MALTA COUNCIL FOR ECONOMIC 
AND SOCIAL DEVELOPMENT g CAP. 431. 1
CHAPTER 431
MALTA COUNCIL FOR ECONOMIC AND SOCIAL 
DEVELOPMENT ACT
AN ACT to provide for the establishment of the Malta Council for
Economic and Social Development and for other matters related thereto.
1st August, 2001
ACT XV of 2001.
Short title.
Economic and Social Development Act.
Interpretation.
"civil society" includes all those organizations of persons
established to seek the common good and whose main aims are
neither to generate profits nor to seek executive power;
''Committee'' means the Civil Society Committee established by
virtue of article 6;
"Council" means the Malta Council for Economic and Social
Development established by virtue of article 3;
"Malta" has the same meaning as is assigned to it by article 124
of the Constitution of Malta;
''social partners'' means representatives of the Government,
representatives of workers and representatives of employers.
Establishment of 
the Council.
3. The Malta Council for Economic and Social Development
is hereby established as an advisory body in order to provide a
forum for consultation and social dialogue between social partners
and, where necessary, with organisations of civil society, and is
entrusted with the task of advising Government on issues relating
to the sustainable economic and social development of Malta.
Composition of the 
Council.
4. (1) The Council shall have a distinct legal personality,
shall be appointed by the Prime Minister and shall be composed of
the following members:
( a ) a chairperson who shall be appointed after
consultation with the organisations referred to in
paragraph ( c );
( b ) a deputy chairperson who shall be the appointed by the
Prime Minister from amongst members of the public
service;
( c ) nine persons nominated by representative national
employers’ and workers’ organisations constituted
bodies, which organisations and constituted bodies
shall be listed in a Notice published in the Gazette, and
which Notice shall also indicate the number of
members representing each organisation and
constituted body;
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( d ) four representatives of the Government, representing
the Ministries responsible for Finance, Economic
Services, Social Policy and European Union Affairs;
and
( e ) the Governor of the Central Bank of Malta,  ex officio .
(2) ( a ) For each of the members nominated in accordance with
subarticle (1)( c ) and ( e ), there shall be an equal
number of substitute members representing those same
sectors or organizations and who shall have the right to
attend meetings in the absence of the nominated
members.
( b )  For each of the members nominated in accordance
with subarticle (1)( d ), there shall be an equal number
of substitute members, sohowever that the said
substitute members may represent other Ministries.
(3) The term of office of the members shall be of one year.
(4) Subject to the provisions of this Act and of any regulations
made thereunder, the Council may appoint sub-committees and, in
general, shall regulate its own proceedings.
(5) The Council may act notwithstanding any vacancy amongst
its members, provided there is a  quorum  present at the meeting.
(6) The Prime Minister may, after consultation with the
Council, make regulations regarding the procedures to be adopted
by the Council, including the  quorum  for meetings, the filling of
casual vacancies, loss of mandate and substitution of members.
Functions of the 
Council.
5. (1) The Council shall be a consultative and advisory body
with the function to advise Government, through the Prime
Minister, on issues relating to sustainable national economic and
social development and shall be competent to - 
( a ) promote social dialogue and consensus amongst all the
social partners on issues relating to sustainable
economic and social development;
( b ) propose desirable and feasible goals and targets to give
effect to the strategic economic, financial and social
development objectives of the Government and to
recommend measures which would further their
attainment;
( c ) make recommendations to Government in respect of
changes in the direction or terms of economic and
social policy that it may deem appropriate;
( d ) make recommendations to Government regarding the
elaboration of national plans for economic and social
development and the implementation thereof;
( e ) submit opinions and recommendations on matters
referred to it by Government or on matters that the
Council deems as having national economic and, or,
social relevance; and
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( f ) upon a request by Government, examine, assess and
make recommendations regarding draft legislation
related to the objectives of the Council.
(2) In discharging its functions, the Council shall reconcile
individual sectoral interests in order to achieve overriding national
interests, and shall have regard,  inter alia , to -
( a ) the attainment of the highest possible levels of
sustainable employment for all at adequate rewards,
with due consideration to productivity levels;
( b ) the removal of structural constraints which impede the
achievement of the overall economic and social
national objectives;
( c ) the achievement of the highest sustainable rate of
economic growth;
( d ) the fair and equitable distribution of the income and
wealth of the nation;
( e ) reasonable price stability and long-term equilibrium in
the balance of payments; and
( f ) the social implications of economic growth, including
the need to achieve social inclusion in all its
perspectives particularly equality between women and
men in the mainstream of development, and the
protection of the environment.
(3) The Council shall act on specific requests submitted to it
by Government or on its own initiative.
Civil Society 
Committee.
6. (1) The Council shall, at its first sitting, proceed to appoint
a standing Civil Society Committee which shall be consulted by the
Council on all those issues which the Council may, in its discretion,
refer to it.
