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Maltese Businesses Most in Need of Implemented Skills Cards for Workforce Enhancement
Last changed: August 03 2024 12:38 by PCLMedia
The Malta Skills Card is a certification mandatory for individuals working in Malta's tourism sector to obtain a work permit and visa. This card verifies their skills and competencies in areas such as English language proficiency, customer service, hospitality, and knowledge of Malta as a tourist destination. Starting January 2025, this requirement will be extended to all Maltese and EU nationals working within the tourism industry.
The National Skills Council is conducting a feasibility study to assess the benefits and challenges of introducing skills cards for workers across various industries and business sectors in Malta. This initiative aims to address the growing demands for skilled workers and effective communication in a tight labor market by providing concise information on workers’ individual skills, qualifications, and competencies.
Skills cards can include details on workers’ technical expertise as well as transversal skills—those not specifically tied to a particular job or academic discipline—and other relevant qualifications.
The study will evaluate and rank which Maltese business sectors most need skills cards, and assess the effectiveness of implementing a skills card framework. This will provide decision-makers with data on which sectors will benefit most from the system.
Notably, the construction and hospitality industries will be excluded from this study. The Building and Construction Authority agreed on introducing skills cards in 2016, but implementation has so far focused on a health and safety skills card for construction workers, with plans for a phased extension.
In the hospitality industry, where 48% of the workforce is non-Maltese, a skills ‘pass’ was announced in 2023. The Malta Tourism Authority is set to initiate the rollout of skills cards in 2024, initially targeting non-EU nationals. By 2025, this requirement will extend to local workers and other EU nationals.
Malta has experienced rapid economic growth in recent years, leading to a growing demand for jobs and a historic low in unemployment. However, this growth has revealed gaps in the skills required for various jobs. The COVID-19 pandemic disrupted Malta’s labor market, and when the economy rebounded in 2021, there was a sudden shortage of skilled labor. Workers from outside the EU filled this gap. In 2022, Malta employed 97,000 foreign nationals, 63% of whom were non-EU nationals, making up 36% of the total workforce.
Despite the influx of migrant workers, businesses report that Malta’s new workforce lacks the necessary skills, affecting service quality. "The most critical challenge remains a deficiency in skills, which falls short of the labor force benchmarks required for a highly diversified business environment," stated the National Skills Council.
Malta’s diverse economy, with sectors ranging from fisheries to tourism, demands a wide range of skills that the current labor market struggles to meet. A 2022 HR Pulse Survey indicated that 75% of employers view attracting the right skills as their major concern. Additionally, a National Statistics Office study found that 54.3% of the working population experiences a vertical skills mismatch.
"Given the increasing skill challenges, the strategy of importing skills from EU and third countries, along with upskilling existing human resources, must be more discerning and uncompromising in matching candidate skills with job requirements," the NSC emphasized, noting that this applies to both foreign and indigenous workers.
Benefits of Skills Cards for Maltese Workforce and Industries
The introduction of skills cards in Malta promises to bring a multitude of benefits to both the workforce and industries across the nation. These cards serve as a formal certification of an individual's skills and qualifications, providing a reliable means for employers to verify that workers possess the necessary competencies for their roles. This validation is particularly crucial in sectors where specific skills are paramount for safety and service quality, such as construction and hospitality.
One of the primary advantages of skills cards is the enhanced employability they offer to workers. By holding a skills card, individuals can clearly demonstrate their abilities to potential employers, making them more competitive in the job market. This certification acts as a credible endorsement of their skills, which can significantly boost their chances of securing employment.
Skills cards also play a vital role in standardizing qualifications across various industries. This standardization ensures a consistent level of competency among workers, simplifying the hiring process for employers and creating a clearer understanding of skill levels across the workforce. For businesses, this means they can more easily identify suitable candidates who meet the required standards, leading to improved job performance and higher productivity.
Addressing skill gaps within the workforce is another significant benefit of the skills card initiative. By identifying areas where workers lack specific skills, employers and policymakers can develop targeted training programs to bridge these gaps. This proactive approach helps in creating a more competent and versatile workforce, capable of meeting the evolving demands of the job market.
Moreover, skills cards facilitate worker mobility both within and across industries. They provide a clear and recognized record of a worker’s skills and qualifications, making it easier for individuals to transition between jobs or sectors. This flexibility promotes career growth and adaptability, allowing workers to pursue new opportunities with confidence.
The framework of skills cards also supports lifelong learning and continuous professional development. Workers are encouraged to acquire new skills and update their qualifications to maintain the relevance of their skills cards. This fosters a culture of continuous improvement and adaptability, which is essential in today’s fast-paced and ever-changing economic landscape.
For policymakers and businesses, the data collected through the skills card system offers valuable insights for workforce planning. By analyzing trends and identifying areas of skill shortages, they can make informed decisions about training needs, labor market policies, and economic development strategies. This data-driven approach enhances the overall effectiveness of workforce planning and development initiatives.
Increased trust and transparency between employers and employees is another benefit brought about by skills cards. Employers can trust that the skills listed on the card are accurate and verified, while employees can have confidence that their competencies are formally recognized. This mutual trust enhances the employer-employee relationship and contributes to a more positive and productive work environment.
In sectors with stringent regulatory requirements, skills cards help ensure compliance with industry standards. This reduces the risk of non-compliance penalties and enhances the overall safety and integrity of the industry. For businesses, adhering to regulatory standards is crucial for maintaining their reputation and avoiding legal complications.
Overall, the implementation of skills cards in Malta is poised to create a more skilled, adaptable, and competitive workforce. By providing a reliable means of verifying skills, enhancing employability, standardizing qualifications, addressing skill gaps, facilitating worker mobility, supporting lifelong learning, and improving workforce planning, skills cards offer a comprehensive solution to the challenges faced by Malta’s diverse and growing economy.
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