MCESD Activity Report January to December 2020

Chairperson’s note Dialogue delivers results

When I joined the Council for Economic and Social Development (MCESD) in the last quarter, from the onset I saw how best we, as a team, can enhance the status of this forum, following on the efforts of my predecessors. However, I felt I wanted to give MCESD a boost in a bid to further the development of social dialogue in Malta, at a time when society is going through a pandemic. We are the only local organisation which facilitates dialogue at the highest level. Covid- 19 was on top of the agenda and still is – as expected. Within 24 hours we held two MCESD meetings at the office of the Prime Minister for our council members, in which meetings the council, together with a number of ministers and the Prime Minister, discussed the most practical and objective strategy the country must implement for society to best benefit from a social and economic aspect. We are setting up working groups in a practical way based on the EESC/ILO model and prior to every meeting we are engaging researchers to conduct preparatory work on a theme to be discussed. This enables members to have a better understanding of what will be discussed, giving them more time to contribute concrete proposals and ideas during each meeting. In addition to the challenges brought about by COVID-19, the labour market has changed, creating both skills shortages and surpluses. It is highly important than ever to ensure that skills gaps are addressed. In this context, we held various MCESD meetings at The Malta College of Arts, Science & Technology (MCAST) after partnering up to promote the college’s apprenticeship schemes among our members since we view this educational institution as a hub to prepare students for the world of work. We are putting our energy to share what we were doing for all citizens through representative organisations like the Civil Society Committee and the Gozo Regional Committee who sit on our council. We also have a good outreach by means of our online social media channels as society at large is represented by our council members and whatever is discussed and implemented impacts people from all walks of life. MCESD is also helping to establish an environment of trust between members despite all representative organisations having their own agenda. It is our responsibility to strive hard to build the best relations between all social partners. In this evolved scenario and with the wealth of communications technology at our fingertips, I still believe that the most basic element of success remains human interaction. My aim is for our meetings to be more creative in order to serve its purpose – that of trust building. James H. Pearsall Chairperson MCESD

This was an eventful year for MCESD, as the social partners within MCESD sought to react proactively to unprecedented events which shook the Maltese economy. In fact, a record number of meetings were held as the social partners put aside their individual organisations’ hats and came together in the national interest to forge a way in the face of the economic upheaval unleashed by the COVID-19 pandemic. MCESD also contributed to the institutional changes related to the rule of law, ushered in under the new Prime Minister. A change in chairmanship brought new changes with a reinvigorating focus on research and restructuring of the workings of the work groups. Administratively, MCESD switched to video conferencing and remote working as it continued operating effectively throughout. I would like to thank the social partners after they embraced video conferencing instead of physical meetings. This year we have all learned to use new digital technology and these new forms of working are here to stay. We have in fact registered increased participation in our zoom meetings. All in all, this has been a tumultuous year and I feel that MCESD has risen to the occasion and sought to face the challenges which presented themselves, head on. MCESD seeks to turn threats into opportunities through the Research Steering Unit which is looking at development and trends beyond our shores so as to conduct research which is relevant both locally and all over the world as Malta has an increasing open economy. I would like to thank the chairperson for the new impetus he has given to MCESD and the staff who are continuously adapting to new demands in this ever-changing work environment. Finally, a word of appreciation to the social partners, for their contribution to effective social dialogue, which has contributed to better formulated policy decisions on the part of government.

Adriana Chircop Executive Secretary MCESD

The council During the period January 2020 to December 2020, the council met more frequently due to the evolving political situation and subsequently due to the impact of the COVID-19 pandemic to discuss the resulting economic and social impact.

MCESD meetings

Suspension of electricity supply This meeting was requested by Tony Zahra from the MHRA following the suspension of electricity supply on two concurrent occasions. EneMalta chairman Kevin Chircop addressed the council and explained that in the absence of electricity supply provided by the interconnector, there was still enough supply generated by the power station. He presented a chart which depicted the generation capacity of EneMalta. The council discussed the security of electricity supply and in particular security surrounding the interconnector. Members questioned the regulator’s role in the matter of security of supply. REWS was the regulator who was responsible to ensure that EneMalta fulfilled its legal obligations.

Brexit Glenn Micallef, Head of the EU Secretariat and Brexit Unit within the Ministry for European Affairs and Equality gave an update to the MCESD Council on the impact Brexit was expected to have on the Maltese economy. Mr Micallef gave an overview of how Brexit was expected to impact British citizens who are residents in Malta and touched upon Maltese citizens living in the UK.

The European Semester Process Alexandra Zammit from the EU Representation Office in Malta gave an overview of the thinking behind the setting up of the European Semester Process. She explained how the European Semester was the EU’s annual integrated surveillance reporting system for fiscal and macro-economic policies. In the presence of cross-border spill-overs, economic policies are a matter of shared concern. Since Maastricht, the EU has acquired a "coordinating competence" which extends to economic, employment and social policies of the Member States. Therefore, specific procedures for dealing with fiscal policies (SGP) and macro- economic imbalances (MIP) are integrated into a broader integrated surveillance framework. The EU’s power of enforcement varies by policy area. It can be concluded that the European Semester is a problem-oriented policy coordination process. The social partners were encouraged to give their feedback to the process.

