Details have emerged of the changes to work practices and the early retirement schemes being proposed by Air Malta is a bid to return to viability.

Workers who spoke to The Times on condition of anonymity said the biggest sticking point for the GWU in its talks with the airline was the set of working conditions proposed by the company.

These include more flexibility with longer working hours in summer compensated by shorter working hours in winter.

They said that employees retained by the company will receive a one-off taxable bonus of €4,000 spread over two years and a three per cent wage increase backdated to January 2011.

The government is offering alternative employment to about 200 workers with public entities and agencies. 

Package details 

Voluntary redundancy scheme
• This scheme applies to those with seven years or more of service with the company. Applicants will receive a non-taxable lump sum equivalent to six weeks pay for every year of service including a 12 per cent upgrade.

Early retirement scheme
• Workers aged 55 and over will be paid 65 per cent of their basic salary plus a 12 per cent upgrade until retirement age. National Insurance contributions will be paid by the company.
• Workers aged between 50 and 54 with a minimum of 20 years service will receive a yearly payment equivalent to 20 weeks pay plus a 12 per cent upgrade until retirement age.

Employees staying on with the company
• Workers will receive a one-off taxable bonus of €4,000 spread on two years (2012 and 2013) as compensation for the lack of collective agreements and a three per cent wage increase backdated to January 2011.
• The company is insisting on more flexibility with the more contentious issue relating to the ground staff, who will be asked to work 30 hours a week in winter and 50 hours a week in summer to cater for seasonal fluctuations.
• The company will be adopting the last in first out principle throughout the redundancy period subject to managerial discretion in particular circumstances.

Alternative employment
• Workers who do not benefit from the redundancy schemes will also be offered alternative employment. Government has identified vacancies for 201 people in various departments and public agencies. The alternative jobs on offer are: 86 clerical positions, six administrative jobs, four security guards and 105 messengers and handymen.
• The government agencies expected to absorb these workers are: the planning authority, the Attorney General’s office, the Housing Authority, libraries, the Malta College for Arts, Science and Technology, the transport authority, the consumers’ watchdog, Water Services Corporation, Malta Investments Limited, Wasteserv, the Freeport and the Foundation for Social Welfare Services.

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