Malta Shipyards: Time up!

Controversy at Malta Shipyards is the order of the day. We had too much of it in the past and all we are set to have more of the same in the coming months.

To justify the various attempts made in the past towards its viability, successive governments proposed reform and restructuring programmes, highlighting the valuable craftsmanship of the shipyard workers. At some time or another we were told that, notwithstanding the financial losses, it would have been suicidal, in terms of foreign exchange earnings and the Maltese trade skills, if the doors of the shipyards had been shut. There were other times were the stakeholders assured us that, through a collective effort, it was not impossible to ahieve the break-even target.

To date, the shipyard's books remained in the red.

Now, both political parties have to face the music. The stakeholders, the management and the workers' representatives have no option but to sit down and come up with a realistic solution. The writing has been on the wall for quite some time but now the decisive moment is fast approaching. It's not a struggle for survival anymore. It's a do or die situation. Rightly so, the shipyard workers and the public at large are expecting the government - as the major shareholder and representing the interests of the taxpayer - to call a spade a spade. On the other hand, the General Workers' Union - as one of the stakeholders and representing the interests of the workers - is expected to take an active part in finding the best possible remedial action without defending the indefensible.

Is there the political will to take the bull by the horns on the future of Malta Shipyards? Who should put the cards on the table? Are we heading towards the natural death of this enterprise under the premise that we have to abide by EU regulations? Are we marking time to find a strategic partner to initiate the privatisation process and to introdue another voluntary retirement scheme? Are we putting the livelihood of hundreds of workers at risks for the sake of a political game? What are the government's short-term plans for the shipyards?

A few days ago the GWU issued a statement accusing the shipyards' management of contracting a conversion project that would probably end up in a hefty loss of circa €47 million in two years. This is a very serious allegation that demands a public explanation.

The government made it clear that it is the low productivity across the board that is jeopardising the operations of the yard and the jobs of its strong workforce. This is old stuff. The drastic measures that were introduced through an ongoing process of restructuring were meant to ameliorate the level of productivity and the overall operational performance of the shipyard.

Unfortunately, all efforts made by various quarters to start afresh did not yield the desired results. Our shipyard had reached the point of no return and it has become a very serious cause for concern. The future of Malta Shipyards is in fact predictable: no more subsidies, no more investment, no more loss-making projects and no more secure jobs.

The people have every right to know what is really going on at the shipyard. There is no reason why the government should wait for the next Budget Speech to expose its plans for the shipyard.

The opposition should voice its concerns and put forward its own prepositions once all relative sensitive information is made available.

Irrespective of whoever is to blame, our shipyards are in an unsustainable financial situation.

Where do we go from here?

Rather than holding an inquiry into a specific contract, the government and the opposition should join forces and appoint an independent commission to study the current situation - from a legal, economic, financial and social point of view - at Malta Shipyards and propose the way forward.

For the sake of transparency they should publish their findings and underline the good, the bad and the ugly sides of their investigations. This would be a genuine attempt to apply in practice the politics of consensus that our parties in Parliament intend to achieve during this legislature.

But apart from the political implications, this exercise is desirable primarily to eliminate the uncertainty that is predominantly evident in the minds of all the shipyard's workers. More than anyone else it's their future that is at stake.

They have a right to know whether they would eventually become redundant, whether they would be offered alternative employment or whether they would retain their present job under different conditions of employment and a different employer.

The only other option is that of the status quo, which, in any case, would lead to the natural death of the enterprise and its employees' jobs.

Time-up! Lawrence Gonzi and Austin Gatt please do something about it now!

matyas@maltanet.net