Employers and their employees will be able to agree on whether a public holiday falling on a weekend should be added on to the leave entitlement, sources told The Times yesterday as the government announced it would be amending a 1975 law that laid down that legislation takes precedence over collective agreements.
The government is making the change in the wake of a report by the International Labour Organisation stating that a law on public holidays does not automatically nullify existing collective agreements.
However, the government insisted yesterday that, contrary to statements by the General Workers' Union, the ILO was not contesting the amendment made to the National Holidays Act last year which stated that public holidays falling on a weekend would no longer be added to the leave entitlement.
In fact, the government said, "the ILO made it clear it is the government's prerogative to decide, as a matter of public policy, which days are public holidays".
The government said that what the ILO did conclude, however, was that article 30 of the 1975 National Holidays Act was not in conformity with the spirit of its conventions that promoted and protected the principle of negotiation and collective agreements. Therefore, that would be amended. And although it would no longer be binding, the government said it would continue to insist on the amendment it made last year for the sake of productivity.
"The positive results are there for anyone that wants to see them," it said, "among which are the reduction of the deficit and economic growth through an increase in GDP".
This drive is supported by the Malta Employers' Association which, in recent days, called on the government to improve national competitiveness by reducing the annual number of public holidays by four days.
The issue arose when, last September, the GWU had lodged a formal complaint with the ILO against last year's amendments.
After the ILO report was published, GWU general secretary, Tony Zarb, said the decision effectively meant that employers should respect collective agreements laying down that a day should be added to workers' leave to compensate for public holidays falling on a weekend.
The government said in response yesterday: "In the 30 years since the Labour Party has enacted the provision, the General Workers' Union never once lodged any objection about the law to which the ILO is now objecting... In fact, it was a Nationalist government that had ratified the ILO conventions".
However, it is understood that in spite of the announcement made yesterday, there will be no backdating.