An Employer of Record (EOR) in Malta can assist in accessing talent efficiently. By partnering with an EOR, companies can tap into the local talent pool without establishing a legal entity. The EOR acts as the primary employer on the company’s behalf and handles payroll, tax compliance, employment contracts, benefits, and HR-related tasks, ensuring adherence to local regulations. This streamlines the hiring process, allowing businesses to focus on finding the right talent for their needs. 

Furthermore, EORs also take care of localized employee benefits that can help you retain talent. Overall, an EOR in Malta provides a seamless solution, enabling companies to hit the ground running and access the desired talent quickly and effectively.

Malta heavily invests in developing its workforce through training and education. Using an EOR/PEO in Malta, companies can tap into the Maltese labor market and easily navigate it. 

Further, several aspects of payroll need to be taken care of when setting up a business in Malta. For instance, maintaining the minimum wage of 181.08 EUR per week, 6 months’ termination notice, keeping payroll reports for 6 years, and more. Partnering with an EOR in Malta will help you keep up with these payroll regulations.

Gloroots’ Malta EOR services can help you easily access Maltese talent across different industries like healthcare, aviation, manufacturing, education, etc., by providing local expertise and networks. Our platform can also ensure 100% compliance with Maltese labor laws while generating fixed-term of indefinite employment contracts, thereby reducing legal risks and penalties. In short, you can streamline hiring operations in Malta and keep up with the changing compliance scenario with Gloroots as your trusted EOR partner.

EOR/PEO pricing in Malta differs based on factors like a number of employees, the scope of services required, and the specific EOR provider. Generally, EOR pricing in Malta is structured as a percentage of the employee's salary or as a fixed monthly fee per employee. The pricing range for EOR services typically falls between 5% to 15% of the employee's compensation. Note that additional fees may apply for specific services or customization. So, when considering EOR pricing in Malta, request personalized quotes from different providers to compare and determine the most suitable option for your business needs.

Gloroots offers a simple pricing model that provides optimum investment value. We manage employment-related admin tasks and legal compliances. Moreover, Gloroots offers a live dashboard that helps you track your Indian workforce expenses in real time. It also offers HR support and benefits management to the employees hired through EOR.

Malta is a multifunctional island.  It has a solid foundation in the fishing sector as a whole. Since Malta is entirely encircled by sea on all sides, it naturally boasts some of the world's most beautiful beaches and harbours. There has been a lot of activity in trade in Malta. The maintenance of commercial links with a diverse range of countries accounts for the vast majority of the nation's economic output. In addition to its role in international trade and fishing, Malta is also involved in the gambling industry. It holds banking licences that allow it to issue credit cards, register ships and aircraft, and manages funds.

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Through the Gloroots’ Recrew platform, you can discover amazing talent in Malta.

Growing a team means hiring the right employees at the right time and for the appropriate positions. Employers in Malta must have a local legal organisation and use local resources to handle compliance, payroll, tax, and benefits management. The complexity of employment regulations in Malta demands compliance with employment laws.

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With Gloroots’s global Employer of Record (EoR) service, you can let Gloroots do the heavy lifting of payroll, tax, benefits, and compliance and concentrate on what matters to you most: your employees and company growth.

Malta treats contractors, sole proprietors, self-employed individuals and full-time workers differently and there are significant risks associated with misclassification.

Maltese labour standards are established in the 1974 Republican Constitution, which establishes the foundation of employees' rights and benefits, as well as in a number of acts, including:

Employees in Malta are protected from discrimination on the basis of their age, religion, sexual orientation, gender expression, or race.

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It’s important for employers to understand the intricacies of these programs before making a hire.

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This might sound overwhelming—but it doesn’t have to be. A solution like Gloroots eliminates the barriers for you. With Gloroots’ Employer of Record offering, hiring and managing employees globally is a piece of cake.

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Get an overview of what you need to know when hiring in Malta.

Payroll Cycle:

• All employee payments will be made in equal monthly increments, due in arrears, on or before the last working day of each calendar month.

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Minimum Wage:

Maltese labour law requires firms to provide a minimum weekly wage to all employees and statutory raises when an employee's tenure increases. The following is a breakdown of what employers should pay as a bare minimum.

• €181.08 (€724.32 per month) for those aged 18 and up
• €174.30 (€697.2 per month) for 17 years
• Under the age of 17: €171.46 (€685.84 per month)

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After a year of service with the same employer, an employee earning the minimum wage is entitled to a weekly raise of €3. After the second year, that rises to €6 per week or a €24 bonus on the employee's monthly wage. Employees earning more than the minimum wage will receive equivalent raises beginning in the second and third years of their employment with the same company.

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Sick Pay:

The Maltese social security office handles many financial obligations for employee sickness benefits.

As a general rule, an employer can either: Pay an ailing employee the normal gross wage during the first three days of illness, then pay the gross wage less the government sickness benefit, or

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Pay the employee in full and obtain reimbursement from the employee for illness benefits paid by the social security office

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In effect, the social security office pays a sickness stipend while the employee pays the difference between the stipend and the employee's regular income.

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According to the Medical Board's judgement, sickness benefit entitlements can be paid for up to 156 days and increased to 468 days in two years.

Taxes in Malta

‍Employer

10% - social security contribution

Notice Period:

Maltese labour law requires that employees be informed in advance of their employment termination so they can make suitable transition plans.

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If an employee has completed at least one month of employment during their probation period, they may be removed with one week's notice. From here, notice periods are calculated on a sliding scale:​

• 1 week from 1 month to 6 months
• 2 weeks from 6 months to 2 years
• 4 weeks for children aged 2 to 4 years.
• 8 weeks for children aged 4 to 7 years.
• More than 7 years: 8 weeks, plus 1 week for each year added.

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Probation period:

Probation can last anything from a week to a year if both parties agree on it in advance.

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Employment Termination and Severance:

In Malta, an employee can be fired for reasonable cause, redundancy, or attaining the retirement age. If an employee has completed at least one month of employment, the employer is required to give an employment certificate that includes dates worked and a description of duties. The cause for termination must also be given if the employee demands it. There are no statutory laws on severance pay.

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Managing international hiring and compliance can be overwhelming for businesses. The challenges are vast, from employment law adherence to payroll processes, DE&I compliance, and data protection regulations like GDPR. However, with Gloroots, companies can manage the global hiring process, minimizing your efforts. 

Gloroots’ EOR services streamline onboarding, payments, tax compliance, and more. We handle employment contracts, ensure timely payments, and provide compliant benefits, mitigating risks associated with cross-border employment and payroll compliance. Rest assured, all complexities involved in international hiring will be taken care of. Thus, you can focus on screening applicants and finding the ideal employees.