Author: SME Chamber

The employment status of a person who is nominally self-employed is to be presumed to be that of an employee, if a minimum of five of the following criteria are met.

 

(1) he depends on one single person for whom the service is provided for at least 75% of his income over a period of one year;

(2) he depends on the person for whom the service is provided to determine what work is to be done and where and how the assigned work is to be carried out;

(3) he performs the work using equipment, tools or materials provided by the person for whom the service is provided;

(4) he is subject to a working time schedule or minimum work periods established by the person for whom the service is provided;

(5) he cannot sub-contract his work to other individuals to substitute himself when carrying out work;

(6) he is integrated in the structure of the production process, the work organisation or the company's or other organization's hierarchy;

(7) the person's activity is a core element in the organization and pursuit of the objectives of the person for whom the service is provided; and

(8) he carries out similar tasks to existing employees, or, in the case when work is outsourced, he performs tasks similar to those formerly undertaken by employees.

Statement by the employer

In situations where the employment status of a person is deemed to be one of employment, the employer shall be bound to give or send to the employee a letter of engagement or a signed statement, which shall include the information laid down in the Information to Employees Regulations.

Exemption

Notwithstanding the presence of five or more of the above criteria that would automatically establish an employment relationship, any person may before entering into such a relationship, submit a written request to the Director of Industrial and Employment Relations to exempt such a relationship from being considered to be an employment relationship. The Director may exempt in writing that relationship, if it is considered that there are particular grounds relating to that activity to exempt it from this requirement, including that the activity being carried out is an uncommon occurrence or of very short duration. Such exemption shall remain valid unless withdrawn by the Director.

Strong first-quarter growth in Germany but slump in Italy. – Germany's first-quarter growth was higher than predicted while other eurozone economies stagnated or shrank, according to figures released this morning.

Germany's economy grew 0.5% from the last quarter of 2011, five times as much as predicted by analysts. The growth was driven mainly by exports.

The eurozone economy as a whole stayed flat, avoiding recession.

But Italy's gross domestic product (GDP) shrank by 0.8% in the first quarter – the country's biggest drop in three years and worse than expected. France's GDP stayed flat, while the Dutch economy was down 0.2%.

The GDP of the EU's 27 member states grew 0.1% in the first three months of this year.

Health claims on food labelling and in advertising, for example on the role of calcium and bone health or vitamin C and the immune system, have become vital marketing tools to attract consumers' attention. Therefore EU consumers expect accurate information on products they buy, in particular on the health claims the products may put forward.

 

Today, a list of 222 health claims has been approved by the Commission. This list is based on sound scientific advice, will be used throughout the EU and will also help to remove misleading claims from the market before the end of the year.

John Dalli, Commissioner in charge of Health and Consumer Policy, said: "Today's decision is the culmination of years of work and marks a major milestone in regulating health claims on food. The EU-wide list of permitted health claims will be available on-line and will allow consumers everywhere in the EU to make an informed choice. Non-scientifically backed claims will have to be removed from the market after a short transition period." The list also provides legal clarity to food manufacturers on the health claims they can or cannot make. The administrative burden will also be reduced, since all enforcement authorities will from now on be able to rely on one list of authorised health claims and their conditions of use to verify if a claim is misleading or not.

Commissioner Dalli added: "Some work remains to be done and the Commission – with the needed scientific background – will now focus on concluding its work by tackling those claims which are still under consideration."

Claims for which the authorisation process is complete will be listed in the Union Register of nutrition and health claims made on foods, as required by Regulation (EC) No 1924/2006 on nutrition and health claims made on foods. This Union Register is an interactive database and is on the Commission's website.

Food manufacturers will have a period of 6 months to adapt their practices to the new requirements. As from the beginning of December 2012 all claims that are not authorised and not on hold/under consideration shall be prohibited.

