Government insists GWU was kept informed of ST's demands
Minister ready to address workers
The government insisted today that the GWU had known from the outset that new investment by ST Microelectronics was conditional on approval of a new collective agreement.
In a statement issued in the wake of statements by Labour MP Carmelo Abela and the GWU, the Ministry of Finance regretted that an issue involving 1,500 jobs was being politicised.
It said that in the talks with ST led by the government, the GWU was always kept informed of developments. ST made it clear that the old collective agreement had rendered its plant in Malta uncompetitive and had led the company to consider its position here."
It was worth remembering, the ministry said, that two years ago, ST announced the closure of a number of its factories in the US and elsewhere. It also reduced 400 workers in Malta.
When the government intervened in order to retain ST in Malta and encourage new investment, the company made it clear to the GWU and the government that it would not consider new investment unless the collective agreement was discussed.
After 18 months of talks between the government and ST, agreement was reached on new investment in advanced technology backed by government support.
At the same time, talks were being held between the GWU and ST on a revision of the collective agreement which would enable the Maltese ST plant to remain competitive.
"Not only did the GWU realise the importance of reaching an agreement, but it managed to negotiate a very reasonable package when one considered ST's initial demands," the ministry said.
It said that the government was therefore calling on the workers not to lose this opportunity to secure their future with ST Malta for the coming years.
The ministry said it was surprised that the union was giving the impression that the government should have told the workers about the company's proposals. The union, it said, had always stressed that it was the one that represented the workers and communicated with them.
The announcement, by the government, of the company's investment was meant to be a signal to the workers that in the context of a re-negotiated collective agreement, the company was ready to invest and commit itself to Malta.
The ministry said that Finance Minister Tonio Fenech had offered his support to the union for what had been negotiated, adding that he was prepared to address the workers in a meeting organised by the GWU to explain the importance of this agreement which guaranteed the future of ST in Malta and the jobs of the workers.
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Gerard Cassar
Jul 13th 2010, 11:55
Gonzi says he informed the GWU of the S.T. requests in order to increase investment. However when speaking to the Nation Gonzi forgot to state that the investment he was boasting about was subject to lower conditions in the working methods of the employees.
That's the usual misinformation. Gonzi and Fenech did not forget; they intended it to mislead to take some political mileage.
How can one ever trust these double speaking lot.
joanna farrugia
Jul 13th 2010, 08:53
@ r caruana you are very wrong.its was gonzipn who put political allegiances before everything.regarding the dock gwu always told the workers to do sacrifices to save the docks while gonzipn was doing other things behind their backs so for once stop insulting gwu to protect gonzipn mistakes.am i wrong that recently there was big headlines that gonzi said big investement for st? so now who is lying r caruana???
R. Caruana
Jul 13th 2010, 07:26
Shades of another Drydocks-style debacle with the aid of the GWU. This union has to wake up and start putting its members before political allegiances.
Last thing we want is to start subsidising ST the way we did with the Docks; GWU, those days are well and truly over.
Jeremy J Camilleri
Jul 13th 2010, 09:34
Political allegiances? What has political allegiance got to do with the ST? Has ST suddenly become State owned? WHilst Gonzi's position might have made one think so, ST is still a privately owned enterprise.
Subsidies? St has been holding Malta for ransom for ages, always threatening to up and leave, and always gobbling up concessions in the process. Now, naturally, they want more. That is why the Prime Ministers threats to workers was totally out of place and could be so counter productive.
Joseph Borg
Jul 12th 2010, 22:53
Sorry .... tafu li mi paga ta nies ta 4 shift iridu naqsu li dawn huma sinsla ta kumpanija u issa jidher li anke ta Malta .... u kumplament ta fabbrika mhux ha tonqsilhom paga li dawn minghajr nies ta production mhu ha jaghmlu xejn
Frans Attard
Jul 12th 2010, 20:46
Kemm kienu il-pagi tal-haddiema ta' l-ST gewwa l-USA? Hemm xi hadd li jaf?
