Government-private sector relationship 'lacks trust'

The government should look at the private sector as its partner in creating wealth in the country, Labour leadership hopeful Michael Falzon said yesterday.

Speaking to representatives of the Malta Employers' Association, Dr Falzon highlighted the importance of dialogue and consultation and of cutting down on bureaucracy. Dialogue was essential in order to make proactive decisions, he pointed out.

He also stressed that the country's economy needed to be looked at in a holistic manner because one decision could have ripple effects, which could, in turn, affect the country's competitiveness.

However, competitiveness and viability should not be used as excuses not to give workers what they deserved.

The relationship between the private sector and the government still lacked a sense of trust, which was important in a small country.

The role of the private sector was growing with the role of the government being that of a regulator. "Politicians cannot look at employers as competitors but as partners," he said.

Association president Pierre Fava gave Dr Falzon a memorandum that was handed to political parties before March's election.

The memorandum, which, he said, is still valid today, focuses on the three pillars of the private sector - sustainability, competitiveness and pro-activity.