The Malta Independent 8 May 2024, Wednesday
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Government report on basic living income to be for use as internal ‘guideline’ only – Carmelo Abela

Albert Galea Tuesday, 23 November 2021, 10:01 Last update: about 3 years ago

A technical report commissioned by the government last year into the concept of a basic living income will remain an “internal working document” and will serve as something of a guideline for future government reforms, Minister within the Office of the Prime Minister Carmelo Abela told The Malta Independent.

In an interview, the first part of which focused on Malta’s state broadcaster and which was published in The Malta Independent on Sunday, Abela said that the technical report, which was an electoral manifesto point, would remain for internal consumption.

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The research, which was commissioned in August 2020 and which was conducted by economist and Professor Joe Falzon, was to look at other countries in relation to the basic living income. Preliminary estimates of how much the ideal basic living income model for Malta can cost and how it compares to the main social security systems that are currently offered were the results meant to emerge from the research.

Abela said that even if the report will not be published for external consumption for now, the government had done a lot to help people earning the lowest salaries in the country – such as increasing the minimum wage for three years running and also founding the Low Wage Commission.

That Commission, Abela explained, has up until 2023 to pass on proposals about the minimum wage to the Prime Minister and offer direction on this subject.

He added that with this work ongoing, the country will definitely continue to employ the system of the minimum wage up until at least 2023.

“There was a decision that [the report] would remain for internal consumption so we can use it in drafting policies or actions if we need and so it can serve as a guideline for certain policies which the government may come up with,” Abela said.

Asked about the onset of remote working, something which was also discussed within the Malta Council for Economic and Social Development (MCESD) – which is made up of multiple constituted bodies and falls under Abela’s ministerial remit, Abela said that the feedback on its implementation in the public sector has been generally “positive.”

He said that there has to be caution in how such policies are interpreted and implemented, and that decisions taken by those in a position of responsibility need to be explained when it is affecting workers, particularly if those same workers would have requested certain working conditions.

On the private sector, Abela said that the Covid-19 pandemic had served as a good testing ground for those who were sceptical of the concept of remote working.

“Those who were sceptical realised that their productivity did not decrease… in some cases it even increased,” he said.

He noted that the experience of the last few months in this regard should not be discarded, and that the country now should possibly be looking to move forward with a hybrid model between working from an office and working from home.

This model, he said, seems to have been that most favoured by both employers and employees, and if an agreement is reached on a framework on this then it could be a win-win situation for everyone.

Asked about the MCESD specifically, Abela lauded the council for working “different and better than before” since James Pearsall took over its leadership, noting that the council was no longer a “talking shop.”

He pinpointed the setting up of a research unit within the MCESD, saying that this has led to an increase in education in the subject being discussed, thereby leading to “more mature and professional” talks and better proposals.

That social partners approach discussions in such a mature manner is important, he said before observing that it was this maturity that rendered the Covid-19 wage supplement – one of the government’s most important pandemic economic stabilisation measure – possible.

“The level and way in which the MCESD has been working in the last few months is much improved.  I’m satisfied with the change and looking forward to continuing it in such a manner that will ultimately benefit the country,” he said.

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