Nurses’ union boss hits out at Brussels’ proposal to raise retirement age

Paul Pace rails against EU technocrats who retire young thanks to hefty salaries, and calls for taxation of luxury goods.

Nurses' union president Paul Pace says Brussels should make member states raise taxes from luxury goods to sustain pensions.
Nurses' union president Paul Pace says Brussels should make member states raise taxes from luxury goods to sustain pensions.

Nurses' union MUMN has called on the government to oppose any recommendation from the European Commission to increase the retirement age, and suggested the taxing of swimming pools and luxury cars to make pensions sustainable.

In his salvo against the "hefty salaries" of Brussels' technocrats, MUMN president Paul Pace said his union would not accept any increase in retirement age for nurses. "Pensions' sustainability can come from the rich, and not always from the workers' class," Pace said, who insisting on higher taxation of luxury goods.

Brussels yesterday urged the government to forge ahead on pensions reform with the introduction of a second pillar pension and to increase the retirement age.

"This clearly shows the bureaucrats in Brussels want to add more hardship to Maltese workers... we cannot fathom how nurses could work over the age of 65," Paul Pace said.

"A day's work for nurses and midwives is arduous on the body and mind. Lifting and handling patients, long shifts which include night duty are challenging for any young person," Pace said.

The union boss also said the EC should focus its efforts on bringing government to rein in spending, or tax luxury goods. "Brussels should be recommending the government to curtail its reckless spending, curb tax evasion, or tax luxury goods such as swimming pools and expensive cars and yachts to make pensions more sustainable."

In its recommendations to Malta for its national reform programme, the EC highlighted pensions as a key area of concern - just a day after the government issued a new communication on the forthcoming pension reform.

"A very low activity rate of older workers, including of older women; a relatively low exit age; and recourse to early retirement schemes add to the scope of the challenge," the Commission said, noting that the government has yet to announce its position on the introduction of new pillars to the pension system.

"Moreover, the National Reform Programme does not propose a comprehensive active-ageing strategy. While noting the measures introduced by Malta to combat undeclared work, its incidence also risks exerting undue pressure on the sustainability of public finances."

Brussels said Malta had to "take action without further delay" to increase the retirement age, by increasing the participation of older workers in the labour force and discourage the use of early retirement schemes; and also encourage private pension savings.