Informative meeting for social partners on Covid-19

On March 5, the MCESD met with social partners for an information session on the Maltese government’s work tied to the Coronavirus pandemic after the Government felt it was important for social partners to be informed on national preparedness in this regard. The session was led by the chairperson of MCESD, John Bencini. Minister within the Office of the Prime Minister, , said that the Government is taking the situation very seriously. MCESD falls under the remit of Mr Abela. He told social partners that we should be prepared as best possible, but we should not cause panic. Mr Abela urged social partners to convey the message to their members to follow instructions issued by the Department of Health and that everyone acts on facts not speculation. Principal Permanent Secretary, Mario Cutajar, briefed those present on the inter-ministerial work being done in this regard. Superintendent of Public Health, Prof. Charmaine Gauci, also addressed the social partners.

Joint MEUSAC-MCESD Core Group Meeting Minister Carmelo Abela addressed social partners for the first time since his new appointment during the MCESD-MEUSAC joint Core Group meeting held on February 3, which discussed the United Kingdom’s exit from the European Union. The meeting also focused on the European Commission’s priorities tied to the European economic semester. During follow up meetings on the emerging COVID pandemic, Minister Abela said that the Government is giving social partners’ proposals more priority than ever before. He said that he will see that both MCESD and MEUSAC will be given the resources needed to improve on their services. In his address, Mr Abela spoke about the Industrial Revolution 4.0. which will further bring to the fore technology in our lives.

“We need to work hand in hand to understand the impact this technology could have on workers, businesses and the economy in general. We all have the responsibility to understand how advanced technology such as artificial intelligence (AI) for instance, would do this. He added that there are other topics which are of importance in social dialogue and they will also be given priority, including equal pay and sustainable development in each and every sector.

On the European Semester, Minister Abela highlighted that this provides a base for the coordination of economic policies in the EU. This process gives Member States the opportunity to discuss economic plans and budgets, while the EU oversees the progress of each country every year.

Virtual meeting The MCESD held a digital meeting with the social partners and representatives from civil society together with the Minister within the Office of the Prime Minister Carmelo Abela and the Minister for the Economy, Investment and Small Businesses Silvio Schembri. During this meeting, the current situation brought about by the Covid-19 pandemic and the economic impact on businesses were discussed.

Minister responsible for Social Dialogue Carmelo Abela, noted that such a meeting emphasised the fact that Government considers social dialogue as highly important. Throughout this pandemic, discussions have led to tangible results. Minister Abela added that Government has honoured the important agreement reached between the employees’ representatives and employers. He went on to highlight his expectations that – in line with Government’s efforts to use its resources to safeguard jobs – employers should also strive to do their utmost to achieve this purpose. He also reminded those present that if companies find themselves in difficulty or in case there is the need for changes in work conditions, they need to first hold discussions with the Department for Industrial and Employment Relations. Minister Abela expressed his gratitude towards the companies which are doing their utmost to safeguard the jobs of their employees. He added that abuse by employers will not be tolerated. The agreement with the social partners within MCESD needs to be adhered to especially throughout this period and all parties should make every effort to follow its content. Minister for Economy, Investment and Small Businesses Silvio Schembri said this is a challenging period for our country, however, the most fundamental aspect is the unity among key stakeholders to pull the same rope. Through their interventions, the social partners presented their comments, concerns, and issues they are currently facing in relation to the implementation of the third financial aid package announced by Government. Minister Abela and Minister Schembri both remarked that they had noted the comments. They encouraged more collaborative work to find possible solutions, adding that Government is open for discussion to be able to receive feedback, analyse and take the necessary action.

June

MCESD holds pre-budget meeting for social partners A pre-budget meeting saw the Minister for Finance and Financial Services, Prof , accompanied by the Minister for Sustainable Development, Implementation of the Electoral Manifesto, and Social Dialogue, Carmelo Abela, make a presentation on Malta’s finances and on the state of the Maltese economy. MCESD Chairperson John Bencini explained that the budget which is being presented on June 8 was an extraordinary budget meant to encapsulate the impact of the COVID pandemic on public finances. The actual budget, which is usually presented in September, would take place just the same.

Minister Abela said the Government was able to face the challenges presented by the COVID-19 pandemic because it had a ‘war chest’ it could use to fight the impact on the economy.

Prof. Scicluna said MCESD was the ideal place to present the Government’s ideas and to get feedback from all social partners. The Government wanted to keep in touch with what was being experienced on the ground and was ready to fine-tune its response. The Minister present statistics from January to April 2020 so that social partners would have a clear view of the state of the Maltese economy. He then proceeded to elaborate on the EU financial packages and explained that there would be the need to fund these packages by using loans which would ultimately need to be financed by additional taxation streams. Both employers and employees stressed that the schemes need to continue to operate in some form or other to sustain jobs, businesses, and the economy. The unions asked for more information on unemployment. They pointed out that employees who worked from home needed to be compensated and the compensation should be linked to workers keeping their jobs. They said many employees who were not part of a union did not benefit from the 800 to 1,200 euros by employers.

MCESD hosts meeting for social partners on future of work

The outcome of a series of brainstorming meetings held with representatives from the employees and employers’ sectors were presented during an MCESD meeting which focused on the perspectives of the future of work, and social dialogue. Three main questions were discussed, including how work is changing and the impact on the employer-employee relationship and the legislative framework which deals with industrial and employment relations, among other salient issues. The Minister within the Office of the Prime Minister Carmelo Abela explained that the rationale of this brainstorming exercise was to address the new labour market necessities which have developed throughout the COVID-19 pandemic, bringing to the fore emerging employment patterns.

Meeting on digital economy; Minister thanks outgoing chairperson John Bencini

During a meeting held on July 6 which focused on the Digital Economy, Minister Carmelo Abela emphasised on MCESD being more proactive and relevant. He thanked outgoing chairperson John Bencini for his work with MCESD. A discussion also ensued on how Malta could strengthen its position as a place where new technological solutions are tested before entering the market.

