Remote makes employment in Malta easy. With our localized contracts, easy invoice management, and best-in-class compliance, you can grow your global team with confidence.
Capital city
Valletta
Currency
Euro
(€, EUR)
Languages spoken
English, Maltese
Services available:
Malta is a popular destination for tourists from Europe and the world over. The country’s pristine waters, 15th century architecture, and rich history are all drawcards for a growing number of digital nomads and remote workers.
But for businesses looking to expand, Malta offers an industrialized economy with low corporate taxes, strong GDP growth, a high income, a bilingual population, a strong democracy (18th best), and a growing IT industry.
Capital city
Valletta
Currency
Euro
(€, EUR)
Languages spoken
English, Maltese
Population size
514,564 (est. 2019)
Ease of doing business
Easy
Cost of living index
73.61 (25 of 139 nations)
Payroll frequency
Monthly
VAT - standard rate
18%
GDP - real growth rate
4.9% (2019)
Looking to employ workers in Malta? Companies hiring in Malta must either own a legal entity in the country or work with a global employment solutions provider, usually one that provides employer of record services.
Remote can employ your team in Malta on your behalf through our local legal entity in the country and handle payroll, benefits, taxes, and compliance for your Malta team. You can also pay contractors now in Malta with Remote.
Maltese labor regulations are enshrined in the 1974 Republican Constitution which lays down the basis of workers’ rights and entitlements, as well in several statutes such as:
Employees in Malta enjoy protections against discrimination based on age, religion, sexual orientation, gender expression, and race.
Common questions that could come up during the hiring process include the minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in Malta.
Below are national public holidays applicable for all regions in this country. Remote customers have access to a detailed list of regional public holidays within the Remote platform. Sign up now to access all public holiday information.
Date | Holiday Name |
---|---|
Sunday, January 1, 2023 | New Year’s Day (L-Ewwel tas-Sena) |
Friday, February 10, 2023 | Feast of St Paul’s Shipwreck (Il-Festa tan-Nawfraġju ta’ San Pawl) |
Sunday, March 19, 2023 | Feast of St Joseph (Il-Festa ta’ San Ġużepp) |
Friday, March 31, 2023 | Freedom Day (Jum il-Ħelsien) |
Friday, April 7, 2023 | Good Friday (Il-Ġimgħa l-Kbira) |
Monday, May 1, 2023 | Worker’s Day (Jum il-Ħaddiem) |
Wednesday, June 7, 2023 | Sette Giugno |
Thursday, June 29, 2023 | Feast of St Peter and St Paul (Il-Festa ta’ San Pietru u San Pawl) |
Tuesday, August 15, 2023 | Feast of Assumption (Il-Festa ta’ Santa Marija) |
Friday, September 8, 2023 | Feast of our Lady of Victories (Jum il-Vittorja) |
Thursday, September 21, 2023 | Independence Day (Jum 1-Indipendenza) |
Friday, December 8, 2023 | Feast of Immaculate Conception (Il-Festa tal-Immakulata Kunċizzjoni) |
Wednesday, December 13, 2023 | Republic Day (Jum ir-Repubblika) |
Monday, December 25, 2023 | Christmas Day (Il-Milied) |
Maltese labor mandates a minimum weekly wage for all employees, as well as statutory increases employers must offer as an employee’s tenure increases. Here’s a breakdown of what employers should pay as the bare minimum.
After working a year with the same employer, an employee earning the minimum wage will be entitled to an increase of €3 per week added to the base pay. After the second year, that grows to an increase of €6 per week or a €24 bonus on the employee’s monthly paycheck.
Employees earning more than the minimum wage will get similar increases, starting in the second and third years of their continued employment with the same employer.
For customers of Remote, all employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.
We can help you get a new employee started in Malta fast. The minimum onboarding time we need is only 7 working days.
Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Remote platform. The onboarding timeline is also dependent upon registration with local authorities.
