The subject of industrial relations does not evoke the same kind of popular interest in Western countries these days that it did some 30 years ago. Then, hardly a day passed by when a strike or lockout was not reported in the press. Governments even fell from power because of their inability – as perceived by the public − to solve industrial disputes. Margaret Thatcher, following her Falklands victory, depicted militant trade unionists as ‘the enemy within’. Nowadays, for various reasons, the number of enterprise based disputes has fallen drastically almost everywhere and trade union leaders are more likely to rally their members against national issues, such as unemployment, the rising cost of living, and retirement pensions. Significantly, among academics, it is now more fashionable to study human resources management than industrial relations and trade unionists seem to be more engaged in social dialogue than in collective bargaining.

In this context, Joseph Attard’s new book on industrial relations in Malta may appear anachronistic. Let me hasten to add, however, that it is far from being so. In fact, an informed, objective and comprehensive treatment of the subject, such as the one presented by Attard, is as topical now as it has ever been. The arguments supporting this view are briefly stated in the following paragraphs.

Industrial relations is a complex, multi-disciplinary subject operating within an elaborate legal framework. The rate of change in Malta’s industrial legislation has accelerated in recent years, particularly during the period preceding and following EU accession. The Employment and Industrial Relations Act of 2002 embodied the two main previous laws on the subject, namely the Conditions of Employment Regulation Act (CERA) of 1952 and the Industrial Relations Act (IRA) of 1976. While these two previous Acts had been amended on numerous occasions in response to changing industrial conditions, certain other provisions had remained dormant. The 2002 Act updated the law and introduced new concepts where necessary to cater for the situation prevailing at the time. It incorporated both acts within a single document. It also rationalized the functions of the institutions created under the act such as the Employment Relations Board and the Industrial Tribunal. Since 2002, a further stream of new regulations dealing with various aspects of employment and industrial relations has been promulgated through legal notices, largely in response to EU directives.

The book under review is almost equally divided into two sections. The first half of Attard’s book is spread over 13 chapters and these present, in lay simple terms, a systematic explanation of Malta’s industrial laws and regulations. The explanations are interspersed with a commentary on the way these laws have evolved in their historical context and applied to real life situations over the years through the relevant public institutions. A number of actual cases are discussed in order to illustrate the points made by the author. These are drawn from the author’s own long years of experience as a senior public official in the Department of Labour, as member of the Employment Commission and as an independent industrial relations consultant following his retirement from public office. In fact, many accounts of the author’s personal experiences and references to his own views on the issues under discussion almost convey the impression that the book is actually autobiographical. The second half of the book consists of a set of 16 appendices, which, in addition to the 2002 Act, include a compendium of the important regulations which were published during the following two or three years. Needless to state, these and the other regulations which were promulgated subsequently but do not feature in the book, can be easily accessed on the Malta government’s website.

Attard’s book starts appropriately by presenting a sweeping review of the historical background of the subject. The author focuses on the responses to the industrial revolution in 19th century Britain, which coincided with the time when Malta came under British rule. This was the time of the Combination Act, which banned trade unions in 1800 and its repeal 25 years after. This was followed by a spate of legislation throughout the 19th and early 20th centuries, which gradually aimed at improving the workers’ health and working conditions in that country. In Malta, the early efforts were directed at the establishment of Workers’ Benefit Societies and these turned out to be the precursors of trade unions. As Attard points out in his book, the British influence on these and on later developments in Malta is undisputed. However, given that some of the early efforts were Church inspired, the impact of Pope Leo XIII’s encyclical letter Rerum Novarum published in 1891 should also be acknowledged.

In the succeeding years, the early Benefit Societies were replaced by trade union organisations, as they are known today. The determining role played by dockyard workers in this process from the very beginning is rightly highlighted in the book, although the first union to be officially endorsed by government was that of teachers in 1919. Other groups of workers followed suit, mainly in the civil service sector and in the local British defence establishments. The inspiration to form these unions generally came from their British counterparts with whom they were often affiliated. Likewise, the official institutions, laws and procedures that were established at the time usually reflected what was happening in Britain. Apart from the organisation of trade unions, the developments included the “Joint Industrial Councils, works committees at factory level, the statutory regulation of wages, the setting up of a permanent court of arbitration and the authorization of ministerial enquiries into trade disputes.” By 1936, a number of other central institutions and legal provisions had been established. These included an official Cost of Living Index, the Workmen’s Compensation Act, the Hours of Employment Ordinance and particularly the embryo of the Department of Labour “which was not only to run labour relations but eventually to become the axle on which the system of industrial relations in Malta was to evolve”. But it was only after the Second World War that the main actors in the field of industrial relations became fully established in order to function effectively. Both workers and employers became better organised under new leadership as the legal and institutional frameworks were gradually put into place.