Economist Kirsten Cutajar Miller, and Mr Kearon Bruno delivered a presentation on a sustainable and digital economy.

MCESD meeting on political situation

An MCESD meeting was held on August 5 on the political situation, ahead of another meeting the following day called by the Prime Minister on the COVID-19 situation. James Pearsall, the new MCESD chairman, addressed social partners for the first time since his appointment on August 1.

Mr Pearsall replaced Mr John Bencini. Social partners gave their take on the political situation in Malta.

Social partners said that MCESD can offer checks and balances for a functioning democracy. MCESD brings together social partners and civil society in real time, to respond swiftly to evolving situations.

Six-hour meeting with PM on COVID situation An MCESD meeting on the COVID-19 situation called by the Prime Minister on August 6 following calls by social partners forming part of MCESD, lasted some six hours.

In his opening address to social partners and members of the press, PM , flanked by new MCESD chairperson James Pearsall, Deputy Prime Minister , Minister Carmelo Abela, Minister Edward Scicluna and Superintendent of Public Health Charmaine Gauci, highlighted that this is a Government that listens and although a decision would have been taken, it does not mean that it is set in stone and cannot be altered.

He said that he wished for two principles: the protection of people’s lives and livelihoods. Following the six-hour long meeting, the PM said new measures are to be introduced which will strike a balance between health and people’s quality of life. He said that it is vital that we don’t go to extremes.

A word from the Chairperson following two MCESD meetings held in 24 hours MCESD’s prime objective, as new chairperson James Pearsall put it during six hours of talks on COVID-19 between social partners and Government, is to further instil a sense of trust between social partners for the good of all citizens, without ignoring the fact that all stakeholders have to protect their organisation’s interests. A hard task but not an impossible one hence MCESD’s role: to facilitate this change in thinking where social dialogue is concerned.

“The importance of having social partners meet under one roof and putting trust in each other is the only way forward. This will be MCESD’s imminent mission until it is accomplished,” Mr Pearsall highlighted. “Fostering social dialogue plays a crucial role in promoting competitiveness and fairness and enhancing economic prosperity, along with social well-being,” he continued.

MCESD meeting on gender pay gap, flexible work practices

The Ministry within the Office of the Prime Minister commissioned a technical report about basic living income. This was announced by Minister Carmelo Abela during a MCESD meeting on August 31.

The Minister announced that, in the coming weeks, the Ministry will be focusing on the concept of basic living income. “The aim behind the study focusing on the concept of basic living income is to ensure a more decent income for everyone,” said Minister Abela.

He remarked that the discussion about this concept became more pronounced after the historic agreement on the national minimum wage prior to the 2017 general elections. Minister Abela added that this study is also included in the Government’s manifesto and therefore – by carrying out this work – the Government is implementing another electoral promise.

Finance Minister lauds MCESD for its work, social partners over concrete budget proposals

On September 10, Minister for Finance Edward Scicluna expressed great satisfaction on the way the budget proposals by social partners were presented to the Finance Ministry, stating that social partners were objective, something he had not seen happening for years. He also lauded MCESD for its work in the social dialogue sphere and economist Kirsten Cutajar Miller for compiling the document with the proposals in a concrete way.

Profs Scicluna was speaking at the end of a meeting hosted by MCESD for social partners, who represent society at large – from trade unions to employers and employee organisations and businesses. MCESD chairperson James Pearsall echoed the same thoughts, also expressing his satisfaction on the meeting outcome.

On the distribution of vouchers by the Government, he said that EU counterparts said that it was the best way to give an ‘intravenous injection’ to the economy.

MCESD goes to Gozo

An MCESD joint Gozo Regional Committee (GRC) meeting was held on October 19 in Gozo. A presentation was delivered by the Director responsible for Business Statistics within the National Statistics Office (NSO) Manuel Tabone (also covering the regional stats and the regional office in Gozo), while another presentation by economist Kirsten Cutajar Miller focused on sustainable development and unleashing Gozo’s potential. Chaired by MCESD chairperson Mr James H. Pearsall, the discussion also focused on accessibility to Gozo, tourism, the economy and the Budget 2021 which was announced later on the same day.

Minister Carmelo Abela, who was accompanied by Gozo Minister Clint Camilleri, said the budget will reflect the strength of a “transparent, honest and open social dialogue process to safeguard workers and employers”. Both ministers emphasised the importance of sustainable innovation and development in agriculture, training in the tourism sector and that Gozo attracts innovative digital companies and ‘digital nomads’.

Minister Abela said the Government promised open dialogue with social partners – based on honesty.

The Minister for Gozo said the Government is working a lot on accessibility-related issues and that it is important to acknowledge concretely the challenges Gozo faces due to double insularity. Here, Minister Camilleri said this is why the Government is committed to implement the project tied to the tunnel linking the two islands.

November

Brexit developments, Covid-19 impact on mental health of workforce discussed

An MCESD meeting held on November 22 at MCAST focused on Brexit developments and the impact of Covid-19 on the mental health of the workforce. Minister Carmelo Abela and Parliamentary Secretary Stefan Zrinzo Azzopardi addressed the meeting. A presentation was made by Dr Kurt Xerri of Rethink on the impact on the mental health of the workforce as a result of Covid-19. Another presentation was made by Leondro Borg from the EU Coordination Department on the latest developments tied to Brexit. A final report on the operations of MCESD tied to an EU-funding project by the Malta Chamber of SMEs which deals with a study on how to improve social dialogue, prepared by the EMCS, was also submitted and presented to social partners.

