Issue link: https://maltatoday.uberflip.com/i/619227
8 TIM DIACONO THE president of the Chamber of Commerce has strongly op- posed a potential increase in the minimum wage, warning that it would have a domino effect that would damage Malta's competi- tiveness. "If the government increases the minimum wage, then people currently earning just above the minimum wage will also start demanding higher salaries," An- ton Borg said on the current af- fairs programme 'Reporter'. "Even though the economy is doing well, Malta still faces strong competition from other European countries. The great- est cost expenditure faced by Maltese companies is wages, the second is electricity bills, and the third is way down the list of cost burdens. "Raising the minimum wage will simply increase the cost burden on Maltese industry, and could hence lead to a rise in un- employment," Borg said. Host Saviour Balzan ques- tioned whether a minimum wage rise will increase people's purchasing power, which will in turn lead to higher consumption. However, Borg retorted that ex- ports would take a severe knock. Borg said that the greatest problem currently faced by Mal- tese business is the shortage of people in the labour pool. "Many Maltese people refuse to work in certain jobs because they aren't ready to work for such low wages, forcing businesses to resort to foreign employees," the Chamber president admit- ted. "However, only a few people are on the minimum wage and Maltese people are only reject- ing these jobs because they are managing to find better jobs elsewhere, which is how the free market should work. "I see no problem with bring- ing in foreign workers to fill up certain jobs, as it will boost the economy." Borg said that academia cours- es should be more properly de- signed to address certain skills gaps in the workforce, such as the shortage of local account- ants that has led to several audit firms hiring Filipinos. When questioned by Balzan on the Labour government's self- proclaimed pro-business stance, Borg had words of consolation for the previous Nationalist ad- ministration. "Just because the current government is pro-business, it doesn't mean that the previ- ous one wasn't," he said. "The current government is passing through a period of economic growth, whereas the previous one had passed through eco- nomic instability. Tough eco- nomic times force governments to introduce certain measures that make them look less pro- business." maltatoday, WEDNESDAY, 23 DECEMBER 2015 News 8 WIN the book To win answer the right question tick the right answer/answers? ❏ Inga Boissevain was Dutch ❏ Inga Boissevain lived in Malta and spoke Maltese ❏ Inga Boissevain was married to Jeremy Boissevain ❏ Inga Boissevain was Swedish ❏ A Maltese Marriage is historical fiction Send your answers by 17 December to: MediaToday, WIN A BOOK FROM Choppy Books, Vjal ir-Rihan, San Gwann The winner of the set of four books by Arturo Caruana Are Bernice Cohen from Kalkara and Sandra Grech from Attard published by Choppy Books A Maltese Marriage GWU chief's actions 'will not be influenced' by Labour government TIM DIACONO GENERAL Workers' Union sec- retary-general Josef Bugeja in- sisted that he will not shy away from taking the necessary action to safeguard workers' rights, de- spite the Labour Party being in government. "My primary interest will al- ways be with the union's mem- bers, and not to whichever po- litical party is in government," Bugeja said on 'Reporter'. "While most of our members are Labourites, a significant portion of them are Nationalists too. Party politics isn't a factor to me when speaking out." The GWU has historic close links with Labour, and Bugeja's predecessor, Tony Zarb, was of- ten accused of serving the PL's partisan interests ahead of the union's own members. However, Bugeja struck a cau- tious tone when asked by host Saviour Balzan about the mod- ern relevance of the relationship between party and union. He instantly referred to a spe- cific case, whereby an inquiry under the previous Nationalist administration revealed that government-employed care workers were working in pre- carious – but not gravely so – conditions. "I told the minister responsible to take action, but he had re- sponded that the people weren't working in grave conditions. "The current Labour govern- ment listens to us more than the previous Nationalist one had," he added. When pressed as to the legitimacy of this state- ment, given that the PL and PN share similar economic policies, Bugeja said that their political similarity is exactly why he has no problem defending workers' interests regardless of the party in power. Bugeja also denied having a cosy relationship with Prime Minister Joseph Muscat, claim- ing that he has never personally phoned him up. "I am ready to tell Muscat face to face if I disagree with his government's policies," he said. "Indeed, he had rejected my pro- posal for the government to em- ploy all care workers, cleaners and security officials currently employed by contractors, a pro- posal that could have ended the problem of precarious employ- ment once and for all." 'Absolutely nothing wrong' with lease of GWU offices to ARMS Bugeja reiterated his defence of the union's decision to lease of- fices to state utility billing com- pany ARMS, despite a National Audit report revealing that the deal breached its lease agree- ment with the government for its headquarters. According to the agreement, the union is forbidden from transferring or letting part of its Valletta building to any com- pany in which it has under 51% shareholding. However, Bugeja said that the GWU had recently redeemed its ground rent – for €16,026 – rendering the property freehold and hence allowing the union to sublease it to third parties. He also questioned how an evaluation report by the Lands Department on the property that the NAO had failed to get its hands on was leaked to the Times of Malta. The report, drawn up in 2008, claims that the GWU was legally bound to pay at least €3.2 million to re- deem the ground rent. GWU secretary-general Josef Bugeja (right, centre) in a recent meeting with Prime Minister Joseph Muscat (left) at the Labour Party headquarters Chamber warns minimum wage rise will have 'harmful domino effect' www.gourmettoday.recipes Chamber of Commerce boss Anton Borg (left) was interviewed on Reporter by Saviour Balzan (right)