Background

This Commission Regulation implements Regulation (EC) No 1924/2006 on nutrition and health claims made on foods, in particular Article 13(3). Member States submitted lists of about 44,000 health claims in 2008, which were consolidated by the Commission into a list of some 4,600. By 2010 these claims were sent to the European Food Safety Authority (EFSA) which conducted a scientific assessment of whether the claims could be substantiated. EFSA finalised its main body of work for all health claims other than those on botanical substances in June 2011. Member States agreed to authorise the claims listed in the Annex to this Commission Regulation during the Standing Committee on the Food Chain and Animal Health of 5 December 2011. Both the European Parliament and the Council considered this list under the scrutiny period, which ended with no objections on 27 April 2012.

The list adopted today by the European Commission contains 222 claims, representing nearly 500 entries from the consolidated list. More than 1600 of these entries will not be authorised. For the rest, the authorisation process is in the process of being finalised. It is the responsibility of the Member States' authorities to enforce the rules on health claims.

For more information on Health claims:

http://ec.europa.eu/food/food/labellingnutrition/claims/index_en.htm

For more information on the Register: http://ec.europa.eu/nuhclaims/

The age profile of the EU is expected to change dramatically in the coming decades, according to the EU's latest Ageing report that was published on 15 May. The EU population will in 2060 have slightly risen from 502 million of 2010 to around 517 million. And it will be much older. According to projections, by 2060 nearly one in three citizens will be aged 65 or over while the share of those aged 15-64 will decline from 67% to 56%.

As a consequence, the EU will move from having four people of working-age to each person aged over 65 years to about two people of working-age. The decline in the workforce will act as a drag on growth and per capita income, and will put pressure on public finances in the EU. However, the report shows a large diversity across EU Member States, depending notably on progress with pension reforms.

 

Following a very successful uptake on the Training Aid Framework (TAF) and the Employment Aid Programme (EAP) the Employment and Training Corporation would like to pre-announce the temporary suspension of these schemes as the budgets allocated for this project have now been committed.

However, the Corporation acknowledges the contribution of this scheme to employers to train their personnel and /or take on new employees and that a number of employers were in the process of submitting their applications. In view of this, acceptance of applications and issuing of acknowledgements for both schemes will continue to be received as per current practice by not later than Friday 8th June 2012 at 4:00pm.

The Corporation will also be undertaking an exercise to ensure that the funds committed by applicants will be actually disbursed. Employers who have grant agreements for training under the TAF scheme which was completed by end of March, 2012 are to submit their claims for reimbursement by 16th July, 2012 at 2:00pm. Employers whose EAP grant agreement end date was prior to end of March, 2012 are to submit their claims for reimbursement by 16th July, 2012 at 2:00pm.

Failure to submit the claims for reimbursement by this date will be considered as a withdrawal of the application from the employer's side and the funds allocated to the application in question will be revoked and re-allocated. This will enable the Corporation to free up funds to be allocated to other applicants.

The Employment Aid Programme is a European Social Fund co-funded programme which provides employment aid to employers in Malta and Gozo aimed at promoting the recruitment of disadvantaged and disabled persons. Since the launch of the programme 2800 persons have found employment through this scheme.

Through the Training Aid Framework, which is another European Social Fund co-funded programme, financial assistance is provided to those companies that invest in the training of their workforce. Through this programme a number of companies in the various sectors of the Maltese economy used this fund to train their workforce and more than 23,000 persons were trained.

Students who will be out on a period of Unpaid Work Placement, would have successfully completed their first year of the two-year programme of studies. The students would attain the so important opportunity to gain a real life experience whilst organisation taking part in such scheme will benefit from the services provided by same students – a win-win situation!

 

The courses the students are following include:

Diploma in Financial Services:

Students can be entrusted with any basic routines within the day-to-day Banking and Financial Services operations. They may be involved in projects being taken up in the area of Financial Services, as well as offered the opportunity to observe closely the day to day operations and happenings within this dynamic industry.

Certificate in Insurance:

Students can be entrusted with work related to day-to day office routines within an Insurance environment, with a possibility to observe real life situations as they occur within the office, as well as have the opportunity to carry out tasks which will bring to life, the theory they would have studied during their first year of the programme of studies.