(2) The Committee shall, as much as possible, be
representative of Maltese civil society and for this purpose, the
Council may invite any civil society organization to participate in
the Committee and may vary the composition of the said
Committee as it may deem fit from time to time, sohowever that the
said Committee shall include  ex officio  as its permanent members,
the chairpersons of the following organizations:
( a ) the Local Councils Association;
( b ) the National Youth Council;
( c ) the National Council for the Elderly;
( d ) the Consumers’ Association;
( e ) the National Commission Persons with Disability; and
( f ) the Commission for the Advancement of Women.
(3) The meetings of the Committee shall be chaired by the
Chairperson or, in his absence, by the Deputy Chairperson of the
Council.
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(4) The Committee may act notwithstanding any vacancy
amongst its members, provided there is a  quorum  present at the
meeting.
(5) The Council shall adopt rules of procedure which shall
regulate the proceedings of the Committee and establish the
quorum  at meetings thereof.
Council secretariat. 7. (1) The administrative affairs of the Council shall be
managed by a full-time Executive Secretary who shall hold office
under such terms and conditions as the Council, with the
concurrence of the Prime Minister, may establish. Where the
Executive Secretary is a public officer seconded from the
Government, the officer shall have the right, on the termination of
secondment, to revert to the former post without any loss of rank or
seniority.
(2) The Executive Secretary shall be responsible for the
Council’s technical and secretarial services and shall,  inter alia , be
responsible for -
( a ) the provision of administrative and secretarial services
required by the Council, the Committee or any sub-
committees which the Council may decide to appoint
from time to time;
( b ) ensuring that all information that may be required for
them to effectively carry out their functions is made
available to the Council and the Committee and ensure
that all follow up action is taken in order to implement
decisions or directions taken by the Council and, or,
the Committee;
( c ) providing information and carrying out preparatory
work for the purpose of the Council’s budget
proposals, accounts and activity reports, and
overseeing and assessing execution of these tasks;
( d ) ensuring that office services are provided for the
running of the Council and any of its committees;
( e ) exercising any other responsibility as may be
delegated by the Chairperson on behalf of the Council;
and
( f ) ensuring that the Council and the Committee operate
in strict adherence with Government financial
regulations which shall apply to the Council and to the
Committee.
Information to be 
made available.
8.  The Government shall ensure that the Council will have
reasonable access to available statistical, economic or social data
which may be required for the Council and, or, the Committee to be
able to execute their functions as specified in this Act.
Financing of the 
Council.
9. (1) The Council shall cause to be prepared in every
financial year, and shall not later than six weeks after the end of
such year adopt, estimates of the income and expenditure of the
Council for the next following financial year covering the proposed
activities of the Council during the following financial year:
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Provided that the estimates for the first financial year of
the Council shall be prepared and adopted within such time as the
Prime Minister may, by notice in writing to the Council, specify.
(2) In the preparation of such estimates, the Council shall take
account of any funds and other monies that may be due to be paid
to it out of the Consolidated Fund during the relevant financial
year, whether by virtue of this Act or an appropriation Act or of any
other law.
(3) The estimates shall be made in the form and shall contain
such information and such comparison with previous estimates as
the Minister of Finance may direct.
(4) A copy of the estimates shall, upon their adoption by the
Council, be sent forthwith by the Council to the Prime Minister and
to the Minister of Finance.
(5) The Prime Minister shall, at the earliest opportunity and
not later than six weeks after receiving a copy of the estimates from
the Council, and after consultation with the Minister of Finance,
approve the estimates with or without amendments.
(6) The Prime Minister shall, at the earliest opportunity and
not later than eight weeks after approving the estimates as
mentioned in subarticle (5) or, if at any time during that period, the
House of Representatives is not in session, within eight weeks from
the beginning of the next following session, cause such estimates to
be laid on the Table of the House of Representatives.
Expenditure to be 
according to 
approved 
estimates.
10. (1) No expenditure shall be made or incurred by the
Council, unless provision therefor has been made in the estimates
approved as provided in article 9.
(2) Notwithstanding the provisions of subarticle (1) - 
( a ) until the expiration of six months from the beginning
of a financial year, or until the approval of the
estimates for that year, whichever is the earlier date,
the Council may make or incur expenditure for the
carrying on of its functions under this Act not
exceeding in the aggregate one-half of the amount
approved for the preceding financial year;
( b ) expenditure approved in respect of a head or sub-head
of the estimates may, with the approval of the Prime
Minister, given after consultation with the Minister of
Finance, be made or incurred in respect of another
head or sub-head of the estimates;
( c ) in respect of the first financial year, the Council may
make or incur expenditure not exceeding in the
aggregate such amounts as the Minister of Finance
may, after consultation with the Prime Minister, allow;
( d ) if in respect of any financial year it is found that the
amount approved in the estimates is not sufficient or a
need has arisen for expenditure for a purpose not
provided for in the estimates, the Council may adopt
supplementary estimates for approval by the Prime
Minister, and in any such case the provisions of this
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Act applicable to the estimates shall as near as
practicable apply to the supplementary estimates.
(3) Cheques drawn and withdrawals from any bank account of
the Council shall be signed by such officer of the Council as may
be appointed or designated by the Council for that purpose and
shall be countersigned by the Chairperson, or such other member or
officer of the Council as may be authorised by the Council for that
purpose.
