Author: SME Chamber

In this week's MCESD GRTU President
Paul Abela like the other social partner representatives gave an outline of the
proposals that had been already presented formally by GRTU. Paul Abela
explained that GRTU's proposals are targeted towards building confidence and
driving growth, which is the name GRTU chose for this year's Budget proposals.

Our proposals have been divided into 3 categories: Incentives in favour of
enterprise, Improving the working environment and Employment. Under these three
categories GRTU has included a number of proposals and important schemes and
incentives that would help enterprise, improve certain services Government is
providing and generate employment.

Mr Abela asked the Minister to
announce at the earliest possible what the indirect taxes that were mentioned
would be so as not to create unnecessary uncertainties.

The Minister once again
mentioned that the Budget speech should be read on Monday 4th November. He
emphasized that the Budget has not been finalized and therefore more suggestions
could be potentially taken on board.

GRTU is hopeful that our well
thought proposals will be considered favorably and we look forward to another
MCESD meeting where Government's plans will be explained in much greater
detail.

As part of the
Management Partnership agreement between the Malta-EU Steering and Action
Committee (MEUSAC) and the European Commission, MEUSAC is currently
implementing a project, entitled, ‘The Economic Recovery: Overcoming the Crisis
Together'.

The project aims to engage stakeholders to evaluate how the crisis
has affected their operations and seek ways how to contribute to the economic
recovery. This is to be achieved through the organisation of a series of seminars
and information sessions.

 Details
of the event:

Date:
Thursday, October 31, 2013;

Place:
Waterfront Hotel, Gzira;

Time:
8:30am – 12:00pm.

Due to space
limitations, only persons representing the government, businesses, research
institutions and the civil society are invited.

Should you be interested in
attending, kindly register by sending an email on: by not later than Monday
October 28, 2013.

Nearly 60% of EU internet users shop online – Clothes, travel
& holiday accommodation: most common online purchases – Internet access
in the EU28 is widespread and today people use the internet for a wide range of
activities, among others to order goods and services online.

GRTU Council
Member Patrick Cutajar attended the conference representing GRTU. European
Commission President Hose Manuel Barroso opened the conference and gave an
introduction. President Barroso emphasized that the aim of the EU is to close
gaps, and keep an eye on disparities and religious differences. 

24% of
the EU's population is at risk of poverty and the EU is asking the national
Governments to allocate 20% of Social Funds to be used to combat poverty and
improve and create jobs.

The EU
also needs to intensify social dialogue. President Barroso concluded by saying
that the ‘EU needs an enhanced social cohesion'

The
European Council President Van Rumpoy continued on Barroso saying that the
major objective of the EU is to create employment. Currently the EU has a slow
recovery growth but this is susceptible, growth alone is not enough, jobs are
important but not sufficient because it takes time, we need to find better ways
to reach the micro-society. The EU is pushing Member States to take measures to
improve youth employment. The EU 2020 objectives remain there and they should
be each nations' strategic targets. From October 2013 onwards, the Commission
will start using improved analytical tools to measure jobs, unemployment and
social trends to act faster. It is important to have long term objectives in
the socio-economic strategy.

Why does socio-economic convergence in the economic and monetary
union matter

During
this discussion it was mentioned that 10 years of EMU saw processes improved.
The EU is highly divided in fiscal terms and no fiscal cohesion exists. The
current unemployment situation is a long term issue and needs long term focus
and planning. People have lost trust in EU administration and this needs to be
re-established since that is why the reason the EU exists in the first place. A
scorecard is being created to analyse new indicators and trends. It was noted
that the most important thing is what actions will be taken when reading the
metrics.

There
are conflicts between austerity and social concerns. Austerity brought
unemployment, inequalities and exclusions within the social strata. When we
mention competitiveness we are accepting that it includes lower wages,
mentioning labour market friendly measures evolved into weaker labour
rights.  The proposed monitoring is
however unlikely to make a difference. The realisation of the social dimension
regime change is like opening a ‘Pandora's Box'. Concluding to this it was
noted that the problem we are discussing is not an EU issue but a world's
issue.

Detecting key employment and social imbalances and challenges in
the EMU

The
proposed scoreboard of key employment and social indicators relevant for the
EMU's well-functioning has been discussed. 
The EU Commissioner for Employment, Social Affairs and Inclusion Mr
Andor noted that what we do not analyse we do not fix.  The scoreboard was explained. 

Social aspects in the macroeconomic imbalances

If
something occurs in one member state it will have an effect on the other member
states. This change is needed because in the issue that happened prior to year
2011, only the financial aspect was taken into consideration. Imbalances and
corrective actions should be presented and followed better by social actions
that will be known through the new indicators. 

The one-stop-shop for the GRTU PVPFScheme – GRTU will this year be participating in the October Home fair
and will be accompanied by all the GRTU Approved retailers that are
participating in the GRTU PVPFScheme, in a dedicated pavilion. This will be a
great opportunity to expose the scheme to consumers and for retailers of  renewable energy products to showcase their offers. The fair will take place
between the 24^th and 27^th of October at MFCC. 

