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The Malta Chamber of SMEs has officially met Opposition Leader Dr Bernard Grech to discuss issues related to members of the Malta Chamber of SMEs.

SME Chamber President Paul Abela augured Dr Grech for being elected as PN and Opposition Leader and stated that the SME Chamber considers the opposition as alternative Government.

SME Chamber President Paul Abela emphasized how important it is to give businesses the necessary breathing space at the moment, giving them the ability to extend their loan repayments on a long time-frame to give them time to make up for this year.

Whilst mentioning that the SME Chamber was catalyst to convinve the Government to introduce the wage supplement, Mr Abela mentioned the importance of new incentives for SMEs and the economic growth post Covid-19.

Mr Abela also mentioned the importance of a economic regeneration process and the importance of the Environment, stressing that the Malta Chamber of SMEs is on the forefront in promoting renewal energy  and manages two Schemes one for packaging and electrical equipment.

President Paul Abela, Vice-Presidents Marcel Mizzi, Michael Galea, Chris Vassallo and CEO Abigail Mamo, participated on behalf the SME Chamber during this meeting.

1. Cost of Living Increase

Legal Notice 468 of 2021: This Legal Notice establishes the Cost of Living Increase for 2021, previously announced by the Government in the financial estimates. Therefore, the wages of whole-time employees have, as of 1st January 2021, been increased by €1.75 per week (or pro rata for part-time employees).

2. Minimum Wages

Legal Notice 469 of 2020: This Legal Notice amends the minimum wages stipulated in the sector-specific Wage Regulation Orders as from the 1st of January 2021, reflecting the Cost of Living Increase.

3. Public Holidays and Vacation Leave

During the last Budget speech, employees were given the impression that in 2021 the Government would be adding an additional day of paid vacation leave, as it had done over the last three years, this to make up for ‘lost’ public holidays that fall on weekends. This would have increased the entitlement to 28 days. However, after much confusion, we can confirm that the leave entitlement for 2021 shall remain 27 days as there will not an additional day added.

The Government has announced that the National Holidays and Other Public Holidays Act (Chapter 252) shall be amended, so that each calendar year the paid vacation leave entitlement will fluctuate up, or down, according to the number of ‘lost’ public holidays falling on a weekend. For instance, this will mean that in 2022 the entitlement will go up to 28 days, but in 2023 the entitlement will be reduced to 26 days. Employers will have to monitor the fluctuations on a yearly basis.

The information provided on this Update does not, and is not intended to, constitute legal advice. All information, content, and materials available are for general informational purposes only.  This Update may not constitute the most up-to-date legal or other information and you are advised to seek updated advice.

Date: Friday, 29th January 2021

Time: 09:30 to 13:30.

Funding opportunity for SMEs has arisen, to support R&I projects in the field of Maritime and Marine Technologies.

Click here for more information. 

Call Website

The service is available following a professional training supported by Norway Grants

Following a professional training supported by the Norway Grants the Malta Chamber of SMEs is now offering a new service for its members related to Employment Law in Malta and the EU.

Malta Chamber of SMEs staff are now trained professionally to offer assistance to its members related to employment issues such as employment contracts, working hours, leave, wages, termination of contracts, harassment and discrimination at work, disability, health and safety at work, data protection and work and residency permits.

This was a great opportunity for the Malta Chamber of SMEs’s since employment issues have increased drastically since the start of the Covid-19 pandemic and work related issues increased following the arrival of the Covid-19 vaccine.

This training is Supported by the Norway Grants 2014-2021, in the frame of the Social Dialogue and Decent Work Programme and was delivered by Fenech and Fenech Advocates.

Chamber of SMEs say sector needs more COVID-19 aid

A €1 million aid package for bars and clubs isn’t enough to sustain the hundreds forced to close due to COVID-19 until February, the Malta Chamber of SMEs has warned.

The chamber is in talks with the government to try to increase the assistance, announced by Prime Minister Robert Abela on New Year’s Eve.

Bars, clubs and band clubs have been closed since October 26 and will remain shut until February as part of measures to stop the spread of the virus.

Abela said further details of the state-aid package would be announced in the coming days but the chamber said the money is not enough, when stretched across approximately 800 establishments.

“In this sense, although it’s a good start and positive, the funding won’t go a long way,” chamber deputy president Philip Fenech said, adding that he hoped through discussions with the relevant authorities they would be able “to settle on a tidy sum” to help bars and clubs start up again.

He said the funding, which will be allocated over and above the wage supplement, can be used as working capital to help businesses replenish their stocks.

There are a number of products that bars and clubs stock that have an expiry date, such as juices and soft drinks, Fenech noted.

“What we have to fine tune in the next few days, and the prime minister said this in a tweet, is the intricacies of how these funds will be distributed,” he said.

“We have to look at this as the size of the bar or club and the number of workers they employ. Bigger clubs and bars obviously had larger losses because they had larger stocks.

“It would be very unfair if we came out with one flat rate for everyone. The best way democratically is to allocate funds according to capacity and size of the venue in question.”

Henri Cauchi, who co-runs the band club Vilhena, in Floriana, said he was “getting worried” about the future, having managed to survive on the €800 supplement thus far.

“This day and age it’s difficult to pay your bills and survive on that,” he said.

“Two of my employees have had to leave, and one of them, a part-timer, is only getting a supplement of €400.

“How can you pay rent on that?”

Cauchi also questioned why bars were forced to close, to restrict crowds gathering, while other venues have been allowed to remain open.

“It’s either we’re all in it together or we’re not. It’s unfair – we were doing very well before this pandemic,” he said.

Source: timesofmalta.com

2021 comes with great expectations.

What the country is experiencing at the moment is consistent with what we have become accustomed to as to the Covid trends.