For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.
Please note, payroll cut-off dates can impact the actual first day of employment. Remote has a payroll cut-off date of the 10th of the month unless otherwise specified.
At Remote, we’re obsessed with helping you craft the best possible employee experience for your team. We are leading the way in practicing “fair equity,” which means making sure employees everywhere have access to both the required and supplemental benefits they need to thrive (and that will allow you to attract the best local talent).
Our benefits packages in Malta are tailored to fulfill the local needs of your employees. Typically, our packages contain some or all of the following benefits:
Learn how employment taxes and statutory fees affect your payroll and your employees’ paychecks in Malta.
10% - social security contribution
10% - social security contribution
0% - Up to €12,700
15% - €12,701 - €21,200
25% - €21,201 – €28,700
25% - €28,701 – €60,00
35% - above €60,000
0% - Deductions (EUR) - 0
Taxable income (EUR) 0 - 9,100
15% - Deductions (EUR) - 1,365
Taxable income (EUR) 9,101 - 14,500
25% - Deductions (EUR) - 2,815
Taxable income (EUR) 14,501 - 19,500
25% - Deductions (EUR) - 2,725
Taxable income (EUR) 19,501 - 60,000
35% - Deductions (EUR) - 8,725
Taxable income (EUR) 60,001 and above
0% - Deductions (EUR) - 0
Taxable income (EUR) 0 - 10,500
15% - Deductions (EUR) - 1,575
Taxable income (EUR) 10,501 - 15,800
25% - Deductions (EUR) - 3,155
Taxable income (EUR) 15,801 - 21,200
25% - Deductions (EUR) - 3,050
Taxable income (EUR) 21,201 - 60,000
35% - Deductions (EUR) - 9,050
Taxable income (EUR) 60,001 and above
Employees working a 40-hour week are entitled to 192 working hours (24 working days) off, plus 8 hours for every public holiday that falls on a weekend. The 192-hour base rate equals 24 days, calculated by 8 hours of work daily.
For example, for 2021 employees are guaranteed 216 working hours off plus 24 (8 working hours * 3) hours to cover for 3 public holidays that fall on weekends.
However, if the employee works below an average of eight hours daily, the basic holiday entitlement can be calculated by multiplying the number of working hours the employee puts in daily by 24.
Employees who’ve worked with an employer for less than a year will be entitled to paid vacation that’s equivalent to the length of time they’ve worked.
Employees are entitled to take the 14 national holidays off, with full pay. And should a national holiday fall on a rest day, an employee will be entitled to 8 working hours (i.e., 1 working day) off work as compensation.
The Maltese social security office handles a lot of the financial obligation for employees’ sickness benefits.
As a principle, an employer can either:
In essence, the social security office pays a sickness stipend while the employee pays the difference between that amount and the employee’s normal wages.
Sickness benefit entitlements can be paid for up to 156 days and may be extended to 468 days in 2 years as per the Medical Board’s decision.
Pregnant or postpartum employees are entitled to 14 weeks of leave, with a maternity benefit of €97.84 per week (roughly €391.36 per month) paid by the employer.
After the first 14 weeks, the employee draws €179.33 weekly as a maternity leave benefit from the government over the next 4 weeks.
There are currently no provisions in the Maltese labour law regarding paternity leave. However, many global employers provide their own supplementary benefits including parental leave policies to support partners.
An employee’s contract may be terminated for just cause (negligence, dishonesty, flagrant disobedience, etc.), redundancy, or when an employee reaches retirement age.
Maltese labor law mandates that employees are informed in advance before having their employment so they can make appropriate arrangements to make the transition.
During probation period, an employee may be dismissed with one weeks’ notice if they have completed at least 1 month of employment. Notice periods follow a sliding scale from here:
There is no mandated severance pay specified under Maltese labor law.
Probation can last anywhere from a week to 12 months, provided it’s agreed upon in advance by both parties.