GRTU APPROVED retailers are being offered a space in the
pavilion free of charge in return for their participation in the scheme and the
effort and improvement in standards (during the sale, installation and after
sale) this has meant. Retailers participating in the scheme have undergone a
number of inspections in order to obtain this certification. The ultimate aim
is to safeguard clients by ensuring quality, increase customer satisfaction,
improve the reputation of the sector and increase consumer confidence. The
system initiated by GRTU ensures customers the best quality when purchasing a
PV system.

Within the pavilion there will also be representatives of the
Ministry for Energy and the Conservation of Water and the Malta Resources
Authority who are jointly sponsoring the event and who will be providing
information to the general public.

The PVPFScheme is being offered with the support of Bank of
Valetta. The Scheme allows families to purchase their PV system over a period
of 3 years with no fees and at very advantageous interest rates, with the
remaining interest being paid by the retailer. This greatly increases the
affordability of a PV system by allowing the purchaser to pay the loan amount
without paying the interest and concurrently saving from electricity bills.

The PVPFS scheme may be applied when purchasing from GRTU
APPROVED retailers only.

GRTU Renewable
Energy Section President Noel Gauci has last week participated in a very
interesting  conference on Skills Needs
in Greening Economies. It was very encouraging to note that most issues we face
in Malta are similar to those in other European countries, in Malta however
these issues are more acute.

The main
issue discussed was the need for skills to be able to maintain existing jobs
and further investing in skills for green jobs. At the same time that lay-offs
were inevitably created in some countries we saw the creation of new green jobs
however individuals who were used to traditional jobs needed to be trained so
that they could fit in the newly created green jobs. Adaptation here is also a
key element, and this applies both for industry and the workforce. For instance
a diesel engine manufacturing company needed to adapt and restructure to start
manufacturing gas engines in order to remain sustainable and competitive, while
its employees needed to be trained and skilled for such a change and to
maintain their jobs. This is a case where the companies became greener and so
did the jobs in that company.

One
project presented by Jerry Van Den Berg was of particular interest for Malta.
The project addressed issues such as the target to treat all waste as a
resource by 2020. Recycling and re-use are very attractive and have multiple
benefits for any country, creating substantial job generation.

Another
project was presented from Germany called Qualergy 2020, a project funded by
Intelligent Energy Europe. This project is also of particular interest for
Malta and we encourage the undertaking of similar project. The project focused
on developing new techniques for building energy efficient buildings in every
aspect such as the construction materials used, renewable heat (in Malta's case
we can include cooling), PV electricity, Biogas/mass, etc.

The
European Commission Directorate General Education and Culture spoke about skill
shortages in the EU. These ranged from basic skills to shortages of skills
related to trades people, sales persons and engineers. The best way to tackle
this problem is for education institutions to Education institutions to partner
and work closely with industry.

During
the conference the need for governments to put tools (including funds) at the disposal
of the private sector, industry, companies was particularly stressed. This to
develop technologies and create RES related jobs.

It is
always a pity when enthusiastic individuals are not listened to and thus not
taken into consideration when governments takes decisions. Governments need to
listen more to social partners and experts in various sectors. Otherwise the
best brains are discouraged and lost.

One EU
representative very diplomatically remarked that he was surprised to see
countries participating included Latvia, Romania, Bulgaria and….. Malta! Malta
needs to work hard to be reach the levels of countries like UK, Germany and
Scandinavia.

Patrick
Itschert concluded that social partners are instrumental and essential for
successful sustainable green jobs creation. Recognition is essential for
initiatives taken by social partners. (This is a case in point for our Green MT
and GRTU APPROVED & PVPFS schemes).

Of
course change will bring consequences, but change is necessary and if we see
what happened in other countries, we realize it is not as bad and difficult as
it seems. In the end training will also prove to be key for better jobs, better
wages, and better lives. Change in lifestyle can lead to a better environment.
It is a shame that in many institutions the right hand does not know what the
left hand is doing, and Governments should put their act together. Coordination
is important, governments should listen to and involve social partners.

The Malta
Association of Family Enterprises (MAFE) 
in collaboration with Bank of Valletta has organised a ‘Family Business
Act': ‘Half-Day Seminar and Discussion Workshop' where the challenges of family
businesses were outlined and discussed in line with the incentives of the
proposed Family Business Act.

The seminar focused mainly on the launched Family
Business Act consultation process, and the manner in which it should facilitate
matters for family businesses particularly in relation to succession. Hon. Dr
Cardona, Minister for the Economy, Investment and Small Businesses said that
the new government strongly believes that family businesses are the backbone of
the Maltese economy and the catalyst for economic growth and job creation. He
announced that the government will be legislating in favour of a Family
Business Act. Hon. Chris Cardona also discussed the consultation process which
has been ongoing since work on the creation of a Family Business Act commenced
earlier this year.

