Malta
Hire Employees & Contractors

Malta

Compliantly hire your distributed team members in

Malta

Person working on laptop

Hiring in

Malta

isn't so simple. Borderless can help.

To hire new employees in

Malta

, your business must have a local legal entity or an Employer of Record like Borderless in place already. Then there’s the management of local employment compliance, taxes, benefits, payroll, and more. Hiring contractors poses similar challenges.

Borderless handles all of that for you, so you can focus on getting to work with your new team member in

Malta

while staying fully compliant with local laws and compliance.

Primary Language

Maltese, English

Currency

Euro (€, EUR)

Payroll Frequency

Monthly

Public Holidays

14 days

Employer Taxes

10%

Cost of Living Index

73.61 (25 of 139 nations)

Statutory Leave

24 days

Sick Leave

10 days

Maternity Leave

18 weeks

Important: Risks of misclassification

In many countries like

Malta

, the treatment of employees and contractors is different. If you misclassify a new team member, you could be subjected to penalties and fines. Let Borderless get this right for you, so you don’t have to worry.

Payment Information

Minimum Wage

EUR 731.32 per month.

Overtime Pay

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.

Borderless 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. Overtime is defined as any time worked beyond the normal working day. Employees are only permitted to work a maximum of 48 hours a week unless they give their express written consent. Employees are compensated for overtime as follows:

Additional Pay

There is no additional pay detail for Malta.

Payroll Cycle

For Borderless customers, all employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.

Employer Costs & Taxes

  • Social Security - 8%
  • Maternity Trust Fund - 0.24%
  • Quarterly Government Bonus - Weekly Allowance - 0.81%
  • Quarterly Government Bonus - Statutory Bonus - 0.90%

Employee Costs & Taxes

For individual employees:

  • 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

    For married employees:

  • 0% - Up to €12,700
  • 15% - €12,701 - €21,200
  • 25% - €21,201 – €28,700
  • 25% - €28,701 – €60,00
  • 35% - above €60,000

  • For parents:

  • 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
  • Employment Information

    Termination Process

    An employee’s contract may be terminated for a just cause (negligence, dishonesty, flagrant disobedience, etc.), redundancy, or when an employee reaches retirement age.

    Notice period

    According to Maltese labor law, employees must be informed in advance before losing their jobs so they can make the necessary preparations.
    If an employee has worked at least one month during the probationary term, they may be fired with one week's notice. From here, there is a sliding scale for notice periods:

    • 1 month to 6 months: 1 week
    • 6 months to 2 years: 2 weeks
    • 2 years to 4 years: 4 weeks
    • 4 years to 7 years: 8 weeks
    • More than 7 years: 8 weeks, plus 1 week for each additional year

    Probation Period

    Probation can last anywhere from a week to 12 months, provided it’s agreed upon in advance by both parties.

    Severance Details

    There is no mandated severance pay specified under Maltese labor law.

    Benefits of working in a country abroad

    Borderless Benefits Packages in

    Malta

    When the world is your competition, it pays to incentivize new hires and existing alike. Borderless benefits packages typically include:

    Medical Insurance
    Dental Insurance
    Vision Insurance
    Life Insurance
    Retirement Contributions

    Learn how to hire quickly and easily in

    Malta

    Book your demo of Borderless to help you hire, pay, and take care of new employees and contractors in 170+ countries.

    Book a demo