Malta is an archipelago that comprises five islands: Malta, Gozo, Comino, Kemmunett, and Filfla. Only the first three islands are inhabited. The capital city, Valletta, is a UNESCO World Heritage City. Malta has limited natural resources and imports all of its energy and most of its food and fresh water. The economy is driven by tourism, trade, and manufacturing.
*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Malta.
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Capital :
Valletta
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Currency :
Euro (€, EUR)
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Languages spoken :
Maltese, English
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Population :
516,869 (2021 est.)
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Minimum wage 2023 :
€213.54 (weekly)
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Cost of Living index :
$$$$ (34 of 139 nations)
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Payroll Frequency :
Monthly
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VAT - standard rate :
19%
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GDP - real growth rate :
9.4% (2021 est.)
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The national holidays mentioned below are valid for the year 2024.
*The National Holidays in Malta are Public Holidays during which the National Flag of Malta is flown on top of public buildings.
The approximate time for sharing the contract with an employee in Malta is 4 business days assuming no special requests or changes to our standard employment contract. Any such requests or changes would need to undergo internal and external review, directly leading to a time delay.
NOTE: This number is subject to change and is only an estimation of the Contract Sharing Time. The estimated Contract Sharing Time begins from the moment that WorkMotion has received all required information from both the client and the employee.
The normal hours of work are 40 hours a week (excluding overtime) over a period of 17 weeks.
The average weekly working time, including overtime, does not exceed an average of 48 hours over the applicable reference period, unless the employee concerned has given consent in writing to work more than a weekly average of 48 hours.
Most sectors have their minimum overtime rates regulated by the respective Wage Regulation Order that regulates their activity of work.
The first six months of permanent employment constitute probation. In the case of fixed-term employment relationships, the length of such a probationary period should be proportionate to the expected duration of the contract and the nature of the work as follows:
For a fixed term contract of between six months and 15 months duration, the probationary period should be calculated on the basis of two months probationary period per six months contract duration; and if, in terms of the preceding provision, the fixed term contract is shorter than six months, the probationary period should be one-third of the duration of the same fixed term contract;
For a fixed term contract exceeding 15 months duration, the probationary period should be of six months.
For both indefinite and definite contracts, there is no explicit legal requirement for the notice to be in writing, however, through custom and practice, notices are presented in writing. The period of notice begins to run from the working day following the day on which notice is given.
| Service Period | Notice Period |
| 1-6 months | 1 week |
| 6 months-2 years | 2 weeks |
| 2-4 years | 4 weeks |
| 4-7 years | 8 weeks |
| > 7 years | 8 weeks + an additional 1 week for every subsequent year of service, for a maximum of 12 weeks |
Every worker is entitled to paid annual leave of 192 hours or 24 working days. Employees are also entitled to an additional day of annual leave in respect of public or national holidays falling on a Saturday, Sunday, or weekly day of rest.
Sick leave entitlement varies according to industry sector and the relevant Wage Regulation Order (WRO). Where the sector is not covered by a WRO, an employee is entitled to at least two working weeks of sick leave per calendar year, calculated in hours. Part-time employees shall have a pro-rata entitlement to sick leave in hours.
Both male and female employees are entitled to four months unpaid parental leave in cases of childbirth, adoption, fostering, or legal custody until the child reaches eight years old. The employee should be in the employment of the same employer for a continuous period of at least 12 months to qualify.
A pregnant employee is entitled to 18 weeks of maternity leave taken as follows:
An employee on maternity leave is entitled to the first 14 weeks of maternity leave with full wages; the employee is paid by the Maternity Leave Benefit Fund for the remaining four weeks.
Birth leave is additional leave granted to fathers on the occasion of the birth of their child.
If the conditions of work of an employee are regulated by a Wage Regulation Order, the worker is allowed birth leave on full pay on the occasion of the birth of a child to his wife. The entitlement may vary depending on the Wage Regulation Order. Where the type of activity of work is not regulated by any WRO, the employee is entitled to one working day birth leave.