Mr.
Mario Duca, President, Malta Association of Family Enterprises (MAFE) explained
that the majority of family businesses fail as a result of internal factors and
not due to business factors and how they differ substantially from those in
other companies due to the interlocking relationships between the family,
business and ownership structures. Mr Duca informed that MAFE was recently
accepted as a member of the European Family Businesses as a result for being an
active role, by voicing and lobbying such interests both on a national and
international level.

Mr
Albert Frendo, Chief Officer Credit, Bank of Valletta, spoke about the
development and transition of family businesses over time, their resilience
which is one of their key attributes and the characteristics that banks look at
for a sound banking relationship with such businesses.

Dr. Jean
Philippe Chetcuti, MAFE Secretary said that Maltese law, lacks clear
legislation and imposes financial burdens upon family businesses. He said that
legislating in favour of family enterprises would provide the structural
support that enable family enterprises to grow and flourish through
generations. He also explained how family businesses should benefit from the
same incentives as Groups of Companies in respect of stamp duty and other tax
incentives during share transfers taking place between family members.

From a
European perspective, Dr. Joanna Drake, DG Enterprise, explained how the EU
recognises the special nature of family businesses and that it strives to
actively fight for a European policy which does not negatively affect family
businesses but rather, creates a level playing field.

Mr.
Darius Movaghar, Policy Director at European Family Businesses, described
Malta's initiative as ground breaking and the Family Business Act will be a
unique piece of legislation as no other Member State of the EU has, to date,
enacted a formal law specifically addressing family businesses.

The
panel discussion also highlighted the importance of supporting the family
enterprises structures through different mediums and through the provision of
funding for further investment in training, governance and growth.

The
Seminar and Discussion Workshops were moderated by Ms. Vanessa Macdonald.

This information is already available online in
relation to "mixed waste" collection, again after this was requested by Green
MT, over two years ago.

It is very important that Local Councils can access
environmental information and be able together with Schemes to take any action
deemed necessary to increase collection figures of packaging waste.

Our request to publish information of recyclables
should have no objection by WasteServ as since Jan 01, 2013 both recovery
Schemes use the services of the same MRF facility for recovery of the grey or
green bag.

In discussions held with the new administration at
WasteServ, they state that "prima-facie" they see no problem in doing this as
the information is available and there are no IT problems of any nature.

If this is the case, we see no reason why WasteServ
should not move on and place these figures online as of January 01, 2013.

Another suggestion to the same issue would be to
change the accessibility feature on WasteServ's main website page. Currently to
access information related to mixed waster collected from Local Councils, one
has to click on "Company Statistics". This is misleading and should be changed
to "Local Councils Statistics".

We continue to strive and work hard to make sure that
environmental information is provided online for our Local Councils and
citizens across Malta & Gozo. Whilst for some, such an issue looks so
simple, it seems that through tangled bureaucracy or the lack of taking
decisions continues to grind the wheels. Let's move on.

GRTU President
Paul Abela participated at an event organized by the European Economic and
Social Committee (EESC) in Malta as one of a speaker during a panel discussion.
In his intervention Mr Abela emphasised the importance of the schemes such as
JEREMIE to help SMEs restructure, invest and innovate and come out of the
crises.

"Business
is not the problem, but rather the solution. Therefore, business has to take
centre stage in the new economic plans the EU will be proposing and possibly
introducing over the months to come." These were the concluding remarks of the
address delivered by Mr. David G. Curmi, President of the Malta Chamber of
Commerce, Enterprise and Industry.

The
objective of the conference was to initiate a frank and open debate on the
various responses to the financial and economic crisis in EU Member States and
analyse them from a business perspective. The aim was to encourage an exchange
of views, diagnoses and practices between EESC Employers' Group Members and
leading Maltese business representatives.

Two
panel discussions took place. The first dealt with questions from a national
point of view and an exchange of ideas as to how the governments and employers
were dealing with the crisis and which best practices were adopted.  The first panel was moderated by Vanessa
Macdonald and included members of the EESC Employers Group. The second panel
was moderated by Stefano Mallia, Vice 
President of the EESC Employers' Group. It discussed Europe's response to
the economic crises and whether the EU was aware of the needs and realities of
employers. The panel was composed of the Hon. Dr. Mario de Marco – Deputy
Leader of the Opposition and Spokesman on the Economy, Investment and Small
Business, Mr. Gérald Petit – Policy Analyst – Analysis of Economic Reforms, DG
Enterprise, Mr. David Curmi – President of the Malta Chamber of Commerce,
Enterprise and Industry, Mr. Arthur Muscat – President, MEA, Mr. Tony Zahra –
President, MHRA and Mr. Paul Abela – President, GRTU.  

The
closing address was delivered by the Prime Minister, the Hon. Dr. Joseph Muscat.