Malta Labour Law and Employment Policy Overview

Employment Law Overview

• Key Legislation:
  • Employment and Industrial Relations Act
  • Occupational Health and Safety Act
  • Equality Act
  • Social Security Act
• Legal Characteristics:
  • Focuses on protecting employee rights and welfare
  • Emphasizes workplace diversity and inclusion
  • Sets out obligations for both employers and employees

Employment Contract Requirements

• Contract Types:
  • Fixed-term contracts
  • Indefinite contracts
• Contractual Terms:
  • Must include details on job description, remuneration, working hours, etc.
• Language and Currency:
  • Maltese or English
  • Euro

Working Time Regulations

• Standard Working Hours: 40 hours per week
• Rest Days and Breaks: Minimum of 24 hours rest per week, 11 hours rest per day

Leave Policy

• Annual Leave: 24 days per year
• Public Holidays: 14 days
• Special Leave:
  • Sick Leave: 20 days paid sick leave per year
  • Maternity Leave: 18 weeks paid maternity leave
  • Paternity Leave: 10 days paid paternity leave
  • Parental Leave: 4 months paid parental leave

Employee Dismissal and Termination

• Notice Period: 1-12 weeks, depending on length of service
• Severance Pay: None
• Unfair Dismissal Protection: Employees have the right to file a complaint for unfair dismissal

Taxation

• Personal Income Tax:

  • Salary Range (EUR)	Tax Rate
    0 - 9,100	0%
    9,100 - 14,500	15%
    14,500 - 19,500	25%
    19500 - 60,000	25%
    60,000 and above	35%

• Social Security Contributions: 10% each for employer and employee

Health Insurance

• Insurance Policy: Universal healthcare
• Coverage: Basic medical services

Compensation and Benefits

• Minimum Wage: €179.33 per week
• Salary Structure: Base salary, bonuses, allowances

Work Permits and Visas

• Permit Requirement: Non-EU citizens require a work permit
• Application Process: Apply to the Employment and Training Corporation (ETC) of Malta

Confidentiality and Non-Compete Clauses

• Enforceability: Enforceable, but must be reasonable and not unduly restrict employee's employment opportunities
• Common Clauses: Confidentiality of information, non-compete clauses

Training and Development

• Legal Requirements: None
• Government Support: Government-funded training programs available

Workplace Diversity and Inclusion

• Legal Requirements: Prohibits discrimination based on factors such as race, gender, religion
• Enforcement: Equality and Human Rights Commission responsible for enforcing the law

Remote Work Policy

• Legal Framework: No specific legal framework
• Tax and Insurance Implications: Remote work may impact taxation and social security

Key Website Addresses

• Employment and Training Corporation (ETC) of Malta: https://www.etc.gov.mt/