Apprenticeship Schemes – Way forward to bridge education and employment

CEDEFOP (EU agency for Vocational Education and Training – VET) presented initial findings of a study conducted upon the Maltese system for apprenticeships at an MCESD meeting last Monday 2nd March 2015. Education Minister Hon. Evarist Bartolo described the importance of further linking the worlds of education and work together. He highlighted a number of challenges such as the vocational training is still perceived as second-class to academic education in some sectors and that skills gaps are resulting in Maltese workers not having the skills sets to respond to the jobs necessary in our economy. An overhaul of the apprenticeship system was necessary to instil a new sense of quality in the system.

GRTU sees apprenticeships as key to building a stronger labour force equipped with the soft skills necessary for work. This is coupled with practical training and preparing learners with the necessary mind-frame to be more employable and more productive at a faster rate when entering full employment. The study presented by CEDEFOP Director Prof James Calleja and their Research Expert Ramonda David Craescu also showed that the strongest economies in Europe and worldwide, give strong emphasis to VET and apprenticeships. Career guidance, career-management skills, matching and coaching, and other support systems for learners tied with incentives, including financial, to employers, were described as key during CEDEFOP’s presentation.

GRTU commented that the benefits are clear for both education and employment – the student and the entrepreneur, both in macro- and micro- terms. Nevertheless it is clear that this is not being transcended in practice as only small percentages of students are engaged in such work-based learning and only small percentages of businessmen are involved in these opportunities. There is cross-sectoral agreement on the usefulness of apprenticeships but is there cross-sectoral cooperation, the GRTU asked at the meeting.

The benefits have to be communicated and translated in terms which the entrepreneur will see them as beneficial to him. A structured method is necessary but it has to be flexible enough to respond to the needs and realities of small businesses and even moreso, micro-enterprises. In this attempt to renew the quality and trust in the apprenticeship system, GRTU urged that social partners have to be placed as part of the system to gain the necessary trust and quality envisaged.  All learning needs to be given value through a credit system which explains what learning and training goals have been achieved and this needs to be tied to the pending occupational standards being developed. GRTU also commended internships at higher levels in the form of extended apprenticeships at the higher levels of education. GRTU concluded that lecturers, tutors and trainers need to be in touch with the world of work. Systems that link trainers with the labour market have to be put in place in order to ensure that the trainers keep in touch with the ever-evolving methods, technologies and realities at the workplace which will then be transcended onto their trainees.

CEDEFOP concluded the presentation by announcing that a conference on the subject is envisaged to be held in the coming weeks where the full study will be presented. Apprenticeships can give the much-needed value added to our education system. However it must be sustained by a system of trust.

 

Occupational Standards for the Motoring Industry

GRTU together with NCHFE and MCCAA has met representatives from sectors covering the wider picture of the Motoring Industry with the aim to develop the said standards by the third quarter of 2015.

A main feature of occupational standards is that they link qualifications to the requirements of the labour market. The rationale for developing occupational standards is the strong assumed link between employment requirements and education when qualifications are related to occupational standards.

Occupational standards specify what main jobs involve, describing the professional tasks that need to be undertaken as well as the activities and the typical competences required for particular occupations. These standards are therefore classifications and definitions of the main jobs skills.

Mr Richard Curmi, Senior Manager at the Permanent Secretary’s Office within MEDE earlier on this year met GRTU representatives from the following sectors; sprayers panel beaters, auto electricians, maintenance and repair, roadwork  assistance, vehicle sales and other occupations within the sector. Mr Curmi explained how these standards serve different functions, for designing training curricula; in providing certification; and in helping employers appreciate the skills within their workforce and in recruitment. Occupational standards therefore involve the identification of the knowledge, skills and abilities required for people to carry out certain jobs. This should result in solidifying the quality and excellence of services within the sector through recognizable benchmarks of competences for different job roles. It will also serve as an opportunity to give value to those who have learned their skills and competences through life and the world of work without having had any formal certification.

GRTUhas throughout 2012,worked with NCFHE  in developing occupational standards for Motor Damage Assessorsand will continue to work with other sectors. The Malta Chamber of Motor Assessors (MCMA) within GRTU, represents more than 20 Maltese motor vehicle assessors, who are responsible for a range of activities particularly: Vehicle damage assessment; mechanical failures; vehicle fire investigations; electrical failures; expert witness; repairer assessment; car fleet surveys; conciliation and arbitration.