Certificate in Marketing

Students can be entrusted with any task related to basic Marketing processes which will touch upon Advertising, PR, Market Research, and Selling & Sales Management. the content they would have studies during their first year of studies (as indicated above). Such may include tasks and jobs relating to

Extended Diploma in Business

Throughout the period of unpaid work placement, students following this programme of studies can be entrusted with any basic Administrative task and Office routines such as Research Assistant, HR Assistant, Production / Marketing Department Assistant etc

Diploma in Business

Students can be entrusted with any task related to basic Office routines in assisting various Business Functions, as well as opportunities related to Customer Care and Reception duties. Students may also be involved in basic office routines such as data inputting amongst others – ideally such tasks will be varied with other basic jobs which can be assigned to these students.

Higher National Diploma in Business

Students can be entrusted with any basic routines relating to Junior Management. Students may also be detailed to specific projects which may include Market Research and Analysis, General Research (incl EU related projects), HR / Marketing Plans, Supply Chain / Logistic Operations, Production Management related tasks, etc

On Wednesday 30^th May 2012 at 15.30 at the Institute of Business and Commerce Block A, an Information Meeting will be held for those interested in acquiring clarifications re the logistics of the actual work placement scheme. Those wishing to attend are kindly asked to send a reply email by not later than Tuesday 29^th May. For more information call on 2398 7600.

According to the spring forecast released on 11 May, real GDP is projected to stagnate this year in the EU and to contract slightly in the euro area. However, strong policy actions and major advancements in the EU institutional framework have brought about an easing of financial market tensions in the beginning of 2012 and a tentative stabilisation of confidence, expected to strengthen over the forecast horizon.

Together with an expected acceleration in global growth, a gradual recovery is forecast to start in the second half of the year and gather speed in 2013. The unemployment rate, which lags changes in economic activity, is expected to remain at 10.3% in the EU and at 11% in the euro area in 2012 and 2013.

Why did you become an entrepreneur? It was a family business and we carried on with it. How have you come to choose your line of business? We inherited it since it was in our family

 

Where did you go on your last holiday?

South Italy – the things I liked most were the food and the people.

What is your earliest memory?

When my family bought me my first puppy.

If you could chose to be someone famous who would you be and why?

Mother Theresa – because she always helped people less fortunate than others and always distributed her wealth to others. I think that if more people take the steps of Mother Theresa the world would be a better place to live in!

GRTU representative Michael Galea has in April participated in a trade mission to Qatar organised by Malta Enterprise. Mr Galea has prepared a brief overview of Qatar for members who would might be interested in exploring opportunities in this market.

 

Qatar Background

Qatar is a small flat limestone peninsula located in the Saudi Arabian peninsula into the Persian Arabian gulf. Politically Qatar is evolving from a traditional society to one based relatively on more formal democratic institutions to meet the requirements of social and economic progress.

The capital city is Doha. The population is 1.8 million as at 2011. Arabic is the official language and English is widely spoke. Religion is Islam. Natural resources are: petroleum, natural gas and fish. The national currency is the Qatari Riyal.

Qatar has 3 airports; Doha international, Al Khorramshahr and Al Udeid. It's major seaports are Doha, Mesaieed and Ras Laffan.

The new corporate tax in Qatar Is 10%. This applies mainly to foreign companies and is payable on a progressive scale up to a maximum of 35% and there is no VAT. The GDP for 2011 is estimated at €100 billion. External trade plays a big part in the Qatar's economy, mainly exporting oil and gas. Mining and quarrying including oil and gas account to 52% of the GDP.

Trade with EU 27 countries in 2010 accounted to about €13.1 billion. Exports towards Qatar stand about €5.3 billion. The EU exports to Qatar are mainly machinery and transport equipment which account to 60% other products range from manufactured articles, chemicals, food, crude materials, inedible fuels, beverage and tobacco to commodities and transactions n.c.e. Imports from Qatar to the EU mainly consist of fuels 94%, chemicals, machinery and transport equipment commodities and transactions and other manufactured goods.

Trade between Malta and Qatar in 2011 stood and €5.3 million. Comparing 2010 with 2011 total trade increased with 71%. imports from Qatar are relatively low, so Malta has a trade surplus with Qatar. The top goods exported from Malta to Qatar are printed material €3.6m and miscellaneous edible preparations €529K. Products imported from Qatar in 2011 where mainly plastics.

