As we step into 2025, the Maltese workforce faces a critical juncture, shaped by shifting economic priorities, evolving labour policies, and new proposals aimed at safeguarding workers’ rights. The challenges of labour shortages, stagnant wages, and the rising cost of living are set to dominate the agenda, alongside innovative measures aimed at improving working conditions. Among these measures is a potentially transformative proposal: mandatory trade union membership for low-income workers.

Labour Shortages and Economic Realignment

Malta’s reliance on third-country nationals for low-paid jobs remains a contentious issue. While this strategy has fuelled economic growth over the past decade, it has also contributed to a two-tier labour market, where skilled Maltese workers often find better opportunities abroad or in industries that offer more favourable terms. In 2025, addressing these labour shortages without exacerbating inequalities will require bold interventions.

Employers are increasingly under pressure to offer competitive financial packages, better leadership, and clearer career progression paths. The focus must shift toward retaining talent by making employees feel valued, fostering work-life balance, and adopting innovative practices, such as family-friendly measures and support for parents re-entering the workforce.

Mandatory Trade Union Membership: A Game-Changer?

One of the most debated proposals for 2025 is the introduction of mandatory trade union membership for low-income workers. Proponents argue this measure could provide an essential safety net for vulnerable employees, offering them collective bargaining power to secure fair wages, better working conditions, and protection against precarious employment.

Trade unions have historically played a crucial role in safeguarding workers’ rights, and this proposal underscores their relevance in today’s labour market. However, its implementation must be carefully structured to avoid unintended consequences, such as creating additional financial burdens on low-income earners or discouraging employment in certain sectors.

The Digitalization of Labour Advocacy

2025 will also see unions embracing digital tools to adapt to a rapidly changing world. Initiatives like UHM Voice of the Workers’ use of AI in analyzing public sector collective agreements and developing a mobile CRM application demonstrate how technology can modernize union operations. These advancements not only streamline negotiations but also make unions more accessible and responsive to their members.

Additionally, UHM’s proposed contracts portal to combat precarious employment by providing standardized, legally compliant templates could be a significant step forward. By leveraging digital platforms, unions can offer transparency and insight, benefitting both employees and policymakers.

Opportunities for Upskilling

The coming year must also focus on upskilling and training. Malta’s workforce needs to adapt to the demands of an increasingly automated and knowledge-driven economy. Employers and unions alike should prioritize continuous professional development, offering training in areas like digital literacy, leadership, and negotiation skills.

The Road Ahead

As Malta navigates these challenges, collaboration between the government, employers, and unions will be key. Policies aimed at fostering equity, such as mandatory union membership for low-income workers, must be coupled with efforts to improve working conditions across all sectors. Employers, on their part, must recognize that investing in their workforce is not just a cost but a pathway to sustainable growth.

For employees in Malta, 2025 holds both challenges and opportunities. By fostering innovation, embracing digitalization, and strengthening collective representation, we can build a labour market that is fair, inclusive, and resilient—one that works for everyone.