In his intervention on Brexit, Minister Abela pointed out that at this stage the negotiations between the EU and the United Kingdom have reached a delicate phase, just a few weeks away from the end of the transition period. For Malta, the relationship with the United Kingdom is very important. When possible and at the appropriate time, we talk about the bilateral and future relationship with the UK, both for the benefit of the respective citizens as well as for other aspects, including tourism. A recent local development was the appointment of Mario Vella as Special Commissioner for Economic, Financial and Trade Relations with the United Kingdom.

Parliamentary Secretary Stefan Zrinzo Azzopardi emphasised that as of the January 1, 2021 – the end of the transition period – European Union law will no longer apply to the United Kingdom. The Parliamentary Secretary referred to the work done by the Customs Department by increasing resources, as well as preparing for the changes brought about by Brexit, including new procedures and tariffs. He referred to other preparations which are being conducted by Identity Malta to register English residents in Malta, together with the work of the Ministry for Health and the Medicines Authority regarding the importation of medicine.

“The Government has taken up initiatives to explain and communicate better how one can be more prepared. A document was prepared and launched a few days ago, as a result of the coordinated work which we have conducted to be able to provide the information needed so that those who will be impacted can prepare as well,” said the Parliamentary Secretary.

The Minister responsible for working conditions, Carmelo Abela, mentioned that, with the effects on mental health the pandemic has left on our workers, he believes this is an issue which must be given the importance it deserves. Most common are those related to job security and associated tensions, as well as housing payment issues, although a moratorium has been introduced.

Minister Abela referred to the worries faced by workers who have fewer academic qualifications who feel that they are helpless and also vulnerable at this time. Consequently, according to Minister Abela, one should look at the continuing need for reskilling and upskilling to help these individuals even more. He also referred to self- employed individuals, who are perhaps the most psychologically affected by this instability in the world of employment. Minister Abela also spoke about the effects of Covid-19 on women’s participation in the world of employment. He said: “In a context of crisis, unequal social structures see women facing more precarious employment situations and bearing a greater burden of responsibilities. Confinement measures and school closures have further increased women’s responsibilities. “We need to ensure that this is addressed, first and foremost, for the mental health of this category of female members of our society and also because of the effect this has on our workforce.”

Internal reforms on improving social dialogue Minister Abela said that the work of MCESD is already underway with changes mentioned in a report, including that the MCESD would start to guide itself on professional studies. The objective of potential changes to the MCESD governing law should always be in the spirit of strengthening the social dialogue, as has been seen in these months of pandemic.

CBM listening event/MCESD meeting The invited MCESD members to give their take on the ECB’s Strategy Review.

The listening event’s aim was to gather views on ECB monetary policy strategy.

Last January, the Governing Council of the European Central Bank (ECB) launched a review of its monetary policy strategy, the primary aim of which is to deliver price stability. As part of the wide-ranging review, the ECB, together with all the central banks of the euro area, will engage with a variety of stakeholders, including members of the European Parliament, academics, and representatives of civil society.

On its part, the Central Bank of Malta also organised one for the public and civil society groups to give their feedback.

The feedback received from stakeholders was analysed and summarised by the bank and sent to the ECB, providing meaningful input to the deliberations of the Governing Council.

The second phase of the meeting took the form of an MCESD meeting which saw other matters discussed.

List of council members and substitutes James Pearsall Mario Cutajar Diane Vella Muscat John Abela Alfred Camilleri Godwin Mifsud David Xuereb Edward Chetcuti Andre Fenech Marisa Xuereb Josef Bugeja Victor Carachi Robert Borg Kevin Camilleri Josef Vella Mario Sacco Marco Bonnici Colin Galea Dolores Sammut Bonnici Joseph Farrugia Tony Zahra Angela Attard Fenech Philip Fenech Abigail Mamo Martin Balzan William Portelli Prof Edward Scicluna Alexander Demarco Ben Rizzo Joe Muscat Joseph Borg

MCESD press section participates in EESC news conference

On September 2, MCESD’s press officer Duncan Barry participated in a remote presentation of a study prepared by the EESC – European Economic and Social Committee Group 3 ‘Diversity Europe’. All press officers of national European social committees were invited for the online meeting. The four authors of the study delivered the findings of the study. The President of EESC Diversity Europe Group also participated in the meeting hosted by Jasmin Kloetzing, Communications Officer, Secretariat of the EESC Diversity Europe Group.

MCESD Executive Secretary participates in European Semester Group meeting

MCESD Executive Secretary Adriana Chircop participated in an online meeting of the European Semester Group (ESG) held on September 7.

Topics discussed included the ESG End of Mandate Report, the Draft Opinions for ECO/520 and ECO/521 An EP briefing: “What role for the European Semester in steering the economic recovery?” “Greening the Recovery by Greening the Fiscal Consolidation”, Breugel policy brief.

Covid-19: MCESD participates in Richmond conference on mental health impact

On October 23, MCESD media officer Duncan Barry participated in an online annual 2020 conference organised by Richmond Foundation Malta. The conference explored the mental health impact of social and economic measures on different groups in Malta. A number of speakers addressed the virtual conference, including World Health Organisation (WHO) European Regional Director Dr Chan Chisholm and former AFM Colonel David Mifsud, who is Director at Malta Tourism Authority overseeing the enforcement directorate, among other keynote speakers. The workshops MCESD participated in focused on the Covid-19 impact on business owners and employees.

