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Former Air Malta Chairman Louis Grech hopes the European Parliament will be the ideal platform to put his experience to good use Louis Grech made a name for himself at the helm of the national airline but that is only one aspect of this man’s portfolio, who decided to enter the political fray last November and much to the surprise of many managed to surpass the 70 per cent threshold imposed by the Labour Party general conference with relative ease. “Honestly speaking I had not been campaigning with delegates at the party clubs for long and I was not at the centre of things like other candidates, who boasted deep roots within the party,” Grech says when I ask him whether the approval of his candidature came as a surprise. “When the threshold was set at 70 per cent, which is not an easy target to achieve and I was one of the first to get elected I was positively surprised,” he admits.
Grech’s Labour sympathies are well-known but the decision to contest the European Parliament election on behalf of the MLP meant that he made the transition from the periphery of politics to the centre.
Grech contends his experience in running large companies has honed his negotiating skills on a variety of issues. He was also responsible for attracting international investment to Malta like Accor and Lufthansa Technik.
“I think that the European Parliament could provide the right platform where I can use the expertise accumulated in my career spanning over 30 years. My experience in different areas of the economy, finance and industry especially aviation and tourism can be useful in the parliamentary committees where most of the work takes place.”
Grech admits that the first years of membership are going to be delicate given the adjustment the country has to undergo in various sectors.
“Whether we like it or not membership will affect our lives. What is unknown is the extent to which it will change things. In these circumstances it is normal that fear creeps in. It is also up to the EU to ensure that there are enough funds to make enlargement a success,” Grech insists.
He does describe the EU membership ‘experiment’ as “interesting” although and argues that a quantum leap in the way this country does politics will be required.
Are these the words of someone who is politically naive or the words of someone who has captured the European spirit that seeks consensus rather than confrontation?
“It is something that we might have to do and I hope to transcend our small island mentality. Malta will send five representatives who need to cover at least 17 committees. This is no small task. Let us make it very clear we are not going there as a single Maltese bloc but despite our political differences and opposing stands we will be taking on various issues, there may be instances where we would have to work together if the national interest is at stake.”
Grech is under no illusion. He knows Malta’s five representatives will be functioning within their respective political groupings but insists “it would be a mistake if partisan pique – which we have enough of – prevents the MEP’s from working together.”
I raise the overtime issue; an issue where the Labour Party differs from its socialist allies. The European Socialists are campaigning to have the opt-out clause removed, which currently allows employees to decide for themselves whether to work more than eight hours overtime.
“On most issues we agree with the European Socialists because their beliefs, objectives and priorities constitute the basis of our political vision. One thing that attracts me to the socialist bloc is the balanced mix between the importance given to the economy, the environment and social justice. It is the same balance promoted by the Socialist Group at the Lisbon Strategy Conference in 2000. We have to work for economic growth, for it creates wealth however we should not do this at the expense of jobs, the environment and social rights.
“But on other issues we may have differences such as on overtime. In these instances the Labour MEP’s will not be afraid to differ from the mainstream as long as it serves the island’s interests.”
Grech philosophises about Europe and likens it to a kaleidoscope. “Sometimes the combination forms a multi-coloured pattern that works. A vision that at times becomes a reality. It is a fragile pattern that can be strong at times. But the different colours also make for a diverse Europe and if Malta’s economy cannot sustain a change that is being proposed we should be ready to state our case.”
Discussion veers towards the bleak fiscal outlook and what seems to be a stagnated economy. Grech says the problems the country is encountering are not solely related to membership.
“It may be linked indirectly because for years the Government focused solely on membership at the expense of other essential areas. If we had to look at the issue holistically it is a mix of things. It would be an incorrect analysis to blame the bleak economic situation solely on membership. The Nationalist Government must shoulder the responsibility for our current situation. They have been in power for many years now.”
Grech argues that for years the economies of perception were at play and government ignored the real problems. “Instead of solving the problems government preferred to hype up the feelgood factor. Today the problems need to be recognised but instead a feeling of inertia and impotence has creeped in and this is obscuring and not addressing the issues.”
