In Malta, employees are entitled to a range of mandatory benefits, and employers often enhance these with additional perks to attract and retain talent.
Mandatory Benefits:
Minimum Wage: As of 1st January 2024, the minimum wage is set at €213.54 per week for employees above 18, €206.76 for 17-year-olds, and €203.92 weekly for employees under 17. Part-time employees' minimum wage is proportional to their working hours.
Working Hours and Overtime: The standard working week is 40 hours, not exceeding 48 hours on average over a 17-week period. Overtime is generally paid at 150% of the regular hourly rate for hours worked beyond 40 hours per week, with taxable thresholds set for overtime payments.
Paid Leave: Employees working 40 hours a week are entitled to 192 hours of basic paid leave annually, with an additional day of vacation leave added for each public or national holiday that falls on weekends. Malta observes 14 public holidays annually. In 2024, an employee with a 40-hour working week will be entitled to 240 hours of paid vacation leave in lieu of the six Public Holidays that fall on weekends.
Sick Leave: The entitlement is 2 weeks (10 working days) per year, regulated under the Wage Regulation Order (WRO). Beyond two weeks, employees may be entitled to a sickness benefit through Social Security, with a valid medical certificate required for all sick leaves.
Maternity Leave: Pregnant employees are entitled to 18 weeks of maternity leave, starting four weeks before the due date. The first 14 weeks are paid at the regular monthly salary, with the remainder covered by social security.
Paternity Leave: Employees who serve as secondary caregivers are eligible for paternity leave to care for a newborn or adopted child, with a duration of ten (10) working days. During this leave, employees will receive their regular wages without any deduction.
Parental Leave: Parents are entitled to 4 months of parental leave until their child reaches the age of 8, provided they have been employed for 12 consecutive months.
Bonuses: Employees receive a statutory bonus of €135.10 every six months, in June and December as well as a statutory weekly allowance payable every six months of €121.16, in March and September.
Common Perks and Additional Benefits:
Training and Development: In many sectors, performance bonuses form a significant part of the compensation package, incentivising employees to excel in their roles. These bonuses are often tied to individual, team, or company performance metrics, ensuring alignment with business objectives.
Health Insurance: Both employers and employees contribute to the National Health Service, covering healthcare for all residents. Non-residents can also access these benefits by contributing through company payroll or privately.
Retirement and Social Security Pension Contributions: The social security system includes the Contributory and Non-Contributory Schemes, covering various needs like unemployment, sickness, or retirement. Employers often offer deferred annuity plans as an additional voluntary retirement benefit.
Flexible Working Arrangements: While not mandated by law, many employers in Malta are embracing flexible working arrangements, including remote work and flexitime, recognising the importance of work-life balance in today's dynamic work environment.
Performance Bonuses: Across industries, companies in Malta recognise the importance of continual learning. From sponsoring part-time studies to hosting in-house training sessions, employers invest in the professional growth of their employees, ensuring a highly skilled and adaptable workforce.
Wellness Programmes and Work-Life Balance Initiatives: Understanding the importance of mental and physical health, companies offer wellness programmes, including gym memberships, mental health days, and activities centered around mindfulness and stress management. Flexible schedules and the possibility of remote work further support a balance between personal and professional life.
Service Charge Inclusions: In addition to the base salary, employees within specific industries often receive a share of the service charges, providing a significant boost to their earnings.
Staff Accommodation: Particularly in tourist-heavy areas, some employers offer accommodation benefits, reducing the financial and logistical burden on their staff.
Unique Perks in the Maltese Context
Relocation Assistance: Given Malta's strategic location and thriving industries, companies often attract international talent. Relocation assistance, including housing allowances, moving expenses, and travel reimbursements, is commonly offered to ease the transition for foreign employees.
Language Courses: To integrate into the Maltese community and enhance communication within diverse teams, employers frequently offer language courses in Maltese or English. This not only aids in personal assimilation but also enriches the workplace culture.
Nurturing Talent in Malta
Malta's approach to employee benefits is holistic, addressing not just the financial aspects but also the well-being, development, and integration of its workforce. Whether through industry-specific perks, continuous learning opportunities, or unique offerings tailored to the Maltese context, the benefits landscape in Malta is both diverse and dynamic, reflecting a deep understanding of the evolving needs of the modern employee.
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VC (VacancyCentre) is a leading recruitment agency in Malta, facilitating the resourcing of talent needed by organisations of all sizes with particular specialisation within certain industry disciplines, namely Finance, Compliance, Technology & Operations. To find out more about how partnering with us can help you in your search for your dream job, do not hesitate to contact us at [email protected].