The importance of support at work was highlighted during the conference as anxieties and fears at the workplace which are heightened by the pandemic are reduced drastically through support. Online interaction when working from home is also vital. “We shouldn’t hide behind the black screen but show ourselves and interact when working from home,” Valerie Cabay, executive coach, and Intercultural Management, advises.

Some stats: * 1770 helpline calls at Richmond Foundation – Malta increased drastically in April at initiation stage of pandemic in Malta * Mental Health problems affect some 84 million people in Europe * One in 5 youths across Europe affected * MTA conducted up to 1,200 checks/inspections per day at height of pandemic; enforcement teams faced verbal abuse from some members of the public and some operators when establishments started to open again; in the midst of Covid-19, fear and anxiety affected MTA enforcement teams as they were telling people to stay inside while they had to work on the outside to ensure people and company owners were adhering to strict protocols.

Report on MCESD operations presented Out of place On a November 10, a conference organised by the Malta Chamber of SMEs, in conjunction with MCESD, saw a report on the operations of MCESD presented by the EMCS Tax & Advisory. The report – which included face to face interviews with stakeholders and members of the media – is to help improve the entity’s operations in a bid to continue to strengthen social dialogue in Malta.

The report is part of an EU-funded European Social Fund (ESF) project. The title of the research is ‘An effective MCESD for social partners’. Minister Carmelo Abela told members of MCESD, comprising Council members and representatives of the Civil Society Committee and the Gozo Regional Committee, that a number of steps were taken already as recommended in the report’s conclusions. A new MCESD website and a stronger presence on social media, coupled with preparatory work tied to the themes discussed during MCESD meetings, giving MCESD stakeholders a heads-up on the title of the discussion prior to meetings, were some of the new positive changes MCESD implemented, the Minister highlighted. A number of suggestions were made by stakeholders which were compiled in a final report by EMCS that was presented during the MCESD meeting held at MCAST on November 23.

Anti-Poverty Forum Malta virtual conference on living income

On November 19, Executive Secretary at MCESD Adriana Chircop participated in an online conference on the living income. Minister Carmelo Abela also participated.

EESC virtual conference on sustainable development The Euro-Mediterranean Summit of Economic and Social Councils and similar institutions aims at promoting greater understanding of the main issues affecting organised civil society in the Euromed region and at discussing the common challenges they face. A virtual summit held in November brought together some 120 participants from a range of economic and social councils, or similar institutions, representatives of employers, trade unions, other economic and social interests groups and NGOs from countries which are members of the Union for the Mediterranean. The summit focused on some of the challenges faced by Mediterranean countries and the role that civil society can play in facing them. The meeting concluded with the adoption of recommendations which will be sent to the political authorities of the countries involved in the Euromed Ministerial Summits as civil society's contribution to their work and disseminated widely among civil society organisations in the region. This year, the exchange focused on Sustainable Development in the Mediterranean region. MCESD Executive Secretary Adriana Chircop participated in the conference.

Teleconference of the Economic Policy Committee

MCESD participated in the 539th meeting of the Economic Policy Committee. The virtual conference was held on December 9 and 10.

Gozo Regional Committee

Agenda: Gozo Regional Development Authority election

The Gozo Regional Committee (GRC) met on its first meeting of the year on January 30, 2020 to elect a member of the committee on the Gozo Regional Development Authority, which was set up by the Gozo Ministry under then Minister Justyne Caruana’s helm.

There were three candidates in all who contested the election namely Joseph Borg GBC, Alvin Scicluna GWU and Sean Zammit Gozo NGOs’ Association. Initially, one of the other candidates was Joe Muscat but he said that since he represents the GTA and a person was asked to represent the GTA on the GRDA as well, it was not ethical to have another from GTA representing the GRC on the GRDA and therefore abstained. In the end, it was Joseph Borg, GBC, who was elected on behalf of the GRC.

Agenda: Social dialogue and Gozo’s challenges

On February 28, Minister Carmelo Abela addressed the GRC, stating that he wants to see that social dialogue is strong and that discussion should not evolve into a talking shop. The minister said he intends directing the feedback of the committee members towards Government departments and entities concerned on the actions that need to be taken as a result of the proposals made by members of the committee. During the meeting, Minister for Gozo Clint Camilleri said Gozo sees some 1.7 million tourists crossing over to the island yearly, more than 50 times Gozo’s population size. He said this is thanks to the Government’s successes and the work of Gozitans. Apart from the proposals put forward by committee members, improving the quality of life of Gozitans, and sustainable development were also discussed.

No meetings held in March No meetings were held in March due to the Covid-19 situation.

Agenda: The impact of the Covid-19 on Gozo On April 30, GRC members met virtually to discuss the present situation of Covid-19 and its impact on Gozo. The chairperson and vice-chairperson explained to members that within a very short period of time they had to negotiate a financial aid package with Government which was beneficial to Gozitans. The economy was heavily impacted as a result of Covid-19 especially since 50% of Gozo’s GDP comes from the tourism sector. This should serve as a lesson to the sister island and efforts need to be made so as to further diversify its economic sectors. The members also emphasised the importance of businesses using this critical time to their possible advantage and for the tourism sector to do the necessary refurbishment and upgrading while minimising the risks of redundancy. Members agreed that a comprehensive report should be drawn up to include members’ proposals for a post-covid strategy. Another important factor mentioned was the reinstalling of the Gozitan residents’ confidence.

