Malta: Employee Benefits & Compensation

Malta has introduced significant reforms to family-related leave entitlements in 2026, including new provisions for parents of children born abroad through surrogacy, extended parental leave benefits for self-employed individuals, miscarriage leave, and special parental bereavement leave. These legislative changes expand the scope of statutory protections and require both employers and employees to review their policies and understand their rights under the updated framework.

Malta's new Equal Pay Regulations introduce a restrictive 'single source' test for cross-employer pay comparisons that may conflict with EU law. This analysis examines whether Regulation 8's requirement that undertakings be under common control and carry out the same economic activity is compatible with the broader CJEU interpretation established in Lawrence and codified in Directive 2023/970.

Malta has introduced amendments to the Minimum Special Leave Entitlement Regulations, establishing a uniform minimum entitlement of three working days for both marriage leave and bereavement leave across all employment sectors. This reform addresses historical discrepancies between sectors that previously resulted in inconsistent leave entitlements, with some employees receiving only one day of bereavement leave and two days of marriage leave while others enjoyed more favorable terms under specific Wage Reg

Malta has officially implemented the EU Pay Transparency Directive through new regulations that introduce significant obligations for employers. The rules cover equal pay requirements, salary transparency in recruitment, worker information rights, gender pay gap reporting thresholds, and enforcement measures including tribunal redress and criminal fines.

Malta has transposed the EU Pay Transparency Directive through new regulations that fundamentally change how employers must approach remuneration and workplace transparency. Organizations can no longer rely...

The introduction of the EU Pay Transparency Directive marked a significant shift in how organisations across the European Union approach pay transparency, workplace equality and gender pay gap reporting.

Malta has introduced a unified framework aimed at attracting senior and specialised talent across key sectors.

Malta's labour migration framework, updated in 2025 and continuing into 2026, provides clear pathways for highly skilled third-country nationals (non-EU/EEA) to work and reside in Malta.

Malta has confirmed revised social security contribution thresholds and rates that will apply from 1 January 2026, bringing moderate increases across contribution classes for both employees and employers.