(4) The Council shall make provision with respect to any
matter which is relevant to the proper keeping and control of the
accounts and books, and the control of finance of the Council and
shall also provide for -
( a ) the manner in which, and the officer or officers by
whom, payments are to be authorised or approved;
( b ) the title of any account held with the bank or banks
into which the monies of the Council are to be paid
and the transfer of funds from one account to the other;
and
( c ) the method to be adopted in making payments out of
funds of the Council.
Contract of supply 
of works and 
service.
11. The Council shall not enter into any contract for the supply
of goods or materials or for the execution of work or for the
rendering of services, to or for the benefit of the Council, which is
estimated by the Council to involve an expenditure exceeding three
thousand liri, except after notice of the intention of the Council to
enter into such contract has been published and competitive tenders
have been issued.
Staff 
appointments.
12. (1) The Council may, with the approval of the Prime
Minister, appoint such officers as may, from time to time, be
necessary for the due and efficient discharge of the functions of the
Council. The terms and conditions of employment shall be
established by the Council with the approval of the Prime Minister.
(2) The Prime Minister may, at the request of the Council,
from time to time, direct that any public officer shall be transferred
for duty with the Council in such capacity and with effect from
such date as may be specified in the Prime Minister’s direction:
Provided that the period during which a direction as
aforesaid shall apply to any officer specified therein shall, unless
the officer retires from the public service, or otherwise ceases to
hold office at an earlier date, or unless a different date is specified
in such direction, cease to have effect after one year from the
effective date of such direction unless the direction is revoked
earlier by the Prime Minister.
(3) Where any officer is transferred for duty with the Council
such officer shall, during the time in which such direction has
effect, be under the administrative authority and control of the
Council but shall, for other intents and purposes, remain and be
considered and treated as a public officer.
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(4) Without prejudice to the generality of the foregoing, an
officer transferred for duty as aforesaid -
( a ) shall not during the time in respect of which the officer
is so transferred -
(i) be precluded from applying for a transfer to a
department of the Government in accordance
with the terms and conditions of service attached
to the appointment under the Government held
by the officer at a date on which the officer is so
transferred for duty; or
(ii) be so employed such that the remuneration and
conditions are less favourable than those which
are attached to the appointment under the
Government held by the officer at the date
aforesaid or which would have become attached
to such appointment, during the said period, had
such officer not been transferred for duty with
the Council; and
Cap. 93.
Cap. 58.
( b ) shall be entitled to have the service rendered with the
Council considered as service with the Government for
the purpose of any pension, gratuity, or benefit under
the Pensions Ordinance and under the Widows’ and
Orphans’ Pensions Act and of any other right or
privilege to which the officer would be entitled, and
liable to any liability to which the officer would be
liable, but for the fact of the officer being transferred
for duty with the Council.
(5) Where an application is made as provided in subarticle
(4)( a )(i), the same consideration shall be given thereto as if the
applicant had not been transferred for service with the Council.
Accounts and 
audit.
13. (1) The Council shall cause to be kept proper accounts and
other records in respect of its operations, and shall cause to be
prepared a statement of accounts in respect of each financial year.
(2) The accounts of the Council shall be audited by an auditor
or auditors to be appointed by the Council and approved by the
Prime Minister:
Provided that the Minister of Finance may, after
consultation with the Prime Minister, require the books and
accounts of the Council to be audited or examined by the Auditor
General who shall, for this purpose, have the power to carry out
such physical checking and other verifications as may be deemed
necessary.
(3) After the end of each financial year, and not later than the
date on which the estimates of the Council are forwarded to the
Prime Minister under article 9, the Council shall cause a copy of
the statement of account duly audited to be transmitted to the Prime
Minister and to the Minister of Finance, together with a copy of any
report made by the auditors on that statement or on the accounts of
the Council.
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(4) The Prime Minister shall, at the earliest opportunity, and
not later than eight weeks after receiving a copy of every such
statement and report, or if at any time during that period the House
of Representatives is not in session, within eight weeks from the
beginning of the next following session, cause a copy of every such
statement and report to be laid on the Table of the House of
Representatives.
(5) The financial year of the Council shall be twelve months
ending on the 30th day of September, provided that the first
financial year of the Council shall commence on the date of the
coming into force of this Act and shall end on the 30 th  day of
September of the following year.
Annual report. 14. (1) The Council sh all, not later than six weeks after the
end of each financial year, make and transmit to the Prime
Minister, to the Minister responsible for Finance, to  the Minister
responsible for Economic Services, and to the Minister responsible
for Social Policy,  an annual report on its activities during that year. 
(2) Each annual report shall include a general report of
developments during the period to which it relates in respect of
matters falling within the scope of the mandate of the Council.
(3) The Prime Minister shall, at the earliest opportunity, and
not later than eight weeks after receiving a copy of every such
report, or if at any time during that period the House of
Representatives is not in session, within eight weeks from the
beginning of the next following session, cause a copy of every such
report to be laid on the Table of the House of Representatives.
Power to make 
regulations.
15. The Prime Minister may make regulations generally for
giving effect to the provisions of this Act, and for the better
carrying out of any of the provisions of this Act.