The festivities offered much less opportunities for the general public to socialize compared to what we were used to however many still got together with their families for an adaptation of their yearly celebration. The amount of interaction surely is incomparable compared to normal times yet it’s not insignificant and this impact on Covid numbers is something we as a Chamber have been foreseeing.

It is however important that we make all efforts possible at this crucial juncture to turn the page. Businesses will not sustain a prolonged period that goes beyond March to restart. The country must aggressively work to get numbers down within a short timeframe.

Covid is no longer new, we are no longer in the unknown. Covid has become mostly predictable, even with the new variant, and is has become a science we should have mastered by this time.

2021 still started with much uncertainly and this is not excusable. We cannot remain passive, we must take concrete action and make plans based on this science.

One might think that there isn’t much one can do but in reality there is much that can be done at national level to give predictability. Many sectors are awaiting from the authorities for their go ahead to start planning a 2021. This is not only true for bars and clubs, which have been closed for months now. This is also true for big sectors of our economy that need to have visibility to plan ahead.

The events sector is one such example. This sector is a major motor of our economy, on which many businesses depend to increase their economic activity – entertainers and performers, clothing and footwear, jewelers and wearing apparel, hair and beauty, transport, organisers and suppliers, etc…

The Maltese economy cannot to have another year like 2020 and if we do not want to have another year like it, clear signals of confidence must be given to businesses.

As the days roll on March continues to approach and little is known of what to expect after, what is for sure is that the expectations are big and these need to be addressed.

A message from Ms Abigail Mamo – CEO Malta Chamber of SMEs

The extent of losses incurred will be calculated by comparing companies’ present VAT returns to those of 2019.

A new version of the wage subsidy scheme based on the level of losses suffered by businesses as a result of COVID-19 was announced on Tuesday.

Minister for Energy and Enterprise Miriam Dalli and Malta Enterprise Chief  Executive Officer Kurt Farrugia told a press conference that assistance would be based on VAT returns as compared to the same period in 2019.

Companies that incurred a loss of less than 9% will no longer be eligible for the wage supplement scheme.

Minister Miriam Dalli said a new feature of the 2021 scheme is that it will also cover worker substitution, in that, for example, if a chef resigned from a restaurant and another was engaged, that restaurant will get the wage supplement for the new chef, back-dated to October. In such cases, the number of workers cannot exceed what was on the company books last May.  This initiative was proposed by the Malta Chamber of SMEs following several comments by members.

The purpose of the scheme, she stressed, was not just to save jobs and help business survive, but to also encourage growth.

“With the onset of vaccines, this is the right time to work on a strategy which not only helps those in need, but also ensures that businesses not only survive, but grow.”

The wage supplement will mean a government outlay of €40m per month, and Dalli pointed out that businesses also benefit from other schemes on their utility tariffs and rents.

Malta Chamber of SMEs President Paul Abela was present during the press conference.

After months of negotiations, the UK and European Union finally agreed a deal that will define their future relationship.

The Ambassadors of the EU Member States have unanimously approved the EU-UK trade cooperation agreement which is set to start at the beginning of the new year.

Nigel Mifsud spoke to the United Kingdom’s High Commissioner for Malta, Cathy Ward, about the effects of the agreement on the Maltese and the British living here.

On the threshold of a new era in the relationship between Malta and the United Kingdom following the agreement reached with the European Union on Christmas Eve, the United Kingdom High Commissioner for Malta, Cathy Ward, said that most things will remain unchanged in the New Year.

She said that according to information obtained from Identity Malta, there are 13,500 citizens from the United Kingdom residing in Malta permanently. She added that they must register by the end of next June so as not to lose their residence rights. So far, half of the British living in Malta have registered.

Regarding travel, Cathy Ward said that upon arrival at a British airport, Maltese will continue to go to an area for European citizens where they will have to wait in a special queue to have their passport stamped.

”After the 1st of January – you will be in another queue when you get to a British airport and get passport stamped but still can travel for up to 6 months visa free, so very little changes. In terms of travel insurance government advises to all travellers generally to have comprehensive travel insurance.”

On the other hand, UK citizens coming to Malta must go to an area for people from third countries, and can travel without a visa if they are not going to stay for more than 3 months.

On roaming charges, the High Commissioner said that while this was not part of the deal, telecom operators said they would leave everything as it was. However she said everyone should check with the respective operators before traveling to and from the UK. Regarding Erasmus, Ward said that although this was not discussed in the new agreement, the UK Government was working to launch an educational program next year that will also benefit Maltese students.

As far as health is concerned, she said that a bilateral agreement will remain in force between the Maltese Government and that of the United Kingdom, which provides for the medical treatment of 180 Maltese per year, in British hospitals, in cases of serious illness. Asked about the European card to be used in case of emergency medical help, the Commissioner said that it could continue to be used.

”EHIC- if you currently have one, it will continue to be valid until it expires. there will be a new one once it expires.. a new card that does exactly the same thing.”

Last year, Malta imported around £ 1.8 billion in goods and services from the UK. The High Commissioner said she hoped the amounts would not change, as she said the agreement to avoid tariffs and quotas between her country and the European Union should lead to no extra costs. However, she said that this depends on the tax rates imposed by European countries, including Malta.

”If you are buying your car from the UK, there will be no change to export cost of the car…but there is the question of the VAT that the Maltese government will apply on that car.”

She said she expects that at first, one has to get used to the new paperwork that will come into play, and businesses have to prepare for it.

The way forward is for the UK Parliament to approve the deal with the European Union on Wednesday, with the Opposition leader already announcing that they will be supporting the deal. The European Parliament is expected to approve the agreement in January.

Source: TVM.com.mt