‘Minimum wage should be equal to living wage’ - Moviment Graffitti

After government urged the EU to rethink its directive on minimum wages, NGO Moviment Graffitti insists that the proposal should be welcomed by government, not opposed

31 January 2021, 2:47pm
by Staff Reporter

2 min read

The Maltese government's reaction to a proposed EU directive on minimum wages has been met with concern from Moviment Graffitti, who are calling for a raise in the minimum wage.

Moviment Graffitti said that it is strongly in favour of the EU directive, which would set a framework for minimum wages across all EU member states. However, Malta and eight other member states are pushing for the directive to be turned into a recommendation.

"The Maltese Government's reaction urging for this directive to become only a recommendation is alarming. The European Commission’s impact assessment on the adequacy of minimum wages has shown that Malta’s minimum wage is strikingly low. This notwithstanding the fact that Malta has repeatedly boasted of its impressive economic growth," Graffitti said.

The directive defines an adequate minimum wage as being at least 50% of the country's average wage and 60% of the country's median wage.

Photo: Moviment Graffitti

"In Malta, these figures stand at only 38% and 44% respectively. Compared to the rest of Europe, Malta has the 4th worst rating when it comes to the minimum wage as a percentage of its median wage."

The NGO insists that the minimum wage in Malta should, at least, raise the minimum wage to the adequacy level set out in the directive. However it still insisted that the directive itself could go further than this by ensuring all minimum wages are equal to a living wage within each member state.

"The minimum wage should be equal to the living wage, as every worker deserves to live a decent life no matter the work they do," it stated.

In a recent interview on Reno Bugeja Jistaqsi, Finance Minister Clyde Caruana acknowledged that wages need to increase locally, but admitted that he is less inclined to commit himself to a living wage in order to avoid burdening local industry with increased labour costs.