After a 27-year freeze, the social partners have agreed to an increase in the minimum wage. What’s more, the possibility of this kind of moratorium ever being imposed again has now been eliminated. This is because, in order to meet potential future requirements, a Low Wage Commission, which will report directly to the prime minister, will be set up to establish a mechanism to determine whether the minimum wage will need reviewing.

This commission, made up of government representatives, trade unions and employer organisations from those represented on the Malta Council for Economic and Social Development, may take into consideration “trends in the price level and increases in selective collective agreements for employees on low level grades”. This while not excluding any other mechanism that may be considered.

What has been achieved by this agreement is the result of political determination and a strong social dialogue whereby a give-and-take attitude from all those involved was instrumental for success. Surely, there are NGOs which expect more and that is understandable; they work closely with the most vulnerable among us.

Surely, effective specific measures focusing on poverty and poverty risk will continue to be strengthened. My colleague, Family and Social Solidarity Minister Michael Farrugia, continues to work hard in this area of policy.

A rise in the minimum wage alone will not resolve much in these circumstances. This is why the social partners made the point that targeted measures are of the essence to address pockets of poverty as opposed to wide ranging measures wherein the funds can go to the ‘wrong’ recipients when it comes to restoring relativities.

In these months of negotiations it was evident that, while research and statistics are necessary for decision-making and policy formulation, it was the actual meetings with the different social partners representing the various sectors in our society, providing a wealth of knowledge and insight, which enhanced the process and made understanding the different perspectives better.

All contributed with the respective baggage of those being represented. This complemented the data we had in that we could make even more in-formed progress.

One can easily say that working for this agreement was a good exercise in listening and understanding between representatives of workers, employers, civil society and the government. We have all gained from this experience of trying to put ourselves in the place of ‘the other’, which was essential in order to reach a compromise. Striking a balance between the different interests of stakeholders was critical to come to the final agreement.

All this must be seen in the context of what we are doing in the area of enhancing and strengthening social dialogue.

For instance, the recent amendments to the MCESD Act, whereby we broadened the participation in the council and, thus, now more organisations can contribute on particular matters which can be brought for discussion. This further democratisation of the council had been on the previous government’s agenda but, even here, there was a freezing of the restructuring committee, which I thawed as soon as I became minister responsible for the MCESD. The improved MCESD structure is a product of that work.

What’s more, the agreement signed last Friday between the social partners has to be seen in addition to the amendments to the Employment and Industrial Relations Act, which will be shortly presented to Parliament.

These amendments, improving the conditions of work, have been discussed between the social partners, this time at the Employment Relations Board. The amendments concern work-life balance, probation, redundancy, transfer of undertakings, work post-retirement age and other measures which I shall be putting forward.

They are all measures that will make life at work – and outside work – better because conditions of work are obviously not only about the pay packet. We must see to the well-being of our workers, that they have peace of mind at the place of work, that they are safe, that they have security, that they can balance their work and family responsibilities.

This is what Labour promised and this is what we are delivering. Indeed, this is what we mean when we say prosperity with a purpose.

I thank all those who contributed to this national agreement on the minimum wage, to the restructuring of the MCESD and to the work done on the modernising of the EIRA.

Happy Worker’s Day.

Helena Dalli is Minister for Social Dialogue, Consumer Affairs and Civil Liberties.