GRTU accuse government of moving blindly on Price Club

By Daniela Farrugia Randon

"The government is moving blindly and dangerously with regard to the Price Club issue." Vince Farrugia, Secretary General of the GRTU, told The Malta Financial and Business Times yesterday, his main concern was that the GRTU, which for over 50 years had lead the retail community, was not even consulted on the matter.

"If a policy has to be changed all parties concerned have to sit at the same table to discuss and consult each other. Foreign intervention was rated favourable in the tourist industry, in export and even in updating ourselves with new technology but it is definitely not required in the retail or wholesale market. "

Mr Farrugia predicted that the employees left redundant by the closing of the Price Club will be absorbed by the rest of the market as the other retailers regain their momentum.

Mr Farrugia concluded by saying that once, and if, Malta joins the European Union then foreign intervention will be considered more favourably - but for the moment this was not the case.

On 2 August in a letter addressed to Dr Eddie Fenech Adami, the GRTU requested the government not to allow a change in policy. This change would lead to the sale of Price Club to foreigners, an unprecedented policy for the retail industry. The GRTU stressed that the wholesale and retail sectors are not in need of foreign investment.

Mr Farrugia said that the GRTU sees no reason why policy should be changed just because one particular retailing group has led itself into financial difficulties. The union recalled how, during Price Club’s rapid growth, traders suffered unduly because of what the GRTU called ‘unfair and unacceptable practices’.