Labour leader demands Finance Minister's resignation

Finance Minister Tonio Fenech should step down after declaring that ST Microelectronics did not plan any job cuts just 24 hours before 1,200 lay-offs were announced, Labour leader Joseph Muscat said yesterday.

The Sunday Times reported yesterday that ST's Malta plant was planning to shed up to 60 per cent of its employees over the next few years.

Dr Muscat said he was surprised reading the news item, especially in the light of statements Mr Fenech made that the Malta plant would not be affected.

Dr Muscat was concluding a three-day annual general conference of the Labour Party (PL) during which three motions on energy, education and the way forward for the party's success were approved.

Dr Muscat said the party had called on the government to work together to save ST Microelectronics but the government refused at the cost of the employees' jobs.

He had heard rumours that jobs would be lost but was relieved when he read Mr Fenech's comments in The Times saying no layoffs were planned for ST Microelectronics workers in Malta. However, just one day later, The Sunday Times reported that over 60 per cent of the Maltese workforce will lose their jobs.

"The Finance Minister was irresponsible in his words and actions. He should resign immediately. He damaged the country's credibility and demoralised the workers," Dr Muscat said.

Speaking about the controversial €16 million project for the extension of the cathedral museum, Dr Muscat said that the Church's cultural commission, which acts as a regulator, sent a letter to the Malta Environment and Planning Authority saying it "strongly objects to the project".

Mepa also received an official letter from the Cathedral Chapter saying they also disagreed with the project, he added.

He also spoke about the motion to be debated in Parliament today, changing the timetable of sittings and voting times, expressing his serious doubts on the legality of the measure. "The government can forget pairing," he said.

Dr Muscat also criticised the government for not mentioning the €80 million regeneration project for City Gate and the old Opera House in the budget. Although the PL agreed with the projects, Dr Muscat said building a new Parliament at the old opera house site might not be the best idea and he called on the government to launch a public consultation process.

He criticised Infrastructure Minister Austin Gatt for his silence over the proposed Għadira road project. Dr Gatt said that a decision on the Għadira road had to be taken by the end of January. What decision has been taken or was it an invented deadline, Dr Muscat wondered.

Referring to figures released by Enemalta on Saturday, which made a net gain of $10.7 million on oil hedging over the last 15 months, Dr Muscat called on Dr Gatt to either "admit he is a liar" or that he knows nothing about the subject.

He again expressed support to the directive issued by 11 unions for people not to pay their utility bills within the 45-day time window as requested by the service providers. "After last Friday's meeting, I believe the unions and not the Malta Resources Authority - a regulator that has no credibility. Until the government gives in, the bills should not be paid," Dr Muscat said.

He criticised the Nationalist Party for not being liberal and said the party revealed its true colours when Foreign Affairs Minister Tonio Borg recently said the PN was conservative.

During a political activity last week, Dr Borg said the PN is not a liberal party and will only protect those who deserve protection. He was referring to the government's rent reform proposals, which have so far excluded protection of cohabiting and gay couples.

Dr Muscat described Dr Borg's statement as "socially shocking" and said the PL is not interested in people's private lives or their sexual orientation.

Any measure taken by the government to save jobs will be supported by PL, he said.

He called on the government to introduce an 18-month moratorium on home loan payments when people lose their jobs and an incentive scheme for employers to recruit laid-off workers.

In his speech that lasted for almost two hours, Dr Muscat criticised the government for deciding on an incinerator in Marsaxlokk without any form of consultation.

On the Ta' Qali crafts village project, Dr Muscat said this was another initiative the government had been promising for several year but never implemented.

Recipe for country's success

• Fewer taxes. Reducing taxes is the only financial tool to help families and it is time to start using it.

• More productive investment. More private-public investment is needed to generate more jobs through new incentives.

• More investment in research. Money should be invested to have more specialised and qualified people.

• Making use of women's potential. Women are not given the chance to fully contribute to the country's economy.

• Investing in the family. Young families should be encouraged to have children and not believe they have to sacrifice it for a better quality of life.

• Environment and energy efficiency. Energy efficiency is not achieved through higher energy tariffs but through a series of long-term incentives.

• Competitiveness. While certain sectors, such as telecommunications, are taking advantage of the open market, others are still monopolised.

• A more efficient state. Waste has to be reduced; the state has to repay its taxpayers through a more efficient service.

• Fast-track service for investors. Potential investors should find what they need without any red tape.

• National quality standards. New sets of standards need to be adopted to ensure that all services offered are of the highest quality.