08 -14 November 2000

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Reforming social services

Anaesthetising the madding crowd

The sheer size of the social service bill is something that cannot be underestimated. For years we have seen the welfare gap grow and grow.

Which is hardly surprising considering that the national insurance contributions are a meagre 10%.

What is even worse is that the individuals who are supposed to be the watchdogs of the future have anaesthetised their followers to believe that on no account should they allow for an increase in their national insurance contributions.

Bolla balla (the national insurance contribution is a bomb) was one of the GWU’s cries of the past that could very well be the one of the future.

Here we are listening to the union comment negatively on the level of contributions but not come out with clear answers how social services can be sustained.

The worst offenders in this case are the unions, most especially the General Workers’ Union who have ostrich- like argued for a status quo.

Knowing all too well, that the time will come when there will be no money to pay for an ageing population.

There are a number of issues that have to be tackled urgently and this will require some gall and courage.

The first is the decision to extend the pensionable age to allow for more expertise and a longer working age span – most especially for capable would be pensioners in the private sector.

The second point is a radical change in the national insurance contributions that breaks down the contributions in segments according to the social service returns one gets throughout one’s life.

And the third is the introduction of private pension schemes offered by employers and private institutions.

The hurdles facing such changes are gargantuan to say the least, the first problem is cultural, the second is political and the third is union. The second and third merge together to become one.

The first issue is definitely surmountable, the other two are very problematic, namely because the present mood in the Labour party is to oppose everything even if this entails reneging on one’s principles.

And last but not least, the union, that is the GWU has proven that it does not have a mind of its own and prefers to uphold its puppet role.

With an ageing population and an ever increasing life expectancy and a re-dimension of the costs involved in the health services.

This fact is not denied by any of the players involved in the complex scenario involving social services.

To add insult to injury it is common knowledge that the social services are regularly abused by a rather significant number that numbers 14,000. This refers to abuses in children allowances and other state subsidies.

And this is only the tip of the iceberg!




The Business Times, Network House, Vjal ir-Rihan San Gwann SGN 07
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