Matthew Xuereb
Bus owners given take-it-or-leave-it offer
Majority will not accept - bus association president
The government is offering €98,000 compensation to owners of old buses and €118,000 for those who own low-floor buses. Photo: Darrin Zammit Lupi
Bus owners have three days to decide their future and that of their employees after the government gave them a take-it-or-leave-it offer.
They can either accept the government's monetary offer and a 10-year guaranteed job with a new service provider, or refuse it and be out of job, Transport Minister Austin Gatt said yesterday.
But according to Victor Spiteri, president of the Public Transport Association (PTA), the majority of bus owners would not be accepting the government's offer.
In a six-page letter sent to all 323 bus owners and licence holders, Dr Gatt explained that the government has been negotiating a compensation package for them through talks with the association, but these were inconclusive.
Against the association's advice, Dr Gatt wrote to the individual owners as time was pressing and "bus drivers deserved to know what was being discussed on their future".
Dr Gatt said although talks with the association were "very cordial", no agreement had been reached on the compensation.
Dr Gatt said the government was offering €98,000 compensation to owners of old buses and €118,000 for those who owned low-floor buses. This compensation covers the vehicle and the operator's licence.
However, Dr Gatt said the association was asking for €177,000 for the old buses and €200,000 for the low-floor buses.
The minister said the government had asked to see the owners' income tax returns when it was calculating the compensation but was told this was impossible. So the government looked up deeds of transfer of licences over the past years and based its calculations on that.
Dr Gatt said the government was promising all bus owners and their employees a 10-year contract with the new public transport operators under their current conditions, and a wage of at least €9,486 a year.
In his letter, Dr Gatt said every licence holder must take a decision by Wednesday.
If the offer was refused, the government would still pay them compensation but this would exclude the value of the bus and the 10-year guaranteed job.
At present there are 508 buses. Only 131 of these reach the Euro III standard and can be used by the new operator.
The rest will be scrapped, except for those classified as vintage, which will be exhibited in a transport museum.
When contacted, Mr Spiteri said from the initial feedback he received yesterday, the majority of bus owners would not accept the government's offer.
"Most are self-employed, so the 10-year job guarantee is not something they are ecstatic about... We do not feel the amount of compensation is enough. We were promised a 10-year contract and our demands reflect the loss of business in these 10 years," he said.
Mr Spiteri said he was surprised how the government had suddenly closed negotiations with the association.
On the deadline, he said this was "self-imposed".
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C Cassar
Jan 24th 2010, 20:01
The best thing is thatthey continue to refuse to acceptthe offer. That will result in them all being got rid of - probably the best solution anyway. I really don't understand why they're being offered anything at all since all they've done is take and not contribute ever since they've been around.
I'm sure many others who are self employed and have nothing to do with the transport business would love to be offered a guaranteed 10 years worth of business, espacially in these recessionary times.
John Smith
Jan 24th 2010, 18:53
Surely we all do remember what happened to Sea Malta employee.s when their union told them not to accept the offer, they finished without work, and lost all the money that was being offered to them ?
This time is the Bus Owners, History repeat it-self, and they are being told not to accept the offer. Can the Union GUARANTEE THERE FUTURE WITHOUT ALL THIS MONEY ? What is going to happen if they persist not to have this offer??
Buses if they refuse to accept the..Ministry Offer, will be worthy..NOTHING. If they accept they do have enough to invest, besides..wages of €25.99 daily or €790.50 monthly, besides earning interest to ordinary buses €1960 p.a. or €163 monthly. Those of low floor type will earn interest of €2360 per annum, or €163 monthly.
That is what one call good money..interest if invested. They are going to loose. Now it's up to them!! But don't let history destroy your future!!
Kieron O'connor
Jan 24th 2010, 17:40
Its very interesting.
This new bus service company will obviously be under contract to the government. In which will be guaranteed against fines, a standard of service/schedule adherance and quality of service.
How do you discipline someone on a guaranteed ten year job who might through poor quality of service be putting the jobs of all employees at risk..
I would suggest a propper driving test might be the first step in application, and all busses to have their horns removed and speed limiters fitted.
ALISTAIR BUSUTTIL
Jan 24th 2010, 17:19
hope we get rid of these tugs,i remember on one occasion when i gave the driver the exact change in the old 1 cent coins and he was swearing at me like hell because of that,and how about the way they treat tourists.They think they are loading on sacks of potatoes?
Anthony Agius
Jan 24th 2010, 16:38
Why is it , that a proud country like ours . .Malta .. we cannot get together for the common good of all , and set aside petty differences and bikering and get a transport system that befits a country like ours ,, It is a joke when we come back to the Island for a holiday and we have to sit and endure the sniggering remarks of tourists at the back of the bus saying that it is substandard worthy of a 3rd world county , especially when the bus driver stops the bus in the middle of a one way in mosta , hops off runs in to the bakery and picks up his bread and sweet order with no regard for his passengers sweltering in a hot and uncomfortable bus without airconditioning , Come on transport authority lift your game and come into the 21 century .
James Dimech
Jan 24th 2010, 14:02
Our public transport system is not there to create jobs with good conditions for its workers. It is there to provide Malta with an efficient means of public transport - something we have been denied for years. Scerri should thank his lucky stars for the offers he got.
Well done Austin Gatt. Obviously Joseph Muscat, true to his all image and no substance, will be silent on this essential issue, ma jmurx jitlef xi vot tax-xufiera!
Albert Bezzina
Jan 24th 2010, 12:31
Wow! €52 million. I bet that amount is close to what Gov. is raking in (OVER AND ABOVE the €75-80 million usually extorted before 2009) from the new annual circulating fees and registration taxes from windfall increased car imports in 2009. Motorists should demand to know what was the tax take in 2009 with the new tax regime.
R Griscti
Jan 24th 2010, 12:24
Interesting,,, so a bus driver will net €118,000 for the new (already-subsidised) bus, plus €98,000 for the old bus that ought to have been replaced but instead is stil used on alternate days with the new bus, plus a guaranteed 10-year work guarantee at €9,486/year (MINIMUM).
And please don't tell me that these guys work from 05:00 till 22:00... who starts the shift at 05:00 ends at around 16:00 sometimes even not reaching his final destination in order to drive back home..
C Cassar
Jan 24th 2010, 12:05
So why can't the bus owners show any tax returns for the last years?? Surely they have filed them and paid their due taxes?
In this situation NO compensation should be awarded. Instead a FULL tax investigation should be made into these peoples financial affairs and in parallel an immediate ban on any of them being involved in the tenders for the new services.
For years the bus owners have made zero investment in any of their vehicles, so why pay them anything? They should be immediately stripped of their contracts and these awarded to a completey different set of people who will provide professional, courteous drivers with up to date vehicles. As to their vehicles, these should also be siezed and crushed with no negotiation whatsoever, it will be a fantastic health boost to everyone else on the islands.
The arrogance of the existing drivers/owners whom to date have got away with providing so little beggars belief.
Matthew Borg
Jan 24th 2010, 11:50
"When contacted, Mr Spiteri said from the initial feedback he received yesterday, the majority of bus owners would not accept the government's offer."
Good! Hope that happens and we get the majority of these atrocious Public Transport workers off our roads!
However, don't go complaining to the government after Monday when you find out that you're out of a job then...