Our Expertise
Managing a global workforce in Malta
Effectively managing a workforce in Malta requires a comprehensive understanding of its diverse employment landscape, which includes a harmonious blend of traditional and modern labour practices. TopSource Worldwide provides invaluable assistance in managing this complexity, offering tailored EOR, HR and payroll solutions aligned with Malta's employment laws
Extensive expertise
Our team of experienced, knowledgeable staff collectively provide up-to-date employment information across 180 countries, so you can always get accurate advice.
Entity-free employment
Feel free to hire employees from all over the world without being weighed down by setting up entities, running complex payroll or recruiting a hiring team.
Payroll without hassle
Have the confidence that your staff will always be paid accurately and on time, so that you can focus on your core business activities and work towards your success.
Always-on support
Access helpful, relevant, personalised advice whenever you need it, along with expert-led recruitment policies and tried-and-tested HR best practices.
"With TopSource we were able to have employees hired or maintained in Nutreco without having to establish an entity in these countries for only 1-2 employees. I think most countries are covered by TopSource, so they can help us with almost all cases. Good advice on conditions and direct contact with employees. Invoicing done directly to the company. An easy process compared to hiring employees by ourselves."
Annette van Duijnhoven
”We searched the market for a local payroll vendor in 2014 and we chose TopSource as our partner. We were looking for error-free and timely payroll processing and TopSource Worldwide delivers this, saving us time and money. We have worked together for 8 years now and would recommend them to anyone."
Praveen Lihinar
Personalised Employer of Record services in Malta
TopSource Worldwide offers personalised Employer of Record (EOR) services tailored to meet the specific needs of your business in Malta. This includes handling employee onboarding, payroll processing, tax compliance, employee benefits management, and HR support. Our EOR services ensure that your business meets all legal and regulatory requirements, providing a hassle-free solution to manage your Malta-based employees.
End-to-end Malta payroll services
Looking to expand into Malta? Our unparalleled expertise in global payroll services ensures that your business can seamlessly navigate the complexities of payroll on a global scale, supporting your Malta expansion initiatives.
Global entity management
Venturing into the Maltese market can be both exciting and challenging. With distinct business regulations, cultural nuances, and economic landscapes, it's essential to have a clear roadmap for your business establishment journey.
Accounting
Whether your goal is to process your purchase-to-pay transactions with minimum errors or manage your expense claim procedure, our team of experts can handle your accounting responsibilities, allowing you to focus on your core business and save time and money.
Global EOR services
Managing a diverse global workforce can be complex. This is where TopSource steps in as an invaluable employer of record services partner for companies seeking to expand their global reach while ensuring compliance with local employment laws and regulations.
Global Expansion Simplified
How to do business in Malta
Entering the Maltese market presents a mix of excitement and challenges. Given unique business regulations, cultural intricacies, and economic dynamics, a well-defined roadmap is crucial for a successful business establishment.
TopSource Worldwide is with you at every stage. Whether it's navigating local regulations or facilitating seamless operational transitions, our expertise ensures a swift and efficient process for establishing your business in Malta.
Malta Insights
Key insights into Malta's landscape
VAT rates: Malta has a standard Value Added Tax (VAT) rate of 18%, with reduced rates of 7% and 5% for specific goods and services.
Ease of Doing Business rank: Malta ranks 78th in the World Bank's Ease of Doing Business Index, indicating a moderately favourable business environment.
Consumer Confidence Index: Consumer Confidence in Malta increased to -12.20 points in 2024 from -12.60 points in 2023.
Employee maternity/paternity leave: Maternity leave is 14 weeks, and paternity leave is 2 days, with additional parental leave options to support work-life balance for new parents.
Employee termination period: Standard notice for termination varies but is typically one week to one month, depending on employment contract terms and length.
Employee salary pay date: Salaries should be paid in twelve equal instalments not exceeding four weeks in arrears.
Bank holidays: Malta observes around 12 public holidays a year, including Feast of St. Paul's Shipwreck, Freedom Day, Workers' Day, Sette Giugno (Independence Day) and Christmas.
An Overview of the Main Statutory Benefits
Malta operates a Contributory Retirement Pension funded through Social Security contributions. The main pension scheme is the ‘Two-thirds pension’, which aims to provide a maximum pensionable income equivalent to two-thirds of the employee’s salary prior to retirement. Pension rates vary dependent on average contributions.
Employees are entitled to 10 days of sick leave per annum at full pay. The employer is liable to pay the first three days of any claim for sick leave. From the fourth day of incapacity, an employee may claim sickness benefits through the Social Security system.
A medical certificate must be presented to the employer.
Contractual Provisions
A contract of employment can be oral or written in either Maltese or English. Contracts can be indefinite or fixed-term (up to a maximum of four years).
The probationary period can be up to 12 months. For any service longer than one month, a one-week notice period applies upon termination.
Normal working hours are 40 per week. Working hours should not exceed 48 hours when averaged over a 17-week period.
Employers are obliged to record the number of hours worked by their employees.
In Malta, working hours are strictly regulated and many job sectors have overtime rates stipulated by the Wage Regulation Order. All other employment categories should honour a pay rate of 1.5 times the employee’s hourly rate for hours worked in excess of a 40-hour week, averaged over a period of four weeks.
The contract of employment may specify a clause for overtime allowance.
Inclusive of overtime, an employee should not exceed the 48-hour maximum average working hours.
- Urgent Leave: An employee is entitled to a total of fifteen hours of paid ‘Urgent Leave’ per annum. This is for any case related to the sickness or accidents of any immediate family member. This leave is to be deducted from the employee’s annual leave entitlement.
- Marriage Leave: Employees are entitled to two paid working days as marriage leave
Our author
Mark Robbins
Global Sales Director
Mark is the Sales Director at Topsource Worldwide. He has been a pioneering figure in the global expansion space since 2013. He is the first salesperson to sell EOR services in Europe, a feat he accomplished in 2013.
Published 2023-11-14 00:00:00
Updated 2023-11-15 00:00:00
Reviewed by:
Adrian Cooney
Fact checked by:
Adrian Cooney
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