for Trans- port, the Malta Dockers Union and the State Advocate, con- testing what they described as blatant discrimination. They claimed that despite performing similar duties to licensed port workers, they re- ceived inferior pay and condi- tions. Moreover, they claimed that the 2017 legal notice further discriminated against them, leading to their resignations and significant damages. The defendants refuted the claims, arguing issues of juris- diction, lack of discrimination and that the plaintiffs were nev- er employees of the union nor were they promised licensed positions, thus suffering no damages. In April, the court rejected the claims, finding no entitle- ment to damages and that the legal notice being challenged did not affect their eligibility for licensed positions and that the court lacked the jurisdiction to declare the legal notice void based on its incompatibility with EU law. monopoly where licences are inherited, breaches Justice With high barriers of entry, the port worker trade is considered a closed shop. What makes the trade even more lucrative for those with a licence is that they enjoy a monopoly on all port work in Malta.