Mr Curmi said that these standards serve as a benchmark for skills to be assessed and indicate the best working practices and these need to be regularly updated to remain relevant.

A second meeting is scheduled for the first week of June to continue to establish Occupational Standards for the Motoring Industry. Further information can be obtained from Ms Carmen Borg tel: 21 230459 or on 79 232884.

 

The European Fund for Strategic Investments – an EU Commission’s Proposal

An MEUSAC core group meeting held today 27th February 2015 gave a detailed outlook on the developments upon the Juncker Investment Plan through a presentation delivered by Matthew Buttigieg, Financial Analyst within the Ministry for Finance.
The December 2014 European Council concluded that fostering investment and addressing market failure is indeed a key policy challenge. The new focus on investment will provide the foundation for growth and jobs in Europe and calls for setting up a European fund for Strategic Investments (EFSI) in the EIB Group with the aim to mobilise 315 billion euro in new investments between 2015 and 2017. 
 
The Investment Plan for Europe is based on three pillars:
  1. Mobilising private investment, €315 billion over the next three years (EFSI)
  2. Making that investment reach the real economy (through Project Pipeline)
  3. Improving the investment environment in Europe
 
The fund is to be run by the EIB group. Private investment is essential in order to inject enough financial stimulus that can help reach the substantial funding targets. The idea spins off through a €16 billion EU budget Guarantee which through the EIB’s AAA rating can be further multiplied in terms of investment potential. No extra funding has been requested from the Member States to finance the package however it is necessary that private funding is, as mentioned, attracted to the plan. The EFSI is designed to be a flexible instrument which can be combined with all other forms of EU funds. Investment platforms and national promotional institutions have a key role to ensure that the plan succeeds.
 
The investment plan is planned to be based on key structural project initiatives which would instigate private investment to switch the investment mood to a positive one. The projects would also be related to key strategic developments which would in themselves be necessary to facilitate and instigate further investment potential. An overview of the proposed project flowchart procedure was presented at the meeting. 
 
The projects would have to be consistent with EU policies and economically and technically viable. Projects could cover all sectors including development of infrastructure, investment in energy, education and training, health and ICT, as well as SMEs and mid-caps. They are to seek to maximise where possible the mobilisation of private sector capital. 
 
Negotiations are still ongoing in the European Council but the text is already stabilised and mostly in agreement. The plan requires co-decision and therefore the European Parliament’s approval is required. The way forward also involves the frontloading of resources by the EIB group. A Commission Communication is expected on State aid treatment of EFSI investments.
 
From a national point of view, there are some potential projects which have already been identified, particularly in terms of infrastructure. The private sector is to play a key role in the promotion of projects. The plan would nationally also be steered towards a manner of implementation which seeks to catalyse private investment in order to achieve the multiplier effect through the EU guarantee. The notion of the plan improves access to finance and competitiveness of SMEs by allowing investing in projects that carry greater degree of risk. 
 
GRTU will be following closely further developments of the economic plan which is being set high on the EU agenda. The Investment Plan is being given a more tangible aspect from being merely an idea. The economic stimulus of the investment package at an EU level is undisputedly a necessary step forward. Nevertheless we must ensure that Maltese and Gozitan businesses tap into the benefits of the plan in a practical and optimum level.  
 

GRTU in discussions with customs over change in procedure

GRTU has raised an issue with the Director General of Customs and the Commissioner for Inland Revenue related to sudden change in procedures implemented by Customs which has negatively affected enterprises, especially those importing goods from outside the EU and subject to pay duty charges.

Customs explained to the GRTU that they found themselves in a position where certain cheques were not being honoured and currently the law does not give customs effective ways to seek redress, because customs would have already released the goods, and the liability falls on the cashier that would have accepted the cheque in question. A recent such case has led to Customs changing policy with immediate effect to one where they will no longer accept cheques that are not backed by a bank guarantee and where the payment is required for the immediate release of the goods.

