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The minimum wage is EUR 731.32 per month. The minimum wage can vary according to the age of the employee.Employees are entitled to annual cost-of-living adjustments at rates set by the government of Malta. For 2023, these increases were €514.80 for full-time employees and €386.10 for part-time employees.

Please note: each year the Government of Malta calculates a Cost of Living Adjustment. This is part of the annual budget and is based on last year’s inflation measurements. The COLA for 2024 is €12.81 per week.

The individual income tax ranges from 0% to 35%. Income tax is calculated according to progressive rates. Multiple additional factors may impact overall rates such as the household status and the number of children.

Single:

Married:

Parents:

The employer cost is generally estimated at around 10.30% of the employee's salary. The government bonuses (relating to the weekly allowance and statutory bonuses) are aded on top of this employer cost.

• Social Security - 10%*

• Maternity Trust Fund - 0.30%

• Semi-annual government bonus: Weekly allowance, payable at the end of March and September respectively - EUR 121.16

• Semi-annual government bonus: Statutory bonus, payable at the end of June and December respectively - EUR 135.10

*The maximum amounts of social security contributions are calculated based on the employee’s weekly salary and number of Mondays in the month. For employees earning more than EUR 515.99/week, the social security contributions will be up to EUR 206.40 for months with four Mondays and EUR 258 for months with five Mondays.

These costs are provided as estimates and are intended solely for general informational purposes. To fully comprehend all associated costs and fees related to the terms of any employment agreement for this country, please contact our Sales team for a quote.

Standard working hours are 8 hours per day, 40 hours per week. The standard work week is from Monday to Friday. The maximum workweek can be extended up to 48 hours.

Deel employment agreements cover a maximum of 48 working hours, however the standard can be considered 40 hours. Hours worked after that period, will be considered overtime.

Overtime payment is mandatory. Hours outside of standard work hours are considered overtime. Employees can work a maximum of 48 hours of work a week unless written consent is provided by the employee. For additional hours, employees are paid:

• 150% of the hourly rate, for work on Monday-Saturday.
• 200% of the hourly rate, for work on Sundays or Public Holidays.

Pregnant employees who have worked for 6 consecutive months are entitled to 18 weeks of paid leave. 4 weeks must be taken before the child's birth. The employee will receive 100% of the salary during this period, and the employer will pay the first 14 weeks and Social Security will be responsible for the last 4 weeks.

The employee can extend leave additional 4 months at unpaid.

Employees are entitled to 1 day of paid paternity leave. The employee will receive 100% of the salary during this period, and the employer will be responsible for this pay.

The employee can extend leave an additional 4 months at unpaid.

Employees are entitled to paid sick leave for up to 10 days (80 hours). This leave is paid at different rates and by different payers depending upon length:

Terminations must respect complex rules and the rules of an employee’s employment country. The off-boarding is always handled by the Employer with the primary stakeholders. It may include ad-hoc fees as well as required or recommended steps on specific termination cases.

Terminations in Malta can be complex. There is no at-will termination in Malta for employers outside the probation period and termination must be done for just cause.

Compliant terminations include:

• Voluntarily by the employee
• By mutual agreement
• Unilaterally by the employer based on:
  • Probation period
  • Objective grounds
  • Disciplinary dismissal
  • Performance due to unsuitability for the job
• By the expiration of the contract

The minimum notice period is one week and will be increased according to the length of the employment.

• one week if the length of service is less than 6 months
• 2 weeks if the length of service is less than 2 years
• 4 weeks if the length of service is less than 4 years
• 8 weeks if the length of service is less than 7 years
• For more than seven years, an additional 1 week for every subsequent year of service or part thereof up to a maximum of twelve weeks

Full-time employees are entitled to 24 working days of paid time off (PTO). However, if a public holiday falls on a weekend then employees are entitled to an additional day of PTO.

In 2022, 4 public holidays fall on a weekend, therefore the current year employees are entitled to 28 days’ leave.

PTO accrues monthly at 2 days per month and employees are eligible for annual leave after they accrue a month of work.

Part-time employees are entitled to the average number of hours worked daily over a week multiplied by 24.

Malta celebrates 14 national holidays.

National public holidays include:

• New Year’s Day
• Feast of St Paul's Shipwreck
• Feast of St Joseph
• Freedom Day
• Good Friday
• Workers' Day
• Sette Giugno
• Feast of St Peter and St Paul
• Feast of the Assumption
• Victory Day
• Independence Day
• Immaculate Conception
• Republic Day
• Christmas Day

Contracts must be in English. They must be in writing and signed by both parties.

A contract must include:

• Name
• Start date
• Length of the employment
• Job description
• Termination conditions