Kampanja Paga Minima Dcenti said that it notes with satisfaction the position taken by various organisations, the views expressed by politicians as well as the support given by various individuals, especially working people, regarding the proposal to increase the minimum wage by 3.5% for three years.

It added that it hopes that other organisations and individuals join the campaign and that Government will also endorse and implement this just and economically realistic proposal.

"This notwithstanding, the Malta Employers Association, the Malta Chamber and the GRTU, expressed concern at this proposal," the Campaign said.

Kampanja Paga Minima Dicenti said that it finds the claim made by the employers' association that raising the minimum wage could have serious consequences on Malta's competitiveness "unconvincing."

"The claim assumes that the low wages that are being paid in certain sectors are a major reason why our country is economically competitive and attractive, which is not the case."

Moreover, it said, "the proposal made by Kampanja Paga Minima Dicenti includes suggestions about fiscal measures and government interventions that would help those enterprises that might struggle if the minimum wage is increased as per our suggestion."

Kampanja Paga Minima Dicenti added that it does not consider the claim made by the employers' that the proposal in question would lead to an increase in wages across the board, and not simply for those on minimum wage (which are a small minority) as a cause of concern, provided a clarification is made.

"Kampanja Paga Minima Dicenti is not suggesting that all wages are increased by 3.5%." It added that it is suggesting that the equivalent of an increase of 3.5% of the minimum wage, and of the minimum wage only, is given to workers in the lowest scales, whose wages are disturbingly inadequate. "Even if this amount (i.e. 3.5% of the minimum wage, not of any wage) is given to all employees across the board, the effects of this should be minimal given the healthy state of the economy."

Kampanja Paga Minima Dicenti also noted the employers' representatives claim that Malta has a positive record of wage-bargaining at enterprise level, on the basis of productive and competitive constraints. "That may well be the case. There are employees however who are not unionised and whose conditions of work have not been affected by negotiations between employers and unions. These are most likely to receive minimum wages. The proposal is aimed primarily at them," it said.

Kampanja Paga Minima Dicenti acknowledged that private business is a motor of our economy, as noted by the employers' associations. "Yet, private business requires not merely people who invest, but also people who carry out the work."

"Our proposal is simply suggesting that the wealth that these two parties are creating is distributed in a just and equitable manner. Raising the minimum wage would be a step in this direction," concluded Kampanja Paga Minima Dicenti.

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