The public holidays issue has reared its head again over the past days, following the controversy that broke out 18 months ago.

In January 2005, after the collapse of talks on the social pact, the government announced that public holidays falling on weekends should not continue to be compensated for by extra days of vacation leave. The number of holidays depended on the year in question – in 2005, workers “lost” four days, this year they will be losing two and next year four, if things do not change.

The government, backed by employers, said it was taking such a measure to improve the country’s competitiveness. The decision was taken at a time when the country’s economy needed a boost, and it was thought that more days of production would give a necessary push to improve the country’s well-being.

The General Workers’ Union was in the forefront in opposing such a directive, and it took the matter before the International Labour Organisation. Last week, the union claimed victory in that the ILO ruled in the union’s favour, particularly with regard to workers who had previously-signed collective agreements. The ruling also did not preclude voluntary negotiations in the future over the issue of granting workers the right to recover public

holidays that fall on weekends.

Since the ruling, the GWU, especially through its newspaper l-orizzont, has been putting pressure on the government to revise the conditions imposed early last year. The union is demanding that the workers are given back what they lost as a result of the government’s decision.

This has naturally brought a reaction from employers, who are now seeing that what they “gained” in production days in 2005 and 2006 could actually be lost again. Last week, the Malta Employers’ Association called on the government to take immediate action to fulfil its stated objective of increasing national productivity through the increase in annual working days by cutting down on the number of public holidays.

The GWU had pre-empted this move, as it had previously said that if the government wanted to be “cruel”, it could reduce public holidays.

The Nationalist Party increased the number of public holidays – and the number of vacation leave days – soon after taking office in 1987. This was warmly welcomed by all employees, but caused raised eyebrows on the part of employers.

In all, Maltese workers have 24 vacation leave days and 14 public holidays in any given year, making a total of 38. Employers believe that 38 days, which amounts to nearly eight working weeks, is too much, as it means that workers are receiving 12 months of salary for just over 10 months of work.

At a time when the country needs to increase its productivity in order to become more competitive, this is seen as being too much by employers. And this is why the government took the decision not to continue compensating for public holidays that fall on a weekend as of 2005.

The government has still to comment officially, following the ILO recommendation. But the issue needs to be tackled sooner rather than later. The government could choose to leave things as they are, with the union pushing it to reverse its decision as it goes against conventions the government has ratified on freedom of association and the right to collective bargaining. On the other hand, it could opt to take up the suggestion made by the MEA, and resolve the issue by reducing the number of public holidays.

It is difficult to believe that the government will go back on the decision taken in 2005. It firmly believes that more working days means that Malta can compete better in the globalised world.

And, if it does go for a reduction in the number of public holidays, the next big question would be – which ones will go?

That will not be an easy decision to take.