Grech continues that whatever reforms are contemplated to address the economy’s poor performance and Government’s financial problems, care must be exercised not to create a new form of poverty.
“If one unbalances the economic model by eroding social rights, government runs the risk of creating more disparity. Measures to kick-start the economy must not start by eroding social benefits, health services and education because these will have a direct impact on those who can least shoulder the burden. The country does need to rationalise expenses and encourage economic growth but not at the expense of social justice.”
He then talks of his experience during house visits and points out that people are worried about job insecurity, pensions, health services, the environment and the cost of living.
“Even in the highly affluent Sliema area I have encountered social problems aggravated by the current economic slow down,” he says.
With Government raising the Gozo channel fares, restructuring other government entities, increasing VAT and adopting other cost cutting measures, I ask Grech whether the Labour Party is vindicated on the stand it had taken when in Government it resorted to much-criticised reforms. “Vindication is just a superficial feeling and very short lived. The fact however remains that the problems were there before 1996 and Labour knew they needed solving but the Nationalist party continued denying the existence of the deficit.
“Now it seems that the PN has partially come to terms with reality even if we are a few years too late. Nobody who really cares about his country should feel smug about the situation. On the contrary we should do our best to find solutions. For example it should be our duty to help to attract foreign investment through our contacts and work especially in the European Parliament. However, this does not mean that whenever Labour feels it necessary it will not criticise Government.”
Only last week the Prime Minister criticised Alfred Sant for being too negative and accused him of scaremongering on pension reform and the Social Pact. The gist of the criticism was that scaremongering only helped to aggravate problems and create new ones.
Grech is not amused by the argument and defends Labour’s criticism. “We have to look at reality without exaggerating things and without fomenting fear for fear’s sake. But it is unfair to say that identifying the problems and talking about them creates fear because otherwise we will be constrained to keep our mouths shut and that is not an option. If fear really exists among people, the reasons for that fear have to be accepted, admitted and spelt out. By burying our heads into the sand we will not be acting responsibly and maturely. Definitely it is not the right approach to find solutions.”
Grech is considered to be a moderate and a balanced person, characteristics that could possibly put him in the good books of middle- of-the-road voters.
I ask him whether he feels floating voters are still less inclined to vote Labour because they cannot trust Alfred Sant.
“For the last three months I have been visiting people in their homes and floating voters as well as others are discussing issues. They are more concerned about bread and butter issues that seriously affect their way of living. It is more the case that these floaters don’t trust government to find a solution to their problems.”
What about the sceptical Labourites who may decide to refrain from voting? “The level of Labourites who are sceptical about voting is on a downward trend. There may be some elements who still feel uncomfortable on the issue of Europe but it is definitely diminishing rapidly,” Grech says.
“Accepting EU membership was a logical step otherwise Labour would have been accused of not respecting the will of the people. But like anything else when a decision needs to be taken there are people who prefer one road and others who prefer the alternative.
“The final decision determined by the majority eventually holds sway and that is what happened after last year’s election. But logic also dictates that those critically opposed to the final decision are more often than not less romantic, less idealistic about the new situation and have a more practical approach and therefore possibly more effective.”
Labour candidates have often hit back at Nationalists for being ‘yes men.’ The general impression conveyed is that Labour’s eight are best suited to defend Malta from the EU bogeyman. I ask Grech whether this is the correct attitude to adopt now that Malta is part of the EU’s decision-making process.
“This is not what Labour is saying. Whoever is elected is going there to do a job. We all have to participate, but there will be instances when the country’s interest has to be safeguarded. This applies equally to the larger and smaller countries in varying degrees and depending on the issues at stake.
“Those elected should not go to the European Union with a preset mind that nothing is going to work or that everything is going to work perfectly. Whatever the case we should not make promises that we cannot honour.”
Grech ponders that this election may be his first and last foray into politics. But ever the cautious man he does not close doors. “I don’t know,” he says rather surprised when I pop the question whether he will simply fade away from the political arena if not elected. “I was encouraged to contest and the experience has been a different and more stimulating one from any other job I have performed. I don’t know whether it will be my first and last foray into politics, that’s how it’s looking for now, but things may change.”
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