The Malta Business Bureau said that together with the Malta Chamber and the MHRA it strongly supports the objectives of promoting equality, increasing female participation in the labour market and a healthy work-life balance.
It stressed, however, that work-life balance initiatives should not increase the cost burden on companies that would otherwise impact their competitiveness and ability to create more jobs.
In view of the compromise agreement by the EU institutions on the work-life balance directive, the MBB, while cautious on the directive itself, welcomed the deal that will allow Member States to determine the level of remuneration for employees for parental leave and carers leave in their own labour market, rather than this being set by the EU. The directive also determines that paternity leave will be paid at not less than the level of sick leave of the respective member state.
We need to ensure that new measures do not increase costs that would make firms less competitive
MBB President Simon De Cesare said: “In this case, subsidiarity prevailed, whereby decisions will be taken closer to citizens and reflect national economic realities. Following this outcome, it is the responsibility of the government to discuss with employer organisations locally how these measures should be implemented in Malta and ensure that there would not be any negative impact on businesses.”
Malta Chamber president Frank Farrugia stated: “Malta as a country already practises strong family-friendly values. The provision of free childcare for working parents puts it at the forefront and a best practice in Europe. Companies have to compete internationally and thus we need to ensure that new measures do not increase costs that would make them less competitive. Therefore, we need to find solutions that work for all parties.”
MHRA president Tony Zahra said that the outcomes of the work-life balance directive will present numerous challenges for companies, impacting productivity and human resources, especially in the hospitality sector.
“Businesses therefore expect that the spirit of social dialogue prevails and that the associated costs with this directive will not be borne by employers,” Mr Zahra added.
The Malta Business Bureau is the EU research and advisory arm of the Malta Chamber and MHRA.