John Saliba
Jul 12th 2010, 20:28
Aaron Miceli
Jul 12th 2010, 19:51
Il-GWU kienet ilha sentejn tinnegozja mal-ST. Il-froga ghamlitha hi. Il-GWU marret quddiem il-haddiema TAGHHA bil-ftehim li FTEHMET HI STESS! Mela fhiex jahtu l-PM u l-Ministru Fenech?!?!
Peter Azzopardi
Jul 12th 2010, 22:26
L aqwa li posti secure hu xjinteresani minnek. Hux hekk trid tajt? tkunx l avukat tal fqar. Mela trid li kumpaninja taghmel il miljuni min fuq dhar il haddiem MALTI u il haddiem thallsu bir rabas u hallina.Mela hasbuna made in china jew.
Melvyn Mifsud LLD
Jul 12th 2010, 19:40
An immediate review of the salries and allowances of Chairpersons and Ceos of Government related authoritees and bodies have to be serioulsy reviewed and in many cases brought down to size .Some are simply exorbitant and extravagant. What about a few legal consultants appointed - where despite not being full time, enjoy an income that is shocking . The arguement that in other European countries the income is on the same lines would hold ground if average wages were also at par.
R.Camilleri
Jul 13th 2010, 07:07
I fully agree with what you said, because charity begins at home. These people should give example and not commence from the lowest strada. Their wages are much better off than the other workers. This all came about by the rise of energy tariffs and now also the Gas. How could a company compete with all these increase in running costs.
Roberta fenech
Jul 12th 2010, 19:13
A short note of appreciation for Tonio Fenech's reaction to all this....although criticising the GWU, he has not lambasted the GWU or attacked it and put it against ST. Rather, he seems to be promising his support to it to secure this investment..
it is evident that the Minister would be happier to see this investment take place rather than secure political points by attacking labour or the union.
Well done.
Roberta - a Methode worker....who has been lucky enough to benefit from similar government assistance that saved my job last year
Peter Vassallo
Jul 12th 2010, 19:07
Jiena - BI DRITT - nistenna li, jekk nigu f'sitwazzjoni li l-Gvern ihabbar mizuri ta' awsterita', l-ewwel ezempju ghandu jtih hu stess billi jnaqqas il-pagi tal-ministri u jnehhi/jnaqqas il-hafna perkacci li ghandom. Hekk ukoll fl-industrija, tajjeb li l-management tal-ST jaghti ezempju haj ta' kif il-mizuri ta' awsterita' ser jaffetwaw il-kundizzjonijiet taghhom ukoll. Imbghad il-haddiema jigu konvinti biex jaccettaw l-Agreement! Jew biex tkun kompetittiv trid tnaqqas BISS il-pagi u l-kundizzjonijiet tal-haddiema? Shame fuq l-ST, fuq Dr Gonzi u fuq il-Ministru Fenech jekk qed jirragunaw hekk! Hobzhom, kif jghidu, hu mahbuz!
rebecca spiteri
Jul 12th 2010, 19:07
I think Government has played it role well. It is supporting investment, putting its money were its mouth is. Now its up to the workers and the Union to understand this. In other countries, Governments leave market forces to take their own stride, and would not support an uncompetitive company. they would rather reduce their deficit. this is a case where Government, and Tonio Fenech in particular, put jobs, people, families before money, numbers, deficits....
Jeremy J Camilleri
Jul 12th 2010, 19:57
Michael Catania
Jul 12th 2010, 19:06
I know who to believe on this issue and its certainly not the goverment. It does not take a genius to work that out. All you have to look is at the government benches and you will come to the same conclusion.
J Micallef
Jul 12th 2010, 18:58
Uncompetitive - in a multinational company's vocabulary - means that it is not making as many millions in profit as it would like to. You may wish to note the idea: the global recession - the hike in utility costs - the hike in cost of services - DO NOT affect competitiveness. Only workers' wages affect it - and the government is the most welcome accomplice of these multi nationals.
stephen agius
Jul 12th 2010, 19:03
x tippreferi li titlaq minn malta? taf xi hadd jahdem l-ST? nassigurak li mhux joqtluhom bil-guh iridu. Staqsu lil tal-ST x paga ghandhom u tara kemm hi hafna ahjar minn fabbriki ohra.
