It is somewhat strange but not altogether surprising that a key revenue collection department, Customs, does not have the human resources it needs to do its job properly. The same problem arises in other parts of the public service every now and then, including in state hospitals, an indication that those overseeing the operations of the whole organisation may not always be entirely in tune with the needs of particular areas of the public service and of the community.

In the case of the Customs Department, the problem is a bit more difficult in that it also has an aging workforce, leading to an imbalanced organisational structure and an unproductive use of resources. The irony is that, with the increasing use of modern technology and the availability of more public services online, the workforce in the public sector is getting bigger, not leaner. There may clearly be a misallocation of labour, with key departments being short of workers and others overstaffed.

However, the Customs Department plans to tackle the problem through a three-year programme that will also see it move from Valletta to a new site. In a bid “to do a lot more with a little bit more”, it plans to immediately take the necessary steps to recruit the required number of people to build up its workforce.

Interestingly, too, it plans to ensure that people in specialised roles will not be subject to frequent staff movements and that they are placed in sections where they can give the best output according to their ability. One would have thought that this is standard practice everywhere but it is never too late to put things right.

There is good reason why the department ought to have all the human resources it needs to be able to work up to its optimal level. Its net revenue last year was expected to reach €277 million, eight per cent of the total government’s revenues. For every €1 million spent by the department, the return to the exchequer is €26 million.

The amount it collects equals to more than the total salaries and wages paid in the health sector, together with the total cost of medicines and surgical material. Its revenue growth targets for the three years of its current programme are 3.1 per cent, 2.9 per cent and 2.4 per cent respectively which, the department says, are in line with the projected national GDP growth for the period.

With Malta holding the rotating presidency of the European Union Council, the Customs Department’s work in the first half of this year is expected to be heavier. It is regarding this phase as being of particular significance in view of the fact that the Customs Union is one of the founding pillars of the EU and an essential element for the functioning of its single market.

The department’s Customs team is expected to be involved in the evaluation of Britain’s Brexit plan and its impact on the Customs Union. According to the department, the foundations for the Brexit discussions are likely to be prepared under Malta’s term and would then be followed up by incoming presidencies.
Other than all this, however, there appears to be one outstanding matter: the planned merger of the three revenue departments – inland revenue, value added tax and Customs.

Considering that much time has passed since 2011, when the original idea was rolled out, it is pertinent to ask whether the government still plans to go ahead with the project. If yes, what exactly is holding it up?