A number of other payment options are possible but these include cash, which presents its own risk and when the goods are released to a cargo haulier (burdnar) and it is not advisable for the cargo haulier to run around with such cash, as well as cheques and differed payments but these have to be backed by a guarantee. GRTU feels the options pose an additional cost and bureaucratic burden on enterprises, especially the smaller enterprises.

GRTU has insisted with Customs that they should start accepting electronic payments and will be presenting a set of proposals as to how the GRTU feels the Act regulating such instances, which is currently limiting us from enacting alternative measures, be amended.

 

Scheme to reimburse Smart Card Machines launched

The Minister for Education and Employment, Hon Evarist Bartolo, and GRTU President Paul Abela have this week announced a scheme that would reimburse a number of retailers for their smart card (EPOS) machine which has become obsolete due to change in policy related to the system.
 
When the change in policy was announced, GRTU immediately made representations on behalf of its members. A meeting was held with the Minister whereby a process that would mitigate the negative effects of the 
change in policy for retailers was initiated.
 
 
Numerous meetings were held to arrive to an understanding related to the reimbursement of the machines retailers have invested in to be part of the Smart Card system and be able to sell to students. The Ministry committed itself to partly reimburse the costs of machines purchased during 2013 at €300 and 2014 €400.
 
GRTU is currently in the process of compiling a proposal to be presented to the Minister as to how we feel the current new system can be improved in a manner that will not cost the exaggerated amount of money it was costing, it addresses the shortcomings that existed in the previous system, it provides for accountability of how the taxpayers’ money is being spent and that hopefully encourages spending in Maltese enterprises and not abroad.
 
GRTU expressed its agreement with the Minister that the previous system left much to be desired and GRTU had itself complained on multiple occasions that it was badly in need of a revision. The National Audit Office revealed even more damning results, beyond what GRTU was aware of and therefore GRTU agreed that the previous system was not a sustainable one and immediate drastic changes were needed. GRTU however did not agree with the new policy and was very pleased that the Minister immediately encouraged the GRTU to put forward its proposals on how the system can be improved.  
The Ministry will be writing to those eligible for the refund in the coming days and following receipt of the letter these enterprises are to contact GRTU. In the meantime GRTU will also be presenting its proposal to the Ministry.
 

Fines related to Smoking in Entertainment and Leisure Premises

GRTU has expressed its concern to the Superintendent of Public Health within the Ministry for Energy and Health with regard to the implementation of policies related to fines and penalties for smoking in entertainment and leisure premises.

GRTU appreciates the efforts undertaken by the Health Ministry over the years to promote a healthier lifestyle without smoking. Nevertheless, a growing concern for GRTU members remains over the implementation of fines and penalties to compliant business owners in the relevant industries, such as nightclubs and bars, which are unnecessarily burdened with fines. We need to ensure that such a positive policy is implemented proportionally and in a manner that makes sense.

GRTU has in the past worked closely with the respective health directorates to ensure that cooperation by owners is encouraged and rewarded. An example of such has been the involvement of GRTU in an information dissemination campaign related to No Smokingsigns in the leisure and entertainment premises and related public areas.

GRTU is referring to a reported increase of hefty fines being imposed on owners where there is no unreasonable doubt that the owner may not have himself allowed or entertained such smoking on one’s premises, or was not in a position to prevent such smoking. We have in the past reached an understanding to approach such cases in a logical manner.

Establishments that cater for hundreds of clients, that have clear signs that the premises are non-smoking, and take active measures to enforce this policy with their customers (such as with security personnel asking smoking tenants to leave the premises; have removed all forms of ashtrays within the premises), should not be held responsible and fined if a client has been found smoking within the premises with the owner and staff unaware.

It is clear that by smoking the client is breaching not only the law but also the policy of the establishment and the owners do take action to dissuade such behaviour. It is therefore illogical and unfair that the host is fined. The owners are not enforcement officers but they are happy to do their bit. GRTU believes that it is important that all the stakeholders cooperate to reach this common goal but this taxing attitude will simply be counterproductive with the owners that have always tried their best to cooperate.

GRTU will be seeking to ensure that the implementation of policies at hand, whilst beneficial from a public health point of view, do not create unnecessary and illogical burdens to compliant business owners.

