GWU deplores cheap security tenders awarded by Heritage Malta

The union’s newspaper has previously reported that government contracts for security details had been awarded to companies at fees that make it impossible for these companies to even pay their employees the legally-required minimum wage (€3.82).

Tender documents seen by MaltaToday show that contracts from the OPM and the education ministry were awarded to firms providing watchmen and security guards at the Swatar ex-computer premises at the rate of €5.39 an hour, inclusive of VAT. Another tender for security at the Directorate for Educational Services, was awarded for an hourly ate of €5.31 an hour. Heritage Malta too has awarded contracts to similarly low-bidding security companies. One particular security service contract for a site in Birzebbuga was awarded for €6.00 per hour, also inclusive of VAT. Other contracts were awarded for higher hourly rates.

“This is detrimental to the employment market and to the security industry at large and particularly to the detriment of security employees that gave service to Heritage Malta with former security companies, that had serviced Heritage Malta prior to this decision. The decision of Heritage Malta has caused a negative effect on the industry,” the GWU said.

The union has questioned how the salaries of security employees and all terms and conditions could be covered by the new contractors at the national heritage, considering the prices at which the tenders were awarded.

Securitycompanies need to charge at least €7.00 (including VAT) to able to cover expenses, provide mandatory sick-leave, national holidays, and still retain a viable profit margin. The fact that contracts are being awarded to companies charging far below this rate may indicate that employees are being paid less than the legally-required €3.82 hourly minimum wage and are not being granted leave, sick leave, or holidays.

“We challenge security services providers to publicly explain how a security company can sustain properly employed full-time staff on tenders awarded at rates similar to the one at Heritage Malta. The Union is yet to be convinced that this is possible as all experts in the field and all calculations show that a regularly employed person and all additional costs would exceed the tender award prices,” the GWU said.

The union said it deplored any initiatives taken by any security companies to evade employment legislation and that jeopardised the already minimal conditions enjoyed by security employees.