GWU only willing to accept measures agreed upon

Only measures over which there was consensus between the social partners would be implemented, the General Workers' Union's general secretary Tony Zarb said.

Mr Zarb said the GWU yesterday wrote to the chairman of the Malta Council for Economic and Social Development reminding him about the agreement which appeared in the minutes of a meeting on August 2 for which the Parliamentary Secretary in the Ministry of Finance, Tonio Fenech, was present.

Under the agreement between the social partners, no measures are to be taken without consensus.

Mr Zarb was addressing a press conference to explain the GWU's stand over the wages policy being discussed by the MCESD.

He complained about the time being allowed by the government to discuss the proposed increase in the water and electricity rates and to discuss the budget. He described it as "bogus" consultation.

At a meeting of the MCESD on Thursday, the social partners failed to agree on a wages policy, which is seen to be vital for them to draw up a social pact.

Sources said after the meeting there was a breakdown in the common position presented by employers and unions on some issues while the two main unions, the Union Haddiema Maghqudin and the GWU, adopted divergent positions on some matters.

A proposal to cut the number of public holidays that had evolved during the meetings into reducing vacation leave was opposed by the GWU but not by the UHM, the sources said.

Referring to this proposal, Mr Zarb said this was an example of how workers were being asked to make a sacrifice.

Mr Zarb said proposals made by other social partners would mean more negative effects on workers.

He said that during the MCESD meeting on Thursday the GWU had made its stand known over the wages policy. The union, he said, was insisting that the social pact should be for a three year period and the cost of living increase should continue to be issued to everyone.

The GWU has made it clear that wage increases agreed upon during negotiations for collective agreements, bar those to make up for the cost of living, would be given as cash payment or bonus and be included in wages in January 2008. Mr Zarb said that for this to be possible the increase would have to be tax free.

"During the last year, workers were made to carry the burden of a three percentage point VAT increase, the eco contribution and increased costs of fuel and medicine," he said. Another increase - in the cost of water and electricity - was round the corner and no one knew so far what this would consist of.

He said the social partners would only have an opportunity to discuss the budget with the government on November 20, just four days before the budget speech was made.