J Micallef
Jul 12th 2010, 19:20
Iva ta naf diversi nies jahdmu hemm u ibqa' cert li ghas-sieghat li jaghmlu ma ghandhom xi pagi ta' barra minn hawn, aqta' l-enginira. Kemm tahseb li ghandhom?
U iva nippreferi li jitilqu milli jirrikatawlna pajjiz kull sentejn. Anke mill-imperu ngliz hlisna u hadd ma ntilef ahseb u ara minn kumpanija kampjun tal-isfruttament u l-globalizzazzjoni.
Jekk inti daqshekk karitattiv issa la tiehu xi zieda ghaddiha lilhom filkaz habib.
Paul Borg
Jul 12th 2010, 22:55
Aqta l-enginira?!?! Bhala ex-engineer tal-ST ma tantx hemm x`tiftahar bil-pagi. Hafna postijiet ohra hawn Malta ihalsu ahjar. U le, l-ST mhux bhal ma kienet darba, meta kellha l-aqwa pagi, imma issa hija thallas bhal l-average ta Malta.
martin saliba
Jul 12th 2010, 18:35
This is what i find really amazing. A lot of people are against divorce beacause it is against the christian faith. If one party says one thing and another says something completly different it goes without saying that one of them is not saying the truth to the people. Where is the church when these conflicts rise ? Why dose it not tell the parties involved that one of them is lying and therefore not a good christian ? As i have said before , the church is very selective when it " defends " its faithful.
J. Debono
Jul 12th 2010, 18:48
X'ghandu x'jaqsam id-divorzju?
Emmanuel Xuereb
Jul 12th 2010, 18:28
Xoghol aktar - xoghol ahjar - programm elettorali gonzipn
ma jridhux idahhlu id diovorzju ghax mhux fil programm elettorali - imma jaghmlu bil-maqlub jistghu - halluna kwieti u warrbu
roderick debono
Jul 12th 2010, 19:05
x inhu l punt tieghek?
qed tghid li ghamel hazin il-Gvern li intervjena u ghen lil dil kumpanija biex ma jintilfux 1,500 post tax-xoghol?
ghal kuntrarju l-labour jippreferi li jintilfu dal-postijiet tax-xol biex jghid ara kollox sejjer hazin!
Joseph E Briffa
Jul 12th 2010, 18:27
Taxes and red tape have been around since time immemorial. The increase in energy tariffs amounts to mere Eur300/400 p.a. for an average household; just a euro a day, pocket money for a 5 year old. If as I understand the average wage at ST is Eur1 000 a month this increase is insignificant
George Galea
Jul 12th 2010, 19:15
and you're ignoring the fact that the energy compensation cheques will mean an 'extra' income of around 100 euro per family ...which partly compensates the cost of energy increase
T Camilleri
Jul 12th 2010, 18:10
The Ministry for Finance should note that it is not the workers wages that have rendered companies including ST uncompetitive, but the vast increase in water and electricity tariffs and other taxes, the never-ending burocracy and lack of quick decision-making from Government Departments and public authorities. In other words, taxes and red tape.
stephen agius
Jul 12th 2010, 19:02
T Camilleri
Do you really believe what you wrote!??
It's a well-known fact that ST pays practically no tax in Malta through the incentives it receives......its benefits from special rates on the land it rents......
,,,what else do you expect? that the tax payer forks pays its tariffs as well??
roderick debono
Jul 12th 2010, 19:04
Mela l-Gvern intervjena u ghamel l-almu tieghu, imma hej x tippretendi jhallsilha d-dawl ukoll?? tarzna wahda mhux bizzejjed f dal pajjiz jew!
Roberta fenech
Jul 12th 2010, 19:10
apparti li l-kont tad-dawl oghla kullimkien igifieri mhix kwistjoni ta tariffi...argument li ma jregix.
Jeremy J Camilleri
Jul 12th 2010, 20:00
Ovvjament il Gvern m ghandu ebda tort li wara 20 sena jghajjat bl investiment, hija kumpanijja wahda li tiddomina l exports ta pajjizna.
Mhux ta b xejn li issa Il Prim Ministru qed jagixxi ta' negozjatur f isem kumpanijja privata.