Along with trade union legislation, and national conciliation machinery, these early post war reforms included the introduction of an old age pension, national health insurance, and compulsory education.

As expected, several chapters of Attard’s book present an explanation, in laymen’s terms, of the main body of law and subsidiary legislation regulating employment and relations in Malta. This is intended both as an aid for students of the subject and for practitioners. Of particular interest to readers is the author’s account of administrative developments in the field taking place in Malta during the fifties, sixties and seventies. This was the period when the system became consolidated, starting in 1952 with the enactment of CERA and the Industrial Training Act, followed by the Employment Service Act in 1955 and that of IRA in 1976. This was a period of numerous industrial disputes taking place in the context of political and social turmoil. The newly established Department of Labour began to play a central, mediatory role in dispute settlement and, for this purpose, a register of officially recognised trade unions and employer organizations was kept. In addition to the enforcement of employment laws, the department’s officials also provided practical advice on what actions were or were not legally permissible to both employers and unions.

The author’s account is illustrated with many references to his own work experiences, which, incidentally also provide an insight of the internal state of the department where he was engaged. The following is one episode among many: “It was in 1968 that I was involved in industrial relations when I could then observe the situation at close quarters which made it possible for me to report without having to rely on past opinions which could be questioned. The first thing which struck me at the time was how the department was relying on two senior officers to deal with the pressing albeit interesting situations. The two officers might even have coped had they been involved in all aspects of industrial relations. But their competence lay only in running the 28 wages councils which were functioning at the time, the Arbitration Tribunal and providing the secretarial service to the Port Labour Joint Council. They were rarely if ever expected to implement policies, intervene in disputes, conciliate or generate negotiations.”

Over the years, the need was felt to define more accurately a number of basic terms and concepts which appeared simple enough yet often led to legal ambiguities and misconceptions. These included concepts like those of worker, employer, unfair dismissal, contract of service and essential services. For instance the word worker was preferred to that of employee, which arguably did not cover cases of individuals who had just been dismissed from employment whether justifiably or not. Likewise, the concept of essential services, which a union was bound to continue providing in the case of an industrial dispute, was established as a result of the medical officers’ strike in 1956. Yet it is also interesting to note that some of the goals which were not achieved during that period have remained elusive to this day. These included the establishment of a Joint Negotiating Council which was intended to cover disputes involving public officers and, more significantly, the establishment of a Trades Union Council which was originally proposed in 1959.

Other chapters of Attard’s book present an account of the establishment of local trade unions, employers’ associations and the conduct of collective bargaining. In general, the development of both trade unions and employers’ associations is a success story – though the former generally preceded and outstripped the latter both in terms of their members’ representation and organisation. It is argued that trade unions are more likely to negotiate effectively when dealing with a well-organised employers’ association than with employers individually. The Maltese collective bargaining system is described as “one of balanced conflict and co-operation”. Certain issues, like those of trade union recognition, absenteeism and the use or abuse of sick leave were difficult to resolve and some of the issues persist to this day. The British experiences on such issues were often referred to as a useful source of information. However, as the author points out, hands on experience proved as important to employers and trade union leaders as formal education and training. The ground was constantly being tested by the protagonists and the predominant pattern of industrial relations was established on the basis of actual experience. Attard points out, for instance, that of the 190 cases of alleged unfair dismissals referred to the Industrial Tribunal during the first seven years of its existence, employers were found to have acted unfairly in only 50 cases. The rest were settled amicably, withdrawn or turned down by the Tribunal.

