Malta’s government has overhauled its labour migration framework to ensure recruitment is fair, rights-based, and skills-driven. This phased reform, beginning 1 August 2025, introduces essential measures for employers, HR professionals, and third-country nationals (TCNs).
Timeline of Implementation
1 August 2025 (Phase 1): 12 measures go live
1 October 2025 (Phase 2): 3 additional measures commence
Rolling implementation through July 2026: 5 further measures gradually introduced
Key Measures – Phase 1 (Effective 1st August 2025)
Termination Rate Monitoring
Employers with excessively high termination rates may fail the Labour Market Test, making them ineligible to hire TCNs. Thresholds—e.g. 50% for small businesses—will be phased in up to July 2026.
Mandatory Job Advertising
Positions must be advertised for 2–3 weeks on Jobsplus and from October on EURES, with justifications required for rejecting local or existing TCN candidates.
Revised Fees & Redundancy Restrictions
First-time permit: €600 (up from €300)
Renewals: €150/year (down from €300)
Change of employer: €600 / Change of role: €300
Health/care sectors capped at €150
Employers cannot replace roles with TCNs if they dismissed workers unjustifiably in past 12 months
Improved Termination Grace Period
Terminated TCN workers now enjoy a 60-day grace period (30 days plus 30 with proof of funds) to secure new employment.
Raise Salary Minimums for Fast-Track Work Permits
KEI (Key Employee Initiative): from €35k to €45k
SEI (Specialist Employee Initiative): from €25k to €30k
Prompt Submission of Employment & Termination Forms
Forms must be submitted within 4 working days to ensure up-to-date workforce records.
Phase 2 Measures (Effective 1st October 2025)
Electronic Salary Payments Only
Salaries for new TCNs must be paid via licensed financial institutions—no cash permitted.
Interim Permits for Visa-Waiver Nationals
Visa-waiver TCNs applying within 60 days of entry get interim permits; those applying day 61–90 must await approval outside Schengen.
Enhanced Support for Trafficking Survivors
Application fees waived and permit validity extended to one year for victims of human trafficking.
Measures Rolling Out Through July 2026
Pre-departure Integration Courses: Strengthened “I Belong” scheme, requiring evidence of language and cultural induction before arrival.
Employer Compliance Monitoring: Regular checks ensure salary and contract adherence on renewals.
Exemplary Employers Register: Compliant employers gain access to streamlined processes & longer permit durations (up to 4 years).
Workforce Caps by Company Size: Limits set relative to staff growth (e.g., micro 200%, large 25%).
Restriction on Tourist-Visa Applicants: TCNs here as tourists cannot apply for work permits in-country.
Integration Strategy & Social Cohesion
These measures align with Malta’s new Integration Strategy 2025–30, co-funded by the EU with €6 million, aimed at empowering TCNs through pre-departure training, language learning, and stronger institutional support. The “I Belong” programme will expand its reach and become mandatory before arrival.
Impact on Employers & TCNs
|
Group |
What This Means |
|---|---|
|
Employers |
Must monitor termination rates, advertise roles, follow new fees, and ensure contracts comply—non-compliance leads to permit rejection or disqualification. |
|
Existing Workers |
Grace periods extended; lower renewal fees; new rules apply only to new entries. |
|
HR Teams |
Need updated processes for advertising, electronic payroll, integration courses, forms, and compliance checks. |
|
Visa‑Waiver TCNs |
Require interim permits or must apply before or outside Malta. |
|
Potential TCNs |
Must complete pre-departure training and meet salary thresholds for fast-track roles. |
How can we help?
Our team supports clients through Malta’s reformed migration system. We offer:
✅ Strategic support with residence and single work permit applications for third-country nationals (TCNs)
✅ Tailored HR policy development aligned with Malta’s Labour Market Test and permit renewal conditions
✅ Drafting & reviewing employment contracts, including probation, termination, and role clauses
✅ Development & consolidation of HR manuals & internal policies in line with national integration & equality standards
✅ Support with pre-departure integration readiness, including verifying documentation for “I Belong” programme and cultural fluency requirements
✅ Representation in administrative appeals, inspections, and enforcement procedures
✅ Ongoing advisory for staff restructuring, internal role changes, or intra-company transfers involving TCNs
✅ Legal structuring and advice for permanent residence or long-term residence eligibility post 5-year threshold
📩 Contact Dr. Beverly Tonna at [email protected] for tailored legal advice or employer support.