Employees are entitled to additional time off for the reasons presented in the table, fully paid by the employer. Documentary proof is needed.
| Reason for Leave | Duration |
| Bereavement | 1 day |
| Birth | 1 day |
| Marriage | 2 days |
| Injury | Maximum of 1 year |
| Jury service | As long as necessary |
| IVF-The hours are shared with 60% going to receiving parent and 40% going to the other prospective parent. | 100 hours for up to 3 IVF processes- |
| Quarantine | Any period of quarantine |
Malta’s social security system covers:
The amount of the employer contribution depends on the employee category from A to F. Employers are required to pay 10% of the individual employee’s salary to social security contributions at a weekly fixed rate of €51.60, provided the employee was born on or after January 1, 1962.
An overview of the employer’s mandatory contribution towards social security is presented in the following table.
| Basic Weekly Wage1 € Weekly Rate Payable2 € | ||||||
| Category | From | To | by Employee | by Employer | Total | Maternity |
| A | 0.10 | 192.73 | 6.62 | 6.62 | 13.24 | 0.20 |
| B | 0.10 | 192.73 | 19.27* | 19.27 | 38.54 | 0.58 |
| *Or if the employee chooses, 10% of the basic weekly wage. This rate of contribution entitles the contributor to pro-rata contributory benefits. | ||||||
| Persons Born Up to 31st December 1961 | ||||||
| C | 192.74 | 392.76 | 10% | 10% | n/a | 0.30% |
| D | 392.77 | n/a | 39.28 | 39.28 | 78.56 | 1.18 |
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| Persons Born From 1st January 1962 Onwards | ||||||
| C | 192.74 | 515.98 | 10% | 10% | n/a | 0.30% |
| D | 515.99 | n/a | 51.60 | 51.60 | 103.20 | 1.55 |
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| E | n/a | n/a | 10% Max.4.38 | 10% Max.4.38 | n/a | 0.3% Max.0.13 |
| F | n/a | n/a | 10% Max.7.94 | 10% Max.7.94 | n/a | 0.3% Max.0.24 |
| 1 Basic Weekly Wage or the weekly equivalent of the basic monthly salary
2 For percentage rates, the weekly rate payable is calculated to the nearest cent |
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Healthcare in Malta is divided into public and private sectors. Malta provides free health services to all its citizens and European Union residents with a European Health Insurance Card through its public sectors. The public healthcare system is funded through general taxation, and is extensive covering many services including specialist treatment, inpatient care, prescriptions, antenatal and postnatal care.
If an employee has paid at least one contribution and sustains an injury or medical condition related to work, they are entitled to claim injury benefits for up to one year, starting from the fourth day after injury. The first three days are paid by the employer.
Unemployment benefits, both under the contributory schemes and non-contributory schemes, are paid to each person who loses their job. To qualify, the applicant must be registered as a full-time job-seeker with the Public Employment Services, and available for work.
On attaining the statutory retirement age, employees may be granted a Retirement Pension whilst retaining their gainful occupation without any reduction in their pension entitlement.
The maximum average of contributions paid or credited for a person to qualify for a full pension is 50 weeks per year, while the average minimum is 15 weeks per year for those entitled to a Two-Thirds Pension based on the pensionable income according to the basic salary they earned before reaching the pensionable age or before retiring from the job.
Widow/er’s Pension
The Widow/er’s Pension may be awarded to a person following the death of the spouse or partner, subject to the relative social security contribution conditions under Malta’s Social Security Act.
The information contained in this Country Guide is provided for informational purposes only and should not be construed as legal advice on any subject matter. The contents of this Country Guide contain general information and may not reflect current legal developments or address your situation. You should not act or refrain from acting on the basis of any content included in this Country Guide without seeking the advice or representation of a licensed attorney. WorkMotion Software GmbH disclaims all liability for actions you take or fail to take based on any content included in this Country Guide.
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