Taxes and teachers

I can understand the outrage of consumers at the way they are being treated by some banks.

As of late, an electronic petition - www.ipetitions.com/petition/maltabank/index.html - was launched to protest against a bank charging, say, €4, for a straightforward electronic transfer.

I have been following this issue for the past few weeks and, from the research my office has made, it seems banks are treading a very fine line between what is legal and what goes against EU rules. Nevertheless, even if a charge is legal, it does not mean it is fair.

The EU rules in this sector are aimed at making financial services cheaper and more accessible. Those banks trying to make up for lost revenues from intra-EU transfers by putting up charges for local transfers are simply defeating the spirit of these rules.

Moreover, the fact that the way in which consumers can minimise charges is not fully transparent and accessible is also worrying.

I do hope that regulators start being more proactive.

In the meantime, consumers should continue to shop around and see what the competition has to offer.

Quite a number of persons employed as temporary and casual teachers in state schools have complained to me about the government's interpretation that they do not qualify for a permanent post after a four-year period as per Directive 1999/70/EC.

I have asked for the European Commission's opinion on this issue.

The Commission replied that the directive, as interpreted by the European Court of Justice, does not necessarily require the conversion of a definite contract into an indefinite one. Nevertheless, it requires member states to put in place measures to prevent the abuse of fixed-term contracts.

The Commission added that "Matters regarding the employment status of temporary teachers, and the national arrangements, which then apply to them, are a matter for the national courts, which may refer any questions of European law to the (European) Court of Justice for a preliminary ruling".

In other words, the representatives of those who feel aggrieved by the government's interpretation that casual teachers do not have the right to a permanent post after a number of years in service must launch legal proceedings in Malta. The Maltese courts can then refer certain aspects of the case to the ECJ.

Not very helpful but at least it is a start.

In the run up to the general election, I forgot to point out the fact that the government decided to do away with the licence fee on VHF radios, which are mostly used by fishermen and boat enthusiasts.

The step was taken just after I made some enquiries with the European Commission in connection with the Maltese Wireless Telegraphy Regulations.

Better late than never.

Dr Muscat is a Labour member of the European Parliament and vice president of the Economic and Monetary Affairs Committee.

www.josephmuscat.com