 

MCESD meeting discusses Tourism Policy

On 11th February GRTU Deputy President Philip Fenech attended a Malta Council for Economic and Social Development (MCESD) meeting addressed by the Minister of Tourism Dr Edward Zammit Louis. During this meeting the Minister discussed the draft National Policy for Tourism for the years 2015 – 2020.

In the course the meeting, the Minister of Tourism Dr. Edward Zammit Lewis explained that tourism is the main pillar of the economy. He also mentioned that during the last years, there has been a high level of development and radical changes in this sector. This evolution has created the need to update the national policy for tourism, so that there is a better preparation 

for these new challenges which can unlock better career opportunities in this sector. 

When asked for comments, GRTU Deputy President Philip Fenech explained that GRTU members fall under different sectors thus at GRTU we believe that a marketing mix of tourism is essential as it effects a lot of different segments that continue to need fine tuning to create higher value added services that cater to over 1.6 million tourists. He also explained that between November and April there still is an excess capacity and the concept of cultural tourism prevails more during those months as an attraction for tourists beyond the sun and sea client.

Philip Fenech also mentioned that in the case of Malta’s National Airline it should continue to encourage different air linkages that have proven positive results by introducing the market to different nationality tourists. GRTU believes that Airmalta should focus on emerging markets rather than promoting travel destinations that are already served by our national carrier.

 

Phasing out of the Eco Contribution and Implementation of the WEEE Directive

GRTU has this week held a consultation meeting with the private operators interested in the new measure announced in the Budget that announced the phasing out of the eco-contribution on electrical and electronic equipment and the implementation of the Waste of Electrical and Electronic Equipment (WEEE) Directive on all such goods.

In general the WEEE Directive covers all products that are plugged to the electricity supply or work with batteries. These are grouped under 10 categories: Large household appliances, Small household appliances, IT and telecommunications equipment, Consumer equipment, Lighting equipment (with the exception of household luminaires), Electrical and electronic tools (with the exception of large-scale stationary industrial tools), Toys, leisure and sports equipment, Medical devices (with the exception of all implanted and infected products), Monitoring and control instruments and Automatic dispensers. A full list of products can be found on page 17 of the following link: http://bit.ly/1zT54V3. The measure as announced in the Budget requires that all operators introducing such products for a commercial purpose in the Maltese market register with a compliance scheme that will take care of the collection of such goods and their further handling (dismantling, recycling, etc…) as required by the Directive. Such operators are also given the option of presenting a detailed plan of how they intend to comply with the requirements of the Directive on their own. This must be done by end June 2015. Government is committed that only once everything is in place and working correctly will the eco-contribution be removed as of 1st September 2015.

The shift from eco-contribution to WEEE is however very complex. For one it will introduce an environmental contribution on many products that were not subject to eco-contribution, therefore this effects hundreds product types. Also to consider is the fact that the implementation of the Directive will on average reduce the environmental contribution on products that were subject to eco contribution but it might also increase such contribution on a few of the products. An additional element that requires assessment is the level of preparedness of local service providers carrying out the requirements of the Directive and the role our limited economies of scale (cost advantageous linked to size), in comparison to other larger countries, plays in the level of prices for a particular service.

During the meeting various options were discussed and members were asked for their feedback on a number of ideas presented by the GRTU of how the Directive could be implemented.

An area of great concern is the lack of faith of members in enforcement by the Authorities. While members have all the good intentions of adhering to the requirements of the Directive they are very concerned about free riders and the lack of enforcement by MEPA in this case. Our experience with the Waste Packaging Directive is not a very positive one and the biggest issue is lack of enforcement by MEPA. Unless MEPA is serious in its enforcement efforts and guarantees are put in place in this regard, the implementation of the Directive will not be a successful one and as frequently happens the few will end up carrying the burden for the rest.

This was the first of many meetings and consultations to be held as GRTU wants to give its members the full opportunity to participate. GRTU wants to make sure the new system is a fair one, does not overburden operators and does not negatively affect their competitivity.

Members can obtain a more detailed set of minutes of the meeting by sending an email on .