An account of the Employment and Industrial Training Services Act of 1990, which embodies the National Employment Authority and the Employment and Training Corporation, is also included in a separate chapter of the book. These institutions have a direct bearing on employment relations particularly when the Authority is requested to decide on appeals made by people who have been refused registration in part one of the employment register. Once again, the author’s views often reflect his own experiences when he served on the Authority’s board. Though these views may be regarded as unilateral, they may still carry practical significance.

The resolution of industrial disputes may be achieved through a voluntary settlement or through one that is legally imposed. The former function is performed mainly by the Department of Labour and the latter by the Industrial Tribunal. As the author was closely involved in the administration of both of these institutions for many years, it is not surprising that the most instructive sections of his book are precisely those dealing with the pattern of conciliation and adjudication. In particular, the author describes various aspects of the conciliator’s role in detail, with little regard for due modesty or inhibition about its perceived importance. He describes his intention as, “to relate the system which I adopted with success … which may be found useful by those who are in some way involved in conciliations”. That this is no vain claim is evidenced by the fact that between 1967 and 2002 the average number of official conciliations that were held was 31.7 per annum, the vast majority of which were successful in averting disputes or resulted in amicable settlement.

The other topics discussed in Attard’s book deal with economic sanctions, grievance procedures and some final comments on restructuring. Economic sanctions refer to strikes and lockouts, while grievance procedures refer to disputes arising in the course of applying the terms of a collective agreement. While the right to impose economic sanctions is legally upheld, there are clear parameters within which such a right may be exercised. For instance, only official strikes, which are organised by a legally constituted trade union, are permissible in Maltese law. More importantly, such an action must be ‘in furtherance of a trade dispute’ which would seem to rule out political strikes. This is a highly debatable issue to which there is no simple answer. There are also procedures and safeguards to be followed by a union when organising strikes which are usually spelled out in law and/or collective agreements. Yet ultimately, there are also psychological and human elements which may intervene, blur and overshadow logic, strategy and economic considerations on both sides involved in industrial disputes.

It is evident, from the above, that Attard’s book makes a valid and highly valuable contribution to a field that continues to remain as crucial to Malta’s development as it has been in the past. Nonetheless, a number of shortcomings should also be noted. The author’s grasp of English grammar and idiom is somewhat inferior to his knowledge of the subject. He uses archaic expressions that sometimes even make it difficult for the reader to surmise his intentions. More careful editing of the text could have averted such mistakes. Another shortcoming of the book is the total lack of footnotes, references, or even a bibliography. This is lamentable, because unlike the situation which prevailed at the time of Attard’s original work on the subject, there is now a substantial number of local publications, some of which are based on scholarly research. These should not be ignored in any serious study on the subject. Likewise, almost all the subsidiary legislation that has been officially promulgated since 2003 are omitted from Attard’s book. For instance, apart from the regulations on collective redundancies, there is no mention of the various EU directives on employee involvement through information and consultation all of which have been transcribed into Maltese law. Nor is there any reference to the highly contentious experience of workers’ participation in the discussion on Malta Shipyards or the prohibition by EU regulations of further public subsidies, which was a determining factor in subsequent negotiations on the future of the enterprise. It is also strange that the discussion on the regulation of working time and the 48 hours maximum allowance of work per week makes no reference to the so called ‘opt out’ clause for which Malta’s social partners have argued so effectively.

The final chapter of Attard’s book is devoted to the ongoing restructuring process of Malta’s industry and its direct impact on occupations and industrial relations. His treatment of such an important subject does not go into depth and may even have been included as an afterthought. Yet it does raise some important questions. The author rightly credits the unions for successfully negotiating terminal benefits for workers being discharged as a result of restructuring. This solution has been equally utilized by government as an effective way to restructure and privatise its own enterprises. However, one important long term issue to emerge concerns the future of an ageing Maltese workforce, with fewer young workers entering the labour market, and the impact this may have on economic viability, and the sustainability of living standards that have been achieved over the years through an effective system of labour and industrial relations. Throughout the book, the author has argued that, despite many setbacks along the way, this system of industrial relations has contributed positively to the development of Malta’s economy and the transition of Malta’s economy from one of total dependence on the British services to one based on manufacturing and tourism. It is also believed that the continuing development of this system is essential to enable Maltese society to confront successfully its present and future challenges.

Industrial Relations in Malta– Revised Legislation, by Joseph Attard, is published by Miller Distributors Ltd, Malta, 2010