More training and incentives, particularly for the unemployed and those on low salaries, are being proposed in the 2013 Budget.

Compared with the rest of the EU, Malta has one of the lowest youth unemployment rates, but the Government will be launching a new scheme called ‘Active’, focusing on the under 25-year-olds who are out of a job.

Through this scheme, specific training will be given to those registering for work and will be later offered a work experience of 20 hours in a sector which best relates to their profile. In return they will be given a pro-rata benefit.

Young unemployed will also be incentivised to start their own business and become young entrepreneurs.

Self-employment or members of cooperatives will be provided with full training and mentoring. Moreover, start-up grants will also be given to successful applicants aimed at stimulating a new enterprise.

For those who go a step further and employ at least three people, there will be a tax reduction in the form of a lower national insurance rate.

An innovative apprenticeship programme will also be launched, providing financial incentives to employers and students. Through the scheme, the Government will pay the employer’s share of social security contributions for employees offered a placement.

Moreover, the stipend given to apprentices in this scheme will be increased from the current €86 to €95 a week and, in certain areas, where more specialised workers are needed, it will be increased by a further €20 a week.

The Budget also plans an increase in training investment to those already in a job but who are earning low wages.

The Finance Minister also announced the extension of an existing scheme tied to minimum wage earners who currently receive an extra €25 a week if they attend some training. The benefit will be made available to all workers earning less than €300 a week, which means the threshold will have almost been doubled.

Similarly, the Youth.Inc scheme, providing specialised training to young people between 16 and 21 will be extended to those aged up to 24.

The Job Bridge programme – which provides training to disabled people in order to prepare them better to integrate in a working environment – will be enhanced. At the same time, €500,000 will be invested in a new centre in Pembroke with the latest state-of-the-art training facilities.