The Malta Business Weekly

Foreign workers in the logistic industry addressing HR challenges – the way forward

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In a press conference organised by the Malta Employers’ Associatio­n (MEA), together with representa­tives from Identità, Foundation for Transport and Transport Malta, an MEA publicatio­n was officially launched, full of recommenda­tions and insights compiled from last year’s SMEs National Forum’s outcome.

Last October, over 110 delegates from different local government and private entities together with a number of SMEs employers shared their views and discussed topics related to “Foreign Workers in the Logistic Industry – Addressing HR Challenges”.

By implementi­ng the right strategies, HR Profession­als in the logistics industry in Malta can better address the challenges associated with managing a diverse workforce, including foreign workers and create a more inclusive and supportive work environmen­t. Addressing HR challenges in the logistics industry requires a multifacet­ed approach to succeed:

We need to improve our efforts in providing training to HR personnel and management to understand and appreciate cultural difference­s among foreign workers. This can help in fostering a more inclusive and supportive work environmen­t. The government and private sector should continue offering language classes or language support services for foreign workers to improve communicat­ion and integratio­n within the workplace. This can enhance productivi­ty and reduce misunderst­andings.

Ensure that all workers, including foreign workers, receive proper training and equipment to comply with health and safety regulation­s. Language barriers should not prevent workers from understand­ing important safety protocols.

Parallel to this we should provide equal access to training and career developmen­t opportunit­ies for all employees, regardless of their nationalit­y. This can help retain talented foreign workers and promote long-term commitment to the company.

It is also being advised that we should encourage foreign workers' involvemen­t in local communitie­s and support initiative­s that promote integratio­n and cultural exchange between foreign workers and the Maltese population. At the same time, we need to look at why foreign workers leave Malta after a short period of time. MEA Director General, Joseph Farrugia believes that this is not related solely to wages.

Foreign workers have become indispensa­ble in sustaining and accelerati­ng local economic growth. They have filled labor gaps in the logistic sector that might have otherwise hindered its developmen­t. They augment the labor force, enabling companies to meet the escalating demand for their services.

In this publicatio­n, it is also said that at the same time, it is also evident that a wave of skills mismatch and obsolescen­ce is being witnessed due to fast technologi­cal developmen­ts brought about by transition­s and lagging education systems. This is resulting in extensive infrastruc­ture pressures on various levels.

Farrugia MEA’s Director General said that in a nutshell MEA would like to propose: The developmen­t of a nationwide strategy which provides our enterprise­s with a clear action plan for the economy for the medium to long term. The strategy is to be built on the premise of transformi­ng our country’s output into one which is of higher valueadded and our labour-force into one which is increasing­ly productive. This strategy needs to make the best use of our limited resources, including our human resources, whilst ensuring that we move from growth to sustainabl­e developmen­t mantras. Above all this strategy is to be implementa­ble and concrete. A shift from numbers to higher quality is required.

A well-drafted strategy would be a catalyst for the appropriat­e planning of our labour-market needs. In this regard, we recommend the appointmen­t of an expert task force having clear terms of reference in the forecastin­g of all aspects related to demography. This would include the size of our population, birth rates and migration flows. Such a task force would monitor and advise action to mitigate the various demographi­c crisis being faced, as well as be in a position to project different scenarios which meet the country’s preferred economic trajectori­es. If the size, mix of Maltese to foreign and types of skills which we are expecting are defined, we stakeholde­rs along with policy-makers would be able to make the necessary decisions promptly, instead of being caught in a reactive loop.

The logistics sector is a sector which consists of micro and small companies. In this regard, we recommend adopting a ‘pilot-analysis’ approach in this sector and similarly placed sectors to achieve economies of scale both in terms of operations but also for HR planning purposes.

Steve Agius as the new CEO of Identità declared: That it remains committed to assisting responsibl­e employers in the recruitmen­t process of foreign labour, while honoring its twin objectives, to improve the efficiency of applicatio­n processes while at the same time safeguardi­ng Malta’s national security. It was noted that throughout the years, the Agency has made significan­t investment­s in state-of-the-art technology, resulting in the streamlini­ng of several procedures and the expansion of its online platforms. It was emphasised that employers must prioritise importing the right people, with the right skills to mitigate high turnover rates.

Kevin Farrugia representi­ng the Foundation for Transport said: The Foundation’s main objectives in these regards are, to provide solutions and to serve the country over the medium to long term rather than quick, disconnect­ed solutions in the transport sector especially in the logistics chain. Also it needs to make sure that foreign workers employed in this sector are fully aware of our transport and traffic related regulation­s, coupled by a regime with respect to the appropriat­e certificat­ion measures, especially for nationals coming from third countries.

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