Qatar's total FDI in 2009 was also 36.4% higher than previous year, putting total FDI at about €35billion. This figure amounted to about 47.9% of the gross domestic product generated in Qatar in 2009. A spokesman for the Qatari Statistics Authority commented that: "despite the decline of liquidity in global markets in 2009 due to recession in World economy Qatar has succeeded in attracting foreign investment flows by QR 45.7 bn during the year."

Although to date the main activity is related to oil, the government is fully aware that diversification is a must if the buoyant economic growth recorded is to be pursued. In fact policies designed by the government are being carried out with the intention of facilitating this diversification process.

Qatar, besides it's economic diversification process is also seeking to promote more free market economy and to move away from state monopolies and monopolisticcompetition.

Another major factor that will be driving business opportunities is that related to the World Cup 2022 that will be held in Qatar. The World Cup which is considered as a global event will nonetheless serve as a promotional activity for Qatar. In view of this global event Qatar will be investing heavily to ensure that the world cup hosted in 2022 will endure a positive impression with all those attending the event as well as the billions of event viewers. It is expected that for the 2022 World Cup circa 65 billion United States Dollars will be spent mainly in transportation.

The real estate sector in Qatar is currently enjoying a boom. After Dubai it is the largest Market in the Middle East. This rapid growth is being driven by a number of factors. A main factor that has contributed in this sector is the reform that Qatar carried out in the constitution with respect to ownership of property. These changes actually made purchase of property more accessible to foreign investors since it allows the freehold of property within Qatar. These changes in part can be considered as being coherent with Qatar's strategy to reduce it's economic dependence on oil and to develop other sectors.

Another contributor to the real estate sector has been the big amount of foreigners employed in Qatar. The fact that the oil industry pays higher salaries to workers than competing industries, Qatar manages to attract a considerable number of workers such as: geologists, petroleum engineers and others which are driving the demand for property in the country.

Hosting the 2022 World Cup has increased the growth momentum in this industry. According to a recent research that has been carried out it is envisaged that the Qatari construction sector will be awarding in 2012 more than $22 bn new contracts. Also in view of the World Cup preparations, it is expected that the Qatari construction sector in the next 5 years will be most buoyant construction Market in the Middle East.

Education in Qatar today is being given the importance that it merits. Government is pumping billions of Qatri Riyals every year to further push up the level. The education received by all Qatari citizens is free. The Qatari government has an education vision in mind. To succeed a Supreme Education Council has been set up. The SEC is responsible for education policy and setting broad and sound goals for the school system. Under this system a new school system was intrigued better known as The Independent School Model.

The Qatari government has engaged on a drive to attract and encourage international schools to operate from Qatar. Schools setting up under this project are entitled to a number of incentives. All these efforts towards the education system are being carried out in view of the vision 2030. The main objective is to improve the skill of Qatari males and females to be in a better position to compete for better employment opportunities in energy and industry sectors and also improve the image of vocational training.

Qatar provides an excellent Market for English language courses. With respect to the English language courses, Malta has a very strong sector and provides high quality English language courses to thousands of foreign students on an annual basis. Opportunities in the education sector include those associated with newly privately funded schools; teacher professional development training; curriculum design and standards; innovative teaching, pedagogy, school furniture and learning difficulties. The awarding bodies that should be approached are the Supreme Education Council, The Higher Education Institute, The Evaluation Institute and the Outstanding Schools Oversight Committee.

Healthcare in Qatar is by and large provided by the Government. Private healthcare is practically non existent. In the pipeline the government has a privatisation drive so the opportunities here will also increase. It is planned that in the long term the government will hand over the healthcare services to the private sector.

Furthermore recent changes in Qatari law now allow foreign companies to invest in this sector together with a local partner. The opportunities within this sector are said to increase because the Qatari population is increasing very fast. Population forecasts by the International Monetary Fund show that for 2011 the population of Qatar was about 1.8 million. This represents an increase of 99% to the population recorded in 2005.

At present Qatar has free trade agreements with:

• Iraq
• Singapore
• European free trade association

 

 

There is a free trade agreement between Qatar and the USA. However, this agreement has been on hold since 2006. Qatar is also in the process of negotiating a trade agreement with Australia.