The Budget 2013 was particularly disappointing for the General Workers’ Union because the Government “ignored the majority of its proposals”.

GWU general secretary Tony Zarb said: “The fact that the Government ignored our serious proposals shows the negative attitude it has towards the GWU. There were also positive measures but our proposals were aimed at alleviating the hardships families were facing.

“Among the proposals that were ignored was our call for a revision in the energy tariffs, an increase in the minimum wage and the introduction of cost of living adjustments every six months instead of every year. We proposed that the minimum pension should be equivalent to 60 per cent of the average wage,” he said.

Asked to identify the positive aspects of the Budget, Mr Zarb mentioned the revision of the maximum tax band, although, he said, this was not implemented as promised because it would be reduced over a period of three years.

“We also liked the promised tax adjustment for those who send their children to childcare centres,” he said.

He criticised the increase in excise tax on fuel, saying this would affect workers and their families.

Josef Vella – UĦM general secretary

The Budget was fair and addressed different pockets of Maltese society, mindful of the country’s competiveness, according to the Union Ħaddiema Magħqudin.

UĦM general secretary Josef Vella said the Budget addressed pensioners, youths, children, training, work, SMEs and measures across the board.

He said he was particularly pleased with the earmarking of €70,000 for a committee to monitor the Active Labour Market Policy, one of the union’s main proposals for the Budget.

“With regard to childcare facilities, our proposal for a private public partnership for the provision of this service was not accepted. We are disappointed about this because we believe this would have been a good measure to help the supply side of the labour market, which would have a positive effect on the local economy.

Mr Vella said such a measure would have encouraged more people to enter the labour market.

“We believe in this measure and it will surely be one of the proposals we will be harping on for the upcoming general election,” he said.

Mr Vella said the union was also disappointed that more was not done to assist and entice people to invest in alter-native energy.

He said the reduction in the feed-in tariffs was another negative aspect of this Budget. “We hope this will not have a negative effect on consumers.”

All in all, Mr Vella added, the Budget was a positive one that addressed those sectors essential to improve Malta’s competitiveness.

Joe Farrugia – MEA director general

The Malta Employers’ Association described the Budget as one that concentrated more on highlighting the achievements of this legislature rather than giving insight into future projections.

Director general Joe Farrugia said the Budget included a series of measures, which enhanced those implemented over the past five years, “by sprinkling targeted expenditure and benefits over various sectors of the economy”.

“It now stands to be ensured that all measures announced are implemented to realise the expected results,” he said.

The impact and sustainability of the revision in income tax bands – which the MEA had proposed – is dependent on the ability of the Government to adhere to its fiscal targets and on whether the economy managed to remain on a positive growth path and also on the efficiency of public expenditure in the coming years.

“MEA has consistently maintained that the sustainability of public finances is a key objective because the future will definitely catch up with us if the public debt reaches critical levels.”

Moreover, he said, schemes implemented for SMEs had been successful but required more intensive promotion because many small entrepreneurs could not be able to distinguish between the benefits and incentives offered through the different schemes.

Paul Abela – GRTU president

The Chamber for Small and Medium Enterprise – GRTU lauded the Government for a Budget containing positive measures and appealed to all MPs to vote in its favour.

President Paul Abela said that a lot of what was discussed with the GRTU had been included in the Budget, especially its appeal for caution in view of the bad economic situation in neighbouring countries.

He said the GRTU was satisfied that the general strategy of the Budget was one of stability and encouragement for production, while strengthening private and public investments. It was particularly happy with the inclusion of proposals directed at the owners of micro and small enterprises and the self-employed, which encouraged them to grow, he said.

The implementation of the scheme to cut the top rate of income tax was also a step in the right direction. The GRTU had made this proposal as early as 2005, it noted.

If the Budget was not implemented, Mr Abela said, the measures and schemes that were in place so far would not be able to continue being used. These included measures for small and micro enterprises.

The Budget made sense because it encouraged economic growth and sustained the social fabric of society, aking another step forward so that Malta can gain credibility in Europe.

Kevin Borg – director general, Chamber of Commerce, Enterprise and Industry

Budget 2012 promoted economic growth and the consolidation of public finances without creating economic shocks, according to the Malta Chamber of Commerce, Enterprise and Industry.

Director general Kevin Borg said the Budget was a realistic one, which focused on fiscal consolidation and job creation.

Expressing an initial reaction, Mr Borg said this was important in the light of the turbulent international realities and in line with the Chamber’s objectives.

Mr Borg said there were a number of measures aimed at enhancing the country’s competitiveness.

Asked whether the chamber saw any particular positive measures for industry, Mr Borg said the highlight was the reform in the income tax rates which the Chamber was in favour of.

Other measures the chamber particularly liked included incentives to encourage investment in alternative energy and measures aimed at enhancing training and investment in human resources.

He said he was pleased to see that certain EU schemes that had been exhausted in terms of funds were carried on using national resources.

He also pointed to sectoral initiatives such as one for manufacturing and tourism, as well as measures to address anomalies in the property industry.

On the other hand, the chamber had proposed several measures such as pegging the cost-of-living-adjustment to productivity rather than just inflation. “Another budget passed and we still have the same system we’ve had for years,” he said.