Furthermore, Government should prioritise internal tourism by doing away with the current Gozo Channel travelling restriction. Such decisions should always be taken following consultation with the Public Health Authorities. The importance of continuous discussions and communication was now emphasised more than ever especially since the virtual meeting resulted in more active participation.

Agenda: Task Force – Post-Covid-19 Strategy On May 28, the terms of reference and set-up of the Task Force tied to the post-Covid- 19 strategy was discussed. In his opening address, John Bencini said that he will be paying a visit to the , along with MCESD Executive Secretary Adriana Chircop to discuss post-Covid related issues following an invite by the President. He added that he felt the chairpersons of both committees, the GRC and CSC, should join him in the meeting. Joe Muscat from the Gozo Tourism Association reminded those present on the next meeting of June 25, 2020 and that the proposals will be sent to the task force members so that they can start working on the proposals.

Agenda: Strategy post-Covid discussed On June 25, the Gozo Regional Committee within MCESD discussed a number of pertinent issues, including on the work of the task force in relation to the strategy tied to a holistic plan for Gozo post Covid-19.

The decision to set up a task force was taken during a virtual committee meeting of the GRC held in May. The committee also discussed the house rules of the GRC. A working group was set up to discuss a proposed statute and to finalise the rules. Feedback was requested from all members by Friday July 3, 2020.

GRC meets to discuss 2021 budget proposals

The Gozo Regional Committee within MCESD met on July 30 for their monthly meeting to discuss a number of proposals for the 2021 budget. The committee agreed to call on the authorities to tackle the issue of the inter-island connectivity as well as connectivity on the island including more parking spaces and the introduction of circular smaller buses in the capital Victoria.

Members also highlighted the need of a policy and strategy as well as an incentive package to attract investment in digital economy, while emphasising on the creation of more job opportunities in Gozo for the Gozitans. The GRC also called for a distinct approach and courses on offer at the Campus in Xewkija as well as the Qala Campus of ITS. Finally, GRC will be proposing to Government to assist the voluntary sector with combined Government services made available in Gozo.

Social and Economic trends in Gozo On August 28, an overview of Social and Economic trends in Gozo was delivered by Manuel Tabone, Director responsible for Business Statistics within the National Statistics Office (NSO), also covering the regional statistics and the regional office in Gozo.

This was followed up during a joint MCESD-GRC meeting held on October 16 in Gozo.

GRC discusses budget proposals prior to MCESD meeting

On September 3, the GRC once again discussed the pre-budget proposals prior to the MCESD meeting held on the same subject at MCAST in Paola. But this time around, Kirsten Miller, economist, presented a detailed report on all proposals to the Minister for Finance for his review, a report that was highly welcomed by the Minister for Finance.

Gozo Minister joins GRC virtual meeting on Budget 2021 measures

Minister for Gozo Clint Camilleri today joined a meeting by the Gozo Regional Committee – a consultative board within MCESD – which tackled a follow-up to the Budget 2021 measures for Gozo.

The issue of bank moratoriums was raised, whereby a committee member claimed that many are being turned away by their banks when asking for moratoriums on loans, amid the pandemic which has forced certain employees to work as little as three days a week, translating into a salary reduction, hindering their loan affordability.

He added he was told that banks were telling such persons they are working on a case by case basis and not adopting across the board measures in terms of moratoriums.

The minister said there is currently a wage supplement in place with the Government giving millions in wage supplements and there was so much the Government can do. However, he said he would look into the issue.

On teleworking, a committee member said that contrary to the private sector, some Government Public Sector employees were having to return to work amid a pandemic.

The minister replied by saying that there are cases where teleworking is justified, and in others it is not but he would be happy to assist in cases which are genuine. On the fibre-optic cable, the minister said he was doing his utmost for the work to get done and was coordinating with Malta Enterprise on this.

The committee’s chairperson stated that Gozo’s economy needs to be diversified as presently it is too much reliant on tourism. On the other hand, for this to happen, Gozo should seek to diversify. As mentioned in the Budget 2021 speech, Gozo should strive to establish digital and green economies. Even in the vocational and educational field, Gozo is to offer different options and fields of studies.

The Malta University Campus in Xewkija, the ITS Campus in Qala and the MCAST Campus in Ghajnsielem should not necessarily be a replica of those on the mainland. They should be developed to offer specific courses related also to Gozitan realities. “We do not have to copy what is being done in Malta; and we should follow the example of Barts.”

Covid-19, GRDA vision document and GRC committee nominations A number of issues were discussed during the December meeting, including potential updates on the Gozo Hospital in relation to the Covid-19 situation, the GRDA vision document, the end of term of the GRC committee and the nominations to elect a new chairperson and new members mentioned in the committee’s house rules so that the February 2021 plenary would include the new chairperson and members, and the positive impact when there existed a joint MCESD/MEUSAC office in Gozo.