 

Customs department notice – Distribution of fiscal banderols (stickers) for wine bottles purchased prior to 1st January 2015

Since there are still various wines on the market which were being sold prior to 1stJanuary 2015, the Customs Department is going to be distributing banderols (stickers)that have to be fixed onto bottles/containers with a volume of 0.375 litresor more.

Between the 18thFebruary 2015 and 14thMay 2015, Customs Department representatives will be present in the following localities according to the following schedule to supply the banderols (stickers) to traders for existing stock:

 

Localities Covered

DistributionVenue

Dates

Birkirkara; Santa Venera

Birkirkara Local Council (8am – 3pm)

18th, 19th, 20thFebruary 2015

Gozo and Comino— Fontana; Għajnsielem; Għarb; Għasri; Kerċem, Munxar; Nadur; Qala; San Lawrenz; Sannat; Victoria; Xagħra; Xewkija; Żebbuġ

Customs Office – Mġarr Marina Gozo

23rd, 24th, 25th February 2015

Birżebbuġa; Marsaxlokk

Marsaxlokk Local Council

26th, 27th February 2015

Dingli; Mdina; Mġarr; Mtarfa; Rabat

Dingli Local Council

2nd, 3rd, 4th, 5thMarch 2015

Mellieħa; Għadira; Manikata; Għajn Tuffieħa

Mellieħa Local Council

6th, 7thMarch 2015

Floriana; Valletta

Floriana Local Council

9th, 10th, 11th, 12thMarch 2015

Tarxien; Żejtun

Żejtun Local Council

13th, 14thMarch 2015

Mosta

Mosta Local Council

16th, 17thMarch 2015

Gżira; Msida; Ta’ Xbiex

Ta’ Xbiex Local Council

18th, 20th, 21stMarch 2015

Pembroke; San Ġiljan; San Ġwann; Swieqi

Pembroke Local Council

23rd, 24th, 25th, 26thMarch 2015

San Pawl il-Baħar; Buġibba; Qawra; Burmarrad; Xemxija; Salina; Wardija

San Pawl il-Baħar Local Council

6th, 7th, 8th, 9thApril 2015

Attard; Balzan; Iklin; Lija

Iklin Local Council

13th, 14thApril 2015

Marsaskala; Xagħjra; Żabbar

Marsaskala Local Council

15th, 16thApril 2015

Għaxaq; Gudja; Luqa

Gudja Local Council

17th, 18thApril 2015

Għargħur; Naxxar

Għargħur Local Council

20th, 21stApril 2015

Bormla; Fgura; Kalkara; Isla; Birgu

Kalkara Local Council

22nd, 23rdApril 2015

Ħamrun; Marsa; Pieta’

Pieta’ Local Council

24th, 25thApril 2015

Kirkop; Mqabba; Qrendi; Safi; Żurrieq

Żurrieq Local Council

27th, 28thApril 2015

Raħal Ġdid; Santa Luċija

Santa Luċija Local Council

29th, 30thApril 2015

Qormi

Qormi Local Council

4th, 5thMay 2015

Siġġiewi; Żebbuġ

Siġġiewi Local Council

6th, 7thMay 2015

Sliema

Pembroke Local Council

11th, 12th, 13th, 14th  May 2015

The distribution will take place through the above-mentioned venues on the said dates for businesses operating in the specific localities. Unless otherwise specified, the times are: Monday to Friday 8am till 12pm (noon) and from 1.30pm till 4.00pm; and in cases of dates falling on Saturdays, 8am till 12pm (noon).

Traders need to take stock of the amount of bottles/containers of wine of 0.375 litres or more which are unmarked and need the banderols (stickers). A list of this has to be supplied Customs so that Customs may supply the necessary banderols (stickers). This stock should not include wine D.O.K. and I.G.T of local Maltese producers. However, table wine produced locally should also be included in the stock list. Traders will then have a maximum of five (5) days to affix the banderols (stickers) on their unmarked stock.

It is of utmost importance that business comply to this campaign since as from 25th May 2015 an enforcement campaign will be taking place and products found available in the market without the fiscal banderol will be confiscated and the trader may receive further legal action.

The Customs Department’s Excise Department is also extending its services on Saturdays (8am till 12pm – noon), whereby these fiscal banderols (stickers) may also be obtained.

 

Malta Chamber of SMEs
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