There is an old saying that describes conferences as the place where people talk but few listen, where proposals are made but are never implemented, and where the organisers give the impression that they are prepared to accept other people’s ideas, yet they have already made up their mind what to do.

Last Saturday, we had a different kind of conference. The Labour Party held what it termed as a national conference on the cost of living. Being in opposition, the PL could only propose its suggestions; it is still not in a position to implement them. It said it wanted to hear other people’s ideas, but the focus was on what the PL is itself suggesting.

The Finance Minister was invited to take part, and Tonio Fenech took his time to explain what the government has been doing and what it is planning in the current economic circumstances. The government then, as usual, tried to shoot down the proposals made by the PL, saying that they were already on the agenda, or were too contradictory.

Yet it was not what Labour leader Joseph Muscat or what Mr Fenech said that stood out the most last Saturday. It was a short comment made by Union Haddiema Maghqudin secretary general Gejtu Vella who pointed out that while all efforts should be made for workers to get cost of living increases, at the same time this should not be done at the expense of employment. What he was saying is that the first priority should be the safeguarding of jobs, and that it is better to make a small sacrifice now rather than end up losing what we have.

This, in a nutshell, is also what the Malta Employers’ Association has been saying as the debate on the budget gears up, and what the government has been hinting at ever since the precarious international economic situation had its inevitable impact on the local situation.

Coming from a union official, however, such a statement carries more weight. It shows that Mr Vella, and the UHM, is taking a very responsible position in the circumstances. The union has realised that, in the circumstances, risks should not be taken unnecessarily, and that it is better to protect what we already have than take a decision – a hefty wage increase across the board – that could lead to a total collapse of the system and many more people looking for employment.

Normally, unions tend to look at their own interests, or that of their members, without seeing the overall picture. But the way Mr Vella spoke makes it clear that the UHM has understood that it would be wrong for the workers and their unions – was it a clear message to the General Workers Union? – to insist for unprecedented wage increases if this will have a snowballing effect that could lead to the closure of companies, with the result that many workers will end up without a job.

The effects of the international recession, as well as the rising labour costs over the years, have already led to companies deciding to relocate to other countries, where their expenses are cheaper. If we are going to have a situation whereby costs will sky-rocket because of wage increases, then there is a huge possibility that more companies will follow suit.

It is not an easy situation and, no doubt, any decision taken will not be popular. Yet, in the long run, tough decisions taken today will give Malta a better chance to survive the prevailing difficulties and re-emerge stronger when the storm subsides.