The Civil Society Committee

The Civil Society Committee within MCESD represents 12 different sectors at grassroots levels of Maltese society thus making its voice heard is crucial in the local social dialogue scenario. Elections for the committee are held every two years and during the first part of 2020 the new committee was formed. The CSC is now made up as follows:

Civil Society Committee Members (MCESD) 2020/2022

Consumer Affairs Association for Consumer Rights Malta representative Marie Demicoli Association for Consumer Rights Malta substitute Catherine Polidano

Health, Elderly and Pensioners Association of Speech-Language Pathologists representative Norma Camilleri The National Association of Pensioners substitute Moses Azzopardi

Gender Equality National Council of Women representative Mary Gaerty ** Malta Confederation of Women's Organisations substitute Lorraine Spiteri

Professions Malta Federation of Professional Associations representative Benjamin Rizzo* Malta Federation of Professional Associations substitute Helga Pizzuto

Youth and Students KNŻ Kunsill Nazzjonali Żgħażagħ representative Chiara Vassallo*** JCI Malta substitute Nicole Borg

Sports Touring Club Malta representative Philip Agius Touring Club Malta substitute Charles Bartolo

Agriculture, rural and Fisheries Malta Beekeepers Association representative Antoine Attard Malta Beekeepers Association substitute Mario Sant

Environmental protection and improvement, including the protection of animals, culture, arts and national heritage Wirt iż-Żejtun representative Jesmond Cutajar

Persons with disability Malta Federation of Organisations Persons with Disability representative Marthese Mugliette Malta Federation of Organisations Persons with Disability substitute Ronald Galea

Education, social and community advancement Anti-Poverty Forum Malta representative Ivan Attard The Scout Association Malta substitute Leslie Bonnici

Local Councils Local Councils' Association representative Mario Fava Local Councils' Association substitute Lianne Mifsud

Other St.John Rescue Corps representative Christopher Borg Cardona St.John Rescue Corps substitute Gregory Ellul

* Mr Ben Rizzo – Chairperson ** Ms Mary Gaerty - Vice Chairperson ***Ms Vassallo will be member for 2020. Roles will be switched as from 2021.

General overview During the period January to December 2020 the committee meetings were characterised mainly by discussions on the committee election and changes which need to be made so that the committee functions to its fullest potential. Covid-19 characterised the local and international scenario as of March 2020 and thus the committee focused its discussions on the matter. Other pertinent issues were brought up during other meetings.

Discussion on CSC, post-covid scenario

The Civil Society Committee met virtually on the May 11. During this meeting emphasis was made on giving the CSC the prominence it deserves. The committee works hard and is viable but unfortunately it may not be so visible, and action needs to be taken on this.

Furthermore, the chairperson informed members of a new procedure so that the members of the CSC can participate more actively during council meetings by rotation of attendance depending on the topic being discussed. The post-Covid scenario was also discussed. Members agreed that the country needs to be proactive in order to avoid citizens from falling under the poverty line.

The committee discussed the issue of food security and the role of agriculture to the economic and social aspects of Maltese life. Additionally, urban green was also discussed. However, these topics will be further delved into during the next CSC meeting.

Following this discussion, the CSC prepared a set of proposals for post-Covid and presented them to the MCESD chairperson and also directly to the President of Malta during a one-to-one discussion. The meeting with His Excellency the President was attended by the CSC chairperson together with the chairperson and the executive secretary of the council and the chairperson of the Gozo Regional Committee.

Minister participates in CSC virtual meeting Hon. Carmelo Abela, Minister within the Office of the Prime Minister, was present for the CSC meeting held on June 8, which was held virtually. The discussion focused on the points which had previously been communicated with Minister Abela.

Members discussed issues such as changes in the Legal Notice regulating the CSC in order to make the committee more inclusive and representative of Maltese Civil Society. Furthermore, members discussed the possibility of having a budget for the committee in order to better fulfil its role. The Minister invited the committee to send the official document indicating changes to the Legal Notice so that they can be reviewed, and further action taken.

Food Security

The last meeting held during the first half of 2020 was on the topic of Food Security, two experts namely Malcolm Borg and Eman Vella gave an overview of the local scenario. They emphasised on the need to further educate the population on the importance of purchasing local produce and make a choice of quality.

Members also discussed the importance of the local producers to adapt to the needs of the population. Another point that emerged was the fact that although EU funding was available for farmers, the procedure to apply for funds remained bureaucratic.

Presentation on LCA’s Vision 2024 delivered

The Civil Society Committee meeting held on July 14 focused on the LCA’s Vision 2024, launched earlier this year.

Mario Fava – the LCA’s President gave an in-depth presentation of what the vision entails, emphasising that residents are at the centre of this vision. Explaining that the motto behind this vision is ‘Residents First’, he explained that the vision revolves around four main themes: transport and sustainable mobility in the localities; open spaces for social, recreational purposes; smart cities and last but not least protecting the environment.

A number of issues were brought up by members of the committee, including the need to supervise works done in localities by contractors such as street cleaning, lack of enforcement, the need for separation of waste by means of bins during feasts for the huge amount of empty bottles, the issue of pigeon droppings which is quite a problem in localities like Floriana and Sliema, a site for motor caravans in Mellieha, among other pertinent issues.

Agricultural report, MCESD working groups proposal discussed

On September 14, during a zoom meeting, members of the committee were informed on the MCESD Council meetings held over the past few weeks, which were held at MCAST in Paola, one of which was on the pre-budget proposals. Members decided to review their pre-budget submissions and push their proposals with the respective ministry tied to each proposal. The committee discussed an agricultural report which was sent to the Minister for Agriculture and Fisheries. Members were also informed on the two working groups which MCESD will be setting up and how the CSC will participate and put forward its proposals on these two working groups. The CSC will set up an internal working group to set up rules and regulations for the Committee. Employment, reskilling and upskilling of the workforce vis-a-vis the impact of the pandemic, and mental health issues, with particular emphasis on the problems that have been brought about due to the pandemic, will be discussed during the next meeting.

Working groups, dedicated page on MCESD website for CSC discussed

On October 12, media officer within MCESD Duncan Barry suggested that the Civil Society Committee will have a dedicated page on the official MCESD website. The page has now been developed and features information on the committee members and the outcome of meetings and other pertinent information tied to its work. A follow-up on the sub-committees, the working groups and an overview on the gender pay gap made by the working group responsible was also given.

