Wednesday, June 25
Wages vis-a-vis Productivity
Yesterday on Bondiplus, Joseph Farrugia of the Malta Employers Association said you cannot expect wages to rise just because the prices of food and oil are rising at rates never seen before; employees have to be paid solely according to their productivity.
He's absolutely right of course.
However, employees are NOT paid according to their productivity in Malta. As a result every minute increase in prices is felt twofold or threefold by the employee. Therefore, whereas employers obviously cannot be blamed for the rising costs, they have to shoulder some of the blame for Malta having such a high cost of living, which makes it so goddamn hard for employees to make ends meet now, let alone next year when oil will cost $250 per barrel.
Read also Chaaarge!