MALTA Law and Practice Contributed by: Paul Gonzi, Rebecca Diacono and Mattea Pullicino, Fenech & Fenech Advocates
week period, or over the shift cycle at the employer’s discretion. Sector-specific WROs may mandate dif - ferent overtime rates. The rules on overtime for public service and public sector employees differ. In Malta, it is also common for the employer and employee to agree to a consolidated wage which covers payment for all working hours, including over - time hours. Whether such practice is in line with the Overtime Regulations is contentious and would have to be assessed on a case-by-case basis. This prac - tice remains common, particularly in relation to sen - ior grade employees and C-level executives, whose wages surpass double the national minimum wage. Flexible Working Time Through the transposition of the Work-Life Balance Directive, workers with children up to the age of eight years, and carers, have the right to request flexible working arrangements. Under Maltese law, a carer is defined as “any worker providing personal care or support to a relative, or to a person who lives in the same household as the worker, and who is in need of care or support for a serious medical reason”. Flexible working arrangements may include, but are not limited to, remote working, working on reduced hours and flexitime. Employers must consider and respond to requests for flexible working arrangements within two weeks, providing reasons for any refusal of such requests or for any postponement of such arrangements. Flex - ible working arrangements may be limited in dura - tion and in such cases the worker shall have the right to request to return to the original working pattern before the end of the agreed period where this is jus - tified on the basis of a change in circumstances. The employer shall consider and respond to a request for an early return to the original working pattern, taking into account the needs of both the employer and the worker. Part-Time Contracts Part-time contracts are regulated by the standard rules applicable to full-time employment, provided that all minimum entitlements are calculated pro rata depending on the hours worked. Part-time employ -
ees are protected from being treated less favourably because they work on a part-time basis. 1.4 Compensation Minimum Wage For the year 2025, the national minimum wage for full- time employees per week is: • age 18 years and over – EUR221.78; • age 17 years – EUR215.00; and • under 17 years – EUR212.16. Other sector-specific minimum wages regulated by the relevant sector-specific WROs may apply. The minimum wage is typically adjusted annually to reflect the increase