On November 9, the reports by the two sub-committee leaders and findings were brought up and the persons responsible, Mary Gaerty on the Gender Pay Gap and Norma Camilleri on New Work Practices, were to draw up a report/presentation and to present it during the December meeting. There was also a follow-up on the sub- committee and rules and regulations by the CSC chairperson Ben Rizzo.

On December 14, the in-depth and interesting reports by Mary Gaerty and Norma Camilleri were presented to the chairperson and the other committee members. Chairperson Ben Rizzo gave an overview on the outcome of the meeting of the MCESD Council held by the Central Bank of Malta where MCESD Council members were invited to give feedback on the European Central Bank’s Monetary Policy Strategy Review. The Frendo Report was also brought up during the meeting. A request made by Council members to meet the Prime Minister Robert Abela was also made and the request was welcomed. In fact, the MCESD meeting due for January 26, 2021 was to be held in the presence of the Prime Minister at MCAST, entitled ‘Towards Good Governance’.

MCESD sets up working groups in drive to up social dialogue in Malta

During the month of October, MCESD took a quality leap and set up working groups comprising of members of the MECSD Council – from trade union representatives to employee and employer bodies – and members of the committees.

In an exclusive interview with WhosWho.mt, MCESD chairperson James H. Pearsall explained that the working groups will focus on thematic areas. The concept is based on the ILO model.

Representatives of the working groups will hold meetings, adhering to the terms of reference provided by MCESD, on the principles tied to a topic which would be up for discussion during MCESD meetings.

The areas vary from new forms of employment to gender pay gap, among other issues. As a result of the working groups, the discussion will be more fruitful and those participating will have in-depth knowledge about the subject so working group representatives can give their take during the discussion and eventually a decision is reached for a way forward.

This is the new chairman’s direction, to streamline operations and give working groups the backing they require. And by the time we get to plenary (the plenary is a reference to the actual MCESD meetings), those present will be in a position to discuss consolidated opinions based on research, MCESD facilitating the discussions in the process.

The idea is for MCESD to go from the step of informing to engaging with stakeholders. In the end, it is for the good of all citizens. Representatives who sit on the council and committees represent society at large, therefore it is the citizens that will benefit from these changes within MCESD.

MCESD chairperson urges social partners to push MCAST apprenticeships in video clip that garnered some 4.5k-plus views

On November 12, chairperson James H. Pearsall appealed to members of the MCESD, which also comprise employee and employer bodies, to partner up with MCAST in a drive to push the international college’s apprenticeships.

In a video clip which made the rounds on social media, and which was created by MCAST in conjunction with MCESD, the chairperson said that the world is supporting the system of apprenticeships, also referred to as work-based learning, highlighting that those students who participate are getting first-hand knowledge of what we are referring to them today as employability skills.

Students who engage in these apprenticeship programmes are set to benefit, he continued, adding that this is part and parcel of economic and social development. Martin Borg, Director of Apprenticeships and Work-Based Learning at the Malta College of Arts, Science and Technology (MCAST) describes work-based learning as a voyage, an educational journey. This can only happen with the help of employers, MCAST and students themselves.

MCESD working group studying gender discrepancies at the workplace – TMBW

On November 12, The Malta Business Weekly ran an article titled ‘Bridging the Gap within the Workplace’.

The article delved into the working groups set up by MCESD’s new chairperson James H. Pearsall, which is currently tackling a number of themes, including gender discrepancies at the workplace. The working groups comprise of members of MCESD.

The time is now: MCESD chairman’s message on MCAST apprenticeships In the November 26 edition of The Malta Business Weekly, MCESD chairperson James H. Pearsall wrote about the apprenticeship programme offered by MCAST. The chairperson urges MCESD’s social partners to participate in the MCAST apprenticeships’ programme in a bid to enhance the employability skills of young job seekers.

The programme gives students the opportunity for students to enhance their skills through hands-on experience while undergoing training. In other words, students will undergo college-based learning coupled with industry-based training.

Events

MCESD visit to President

President George Vella meets MCESD officials at Sant’ Anton Palace

During the month of May, MCESD chairperson John Bencini, executive secretary Adriana Chircop, Joe Muscat, chairperson of the Gozo Regional Committee and Ben Rizzo, chairperson of the Civil Society Committee were among those present for a meeting with the President of the Republic George Vella.

In a tweet, the President described the meeting as “interesting”, adding that the focus of the discussion was MCESD’s work in the last three months, ever since the pandemic started, and the consequences of the pandemic on the economic and social sectors.

Worthy of note is the fact that at the onset of the COVID-19 pandemic, MCESD switched to carrying out meetings remotely. The frequency of the meetings increased as MCESD was at the forefront to coordinate the response of the social partners till an agreement was reached on the aid packages for workers and employers. MCESD meets Archbishop in informal meeting at the Curia Archbishop Charles Scicluna had an informal meeting at the Curia with the Malta Council for Economic and Social Development on November 19.

The topic for discussion between the Archbishop, MCESD’s members, led by chairperson James H. Pearsall, was the pandemic. The Government, which is also an MCESD member, was represented by Minister Carmelo Abela. The Archbishop expressed appreciation for the state aid for businesses and their employees, but also pointed out difficulties which families are experiencing in their everyday life.

The Archbishop told employers that the dignity of workers should be respected while employees should also do their part and be responsible.