The chilling winds of global recession seem to be fast approaching our shores. A number of export-oriented companies are facing bleak forecasts for their products because of a fall in demand from their international clients. The reassuring tone of Minister Tonio Fenech will do nothing to focus attention on what needs to be done now that we are facing the difficult prospect of job losses.

The PL is as concerned as the families being affected by these job losses about the implications of this downturn. The situation is likely to become more serious because after the manufacturing sector we will soon see the tourism sector being badly hit by the fall in demand from our overseas markets.

It is of no use trying to find a scapegoat for the negative forces that are hitting us. What is important is that we adopt a positive attitude and work together to first draw up a damage limitation strategy, and then to concentrate on growth. We need to forge an alliance of all the forces in our nation that can contribute to a solution.

The trade unions, the government, the political parties, the educators and the leaders of business need to work together to cushion the impact that these job losses will have on Maltese families in particular and the local economy in general. Various tactics can be adopted to achieve this.

Firstly, the government should do its part and ease the burden on those families who are worst affected by the economic deterioration. The easing of pressure through fiscal concessions and especially through the revision of the energy tariffs can and should be effected immediately.

The government can also accelerate retraining programmes through the Employment and Training agency to seek alternative employment for displaced workers wherever possible, and to introduce tailor-made retraining programmes for those who find it difficult to find new employment. The emphasis should be to focus on each individual’s particular needs and capabilities. General programmes will not be good enough because the problem we face is more complex than the training authorities seem to believe.

The trade unions are showing great pragmatism in dealing with this crisis on a case-by-case basis. They know that the companies that are finding themselves in trouble are generally well managed and they are just the victims of world recession. Getting the best deal for their members will be at the forefront of their thoughts when they meet the managers of troubled companies.

Apart from obtaining decent terminal benefits, they will no doubt need to secure other concessions that give a new chance for displaced workers to make a fresh start in their careers. Workers will need to be flexible in their approach because such an attitude will make them more employable. Of course, one can understand the initial shock that such displaced workers and their families experience once they face these new circumstances. But a positive attitude built on the conviction that self-help is the best remedy will eventually ensure a successful outcome.

The PL will support any government decisions that promote a viable solution to the economic crisis that is beginning to hit us. We must ensure that the interests of our families and our workers are put at the top of our agenda. We have various models adopted by other countries to resolve similar situations.

Let us not be caught in a false sense of security and denial that we are special and can avoid the massive forces of the current global economic crisis. Let us tell the people the truth and point out where we are weak, not to discourage people but to ensure that we work even harder to put this unfortunate phase behind us as soon as possible.

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Dr Mangion is shadow minister of finance