The electronic Government programme has made possible remote service delivery of as many public
services as possible. In addition to remote service delivery via the internet, other modes of remote service
delivery are used, such as local council offices and mobile phone messaging.
A Customer Care System was introduced in November 2002 and enabled members of the public to
submit complaints and requests to Government departments via the internet. Requests were tracked and
forwarded to the relevant ministry, and was dealt with by the customer care units in the ministries.
Restructuring and consolidation of public entities
Government’s policy is that of focusing its role in the economy on the regulatory aspect, facilitating
rather than participating as an operator in economic activities. Thus, public sector reform is also directed
to the restructuring of public sector entities that have a strategic role to reflect their core business, with
functions identified as non-core transferred to the private sector. As a result of these measures, the
efficiency of public entities is improved and reliance on Government assistance decreases. A case in
point is the restructuring of the shipyard, as a result of which subsidies are to be phased out by the end of
- Consequently, expenditure previously directed towards consumption and subsidies is redirected
towards growth-enhancing measures.
Concurrently, Government began a process of consolidation of its entities in order to minimise
duplication and establish greater synergies, thereby reducing administrative costs. Cases in point include
the merger of the Malta Development Corporation, the Malta External Trade Corporation, and the
Institute for the Promotion of Small Enterprise into Malta Enterprise Corporation; the Central
Information Management Unit which was integrated with the Malta Information Technology and
Training Services Ltd.; whilst the Malta Centre for Restoration was merged with Heritage Malta.
Moreover, Government has embarked on an initiative to review and redesign work practices, thereby
reassigning resources as appropriate. Such task has already been completed successfully at the Water
Services Corporation and the Malta Tourism Authority.
2.1.2. Public sector employment
Measures were implemented by Government to contain outlays on compensation for employees. In
particular, Government’s policy is to restrict recruitment in non-essential categories in the public sector.
Hiring in the public sector, both new and replacements, requires vetting by an ad hoc committee co-
chaired by the Permanent Secretaries within the Office of the Prime Minister and the Ministry of
Finance, duly assisted by the Management and Personnel Office within the Office of the Prime Minister,
the Budget Affairs Division and the Financial Management Monitoring Unit within the Ministy of
Finance, and is being done on a strictly need basis. The development of online service by the public
sector is also contributing to contain recruitment requirements in front-office operations.
Table 1 portrays the trend of public sector employment as from 1999. Figures indicate both a reduction in
the absolute number of employees in the public sector, as well as a reduction in the ratio of public sector
employees to the gainfully employed population, reflecting both the measures aimed to contain
employment as well as privatisation of public sector entities.