Is it not hugely ironic that, only days after the government presented what it enthusiastically called a social Budget, no fewer than 14 organisations joined forces to publicly press for greater social justice for low-income families?

A coalition of these organisations is particularly zeroing in on the need for the minimum wage to be raised to a level that would allow earners to meet their most basic needs.

Whenever such requests are made, they are invariably shot down forfear such a move would impact negatively on unit costs in industry and, consequently, on competitiveness and employment.

Employers are in the forefront of the stand taken over the years against proposals for raising the minimum wage, arguing, for example, that a report prepared for the Malta Council for Economic and Social Development suggested it would be more meaningful to use more direct and targeted action.

However, with the economy now registering impressive gains and unemployment down to one of the lowest levels ever, many in a position to feel the country’s social pulse better than others, because they work with those who are at the lower end of the income scale, think the time is well overdue for a rise in the minimum wage.

Maybe there were good reasons for extra caution to be taken when the situation was different, particularly when a number of firms were feeling the impact of the recession following the financial crisis. But Malta is now doing well and those in favour of the raising of the minimum wage may well argue that the country can now afford it.

As so many have realised, the benefits of economic growth are not percolating down to all strata of society, with imbalances becoming sharper than ever.

The coalition, Kampanja Paga Minima, is pressing for a 3.5 per cent rise for three consecutive years as well as a revision of the cost-of-living allowance. Caritas feels the €4.20-an-hour minimum is not enough for families to meet even their most basic daily needs.

Few would, or could, reasonably argue with this, which is why the call is likely to pick up greater force as time goes by.

The government, apparently caught on one foot despite all its political rhetoric about what it has already done and what it is doing to help the low-income earners, said it would now engage with the poverty campaigners to see what can be done.

It did not deem fit to raise the issue when it presented the Budget but the Prime Minister is now saying that his government has sent out a clear message by introducing support measures for low-income earners. While the new measures are welcome, they are not enough to bring about a meaningful change in the life of those at the lower end of the scale.

According to a Caritas report, a family of two parents and two children would need an annual income of €11,446 for a decent standard of living. Families on one minimum wage are forced to live on €9,353, including in-work benefits and other allowances.

The coalition does not seem to share the fears over the likely impact of a rise. The Caritas director, for example, feels that, on the contrary, a rise would help bring about greater economic growth.

Hopefully, the debate over the issue will not degenerate into a political tussle and that, while full account is taken of the employers’ concerns, action is taken to raise the minimum wage to a more reasonable level.

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