Reforms at the docks

The Dockyard showdown

The showdown had long been coming. With the Dockyard owing government the global sum of Lm190 million and with no sign of recovery year after year, the tax-paying public was fed up with the situation.

Somehow nobody dared tackle the bull by its horns despite some meek attempts here and there over the years in a bid to patch up the situation. But on Thursday 15 February 2001 a frail Eddie Fenech Adami stepped onto a hastily erected podium at Castille and in a nation-wide address broadcast on state television, challenged the Drydocks workers to ‘stand up and be counted’ because ‘enough is enough’. Valentine’s Day was to be no more for the loss making ‘Yard.

Dr Fenech Adami came out of the political obscurity he was slowly fading into. He projected the image of a determined man. He showed his true mettle despite his age and illnesses, which have hampered him during this legislature.

The issue that led to that bold address was the contract won by the Drydocks for the repair of the American Navy Auxiliary ship, La Salle. The ‘Yard had successfully secured the Lm8 million bid to repair the La Salle amid stiff international competition.

But on the morning of 15 February General Workers’ Union shop stewards and around 60 GWU delegates led by the militant Tony Coleiro declared in a press statement that they were not ready to work on the La Salle, or any other warships. The minority group encouraged their colleagues to do the same. The warpath had been worked out days before when the management announced that the Dockyard won the La Salle contract.

The workers contrary to the repair contract cited that the entry of the La Salle in the Dockyard was contrary to the Constitution. But legal advice given by the Attorney General said that the Constitutional clause that talked about military ship repairs had no relevance to the modern-day scenario in view of the demise of the Warsaw Pact.

But the situation was not at all clear. Union and Drydocks workers were not united on the matter because a week before the fateful day, the Professional and Services section of the GWU wrote to the Chairman of the Drydocks, saying that all the employees in its section were willing to do the work.

The hot potato reached its climax with the Prime Minister’s challenge to the Drydocks workers in the evening televised address. Every Drydocks worker was given a free vote to declare his intention whether to work or not on the La Salle project. However, government declared its intention that if the majority of workers did not want to work on the La Salle or not enough workers of the right type were found, then it would freeze the subventions to the ‘Yard.

People rejoiced at the prospect of saving millions of liri from going down the drain but at the same time images of violent yard workers entering Valletta on their trucks were evoked.

The story from then on is history as the La Salle eventually sailed into Malta’s port for repairs without any incidents. The work was completed to perfection by the very able ‘yard workers and the situation at the Drydocks went back to normal.

But ‘normal’ could be a gross misunderstatement because the political implications of the La Salle issue are deep and far-reaching.

The year 2001 will certainly be remembered as the year when political leadership attempted to take over the reigns of a badly debt-ridden Drydocks, which acted as if it was a republic within a republic. Had it not been for the La Salle milestone government would not have mustered the courage to stand up to the trouble makers who in October took the law into their hands and caused havoc at the Bormla yard. In another nation-wide address Dr Fenech Adami put his foot down and announced the setting up of a Drydocks task force to map out the blue print for the restructuring of the yards.

The task force has now laid out a bold plan for the restructuring of the Bormla and Marsa yards. The time for reckoning has come. There is a national consensus that the loss-making yards cannot go on forever depending on government handouts. A heavily taxed public expects government to tackle such issues seriously and swiftly. And ever since La Salle became household vocabulary in Malta the boat has been rocked and should not be allowed to settle until the situation is resolved satisfactorily. The hope is that in 2002 concrete results start to materialise.

But to limit the implications of the La Salle issue to the Drydocks would be short sighted. Government’s resolve to tackle the issue is a message to all public sector employees that government cannot and will not continue subsidising loss-making ventures, which refuse to adapt and rise to the new challenges a globalised world is bringing.

A country still getting to grips with a huge national debt and perennial deficit cannot afford to splash out money on inefficient work practices and irresponsible management. La Salle set the pace. The tax-paying public now expects the momentum to be kept. In line with this thinking a task force was set up later this year. Chaired by social policy minister, Lawrence Gonzi it aims to implement a blue print for structural reform. Uncharacteristically the Labour Party is represented on the force. Only time will tell, whether the task force will attain its goals.

Whether the La Salle lesson has been registered by the public other than the Drydocks workers still has to be seen.