Social partners want to 'isolate' GWU - Zarb

General Workers' Union general secretary Tony Zarb believes the social partners are on a quest to isolate his union from the Malta Council for Economic and Social Development (MCESD).

"The GWU reflects the workers' feelings at this point in time," Mr Zarb told The Sunday Times. "If the other social partners can't gauge this mood, it's their problem."

The Malta Federation of Industry has called for changes within the MCESD so that decisions will be taken by majority vote rather than by consensus, amid accusations that the GWU has a separate agenda.

The majority of constituted bodies contacted yesterday agreed with the FOI's proposal, saying it was high time to show that there was practically all-round agreement on the consultative forum. The role and function of the MCESD is to serve as a consultative body and to advise the government on issues relating to sustainable economic and social development.

Stressing that his union was four square against eliminating the consensus system within the MCESD, Mr Zarb accused the social partners of living in a world of their own.

With the exception of the GWU, none of the social partners had come forward with any proposals to mitigate the water and electricity surcharge (see separate story), Mr Zarb said, and they should therefore desist from criticism.

A five-hour MCESD meeting on Thursday ended in stalemate after the GWU demanded a commitment from the government to compensate workers further for the power surcharge hike. It was the second major deadlock in the MCESD in a year after the GWU shot down the draft Social Pact.

The FOI has accused the GWU of using a "veto" whenever important decisions are about to be taken within the MCESD.

Gejtu Vella, secretary-general of the Union Haddiema Maghqudin, said it was ironic that while amendments to the Constitution needed the approval of two-thirds of MPs, the implementation of an economic and social plan to create economic growth needed the social partners' unanimity.

He urged all social partners to realise the economic growth the UK has registered thanks to meaningful dialogue between the social partners and the government.

"What is stopping the GWU from coming on board?" Mr Vella asked. "What is its agenda? Ours is to ensure the creation of work - irrespective of who is in government."

Trade unions, he insisted, had a democratic right to take industrial action, but they also had a duty to stop the rhetoric and chip in to help the economy.

Chamber of Commerce president Louis Apap Bologna said the MCESD had a major role to play in the decision-making process, but underlined the need for a system in which the views of the majority of social partners was put forward to the Government.

"It's not the first time we disagree with other employers, but ultimately it's a give and take - and we do find middle ground."

Mr Apap Bologna asked why the GWU kept insisting on compensation for the surcharge when ultimately Malta had to pay its fuel bill overseas.

Asked whether he believed the forum was being vetoed by the GWU, the Chamber president went one step further: "I fear that it's the whole country which is being vetoed."

Mr Apap Bologna said that economic growth was not generated with industrial actions or intransigence, a path the GWU had chosen. The same union had to realise that protectionist systems were a thing of the past and globalisation was a stark reality, he said.

"We're lucky to have economic stability. Why should we threaten it?" he asked.

Vince Farrugia, director-general of the Chamber of Small and Medium Enterprises, GRTU, said he did not believe the MCESD needed any drastic changes, and he was against any majority voting systems.

All social partners start by defending their patch, but most end up bargaining their way to find a common position, he said.

"Today, the government listens to what we have to say and then acts accordingly. If we disagree, then it's evident that the government is going to pick and choose as it pleases, and this doesn't help."

He accused Government of going to the social partners with a fait accompli over the electricity surcharge issue but said one had to appreciate that Prime Minister Lawrence Gonzi actually convened a meeting of the MCESD to discuss the matter.

Mr Farrugia said that the GWU insisted on maintaining its antagonistic approach. Unions had a right to take action, but only once all avenues had been exhausted.

"We have to keep convincing the GWU that it is in the wrong and that it cannot keep dictating. Leadership doesn't mean that you have to be driven by militants but it's important to take the national interest into consideration," Mr Farrugia said.

Joe Farrugia, director-general of the Malta Employers' Association, said that the public perception was that the MCESD never agreed on economic matters, but this was not the case. He said the forum could influence matters hugely, even if its role was merely consultative.

Mr Farrugia called on the GWU to realise that its proposals to cushion the surcharge impact were unreasonable, especially the union's request to revise the Retail Price Index every two months.

"It's clear that adopting a hard line doesn't mean you are generating jobs. Tell that to Sea Malta workers," he added.