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Doing Business in Malta -
Availability of Skilled Personnel
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Thursday, 08 November 2007 |
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Employment Contracts The most common employment contracts are full-time contracts of indefinite duration. Fixed term employment contracts are however becoming increasingly common, as it the trend to hire temporary staff from specialised agencies.
A national minimum wage is established by law. The national minimum wage is revised every year. All employees are entitled to a half yearly bonus of Lm58- each, and Lm2 weekly allowance. Overtime rates are paid at 150% of basic pay while on Sundays and Public Holidays overtime rates are 200% of basic pay. Other conditions of employment include: | Hours worked per week | 40 hours | | Public holidays | 14 days | | Vacation leave | 24 days | | Marriage leave | 3 days | | Bereavement leave | 3 days | | Birth leave | 2 days | | Maternity leave | 13 weeks | | Injury leave | 12 months |
(Source: http://www.education.gov.mt/ministry/secretariat/conditions_of_work.htm) Social Security The Social Security Act provides for a number of benefits, including retirement and disability pensions, sickness, injury and unemployment benefits, medical assistance and other social allowances and benefits. Entitlement to certain assistance arises regardless of contributions while other benefits can be claimed on the basis of the contributions paid, or deemed paid, by the beneficiary. Maltese law also provides for free hospital treatment for all Maltese citizens.
All persons working in Malta, whether foreign or Maltese nationals, must contribute to the social security system. However, foreigners may be exempt if they prove to the Maltese social services authorities that they continue to pay social security contributions in their home country.
For further information, reference should be made to the Ministry for Family and Social Solidarity website. http://www.msp.gov.mt/ Social Security contributions ‘Employed’ (Class) Rates | Category | Description | A | Persons under 18 years of age earning not more than the amount indicated below | B | Persons aged 18 and over, earning not more than the amount indicated below | C | All persons whose basic weekly wage falls between the amounts indicated below | D | All persons whose basic weekly wage is equal to or exceeds the amount indicated below | E | Students under 18 years of age | F | Students 18 years and over | | 2006 | Category | Basic Weekly Wage (Lm) | Weekly Rates (Lm) | | From | Up to | Employee | Employer | Total | A | 0.00 | 57.88 | 2.84 | 2.84 | 5.68 | B | 0.00 | 57.88 | 2.84 | 2.84 | 5.68 | C | 57.89 | 133.80 | 10% | 10% | n/a | D | 133.81 | n/a | 13.38 | 13.38 | 26.76 | E | n/a | n/a | 10% Max 1.88 | 10% Max 1.88 | n/a | F | n/a | n/a | 10% Max 3.42 | 10% Max 3.41 | n/a | Source: Department of Inland Revenue Malta |
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Last Updated ( Sunday, 11 November 2007 )
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