Malta : safeguarding welfare through flexicurity

Abstract

The onset of the global crisis in 2007 was met with some trepidation in Malta, in view of the relatively low labour supply and the implicit threat to jobs, especially in the industrial and financial services sectors. The relatively high number of one-earner households, due to low female employment, made a possible rise in unemployment an especial concern for the social security system and tax revenue, apart from the households themselves. This did not happen. Rapid action was taken at the onset of the global crisis to contain any negative impact on unemployment, with the result that major job losses were averted and employment has actually risen in recent years. This rise is largely due to a notable and continuing move away from the traditional male-breadwinner model, with more women across educational groups entering formal employment. However, this has led to a significant decrease in the amount of informal care traditionally provided by women for their parents, children and grandchildren, and will continue to be an issue as the need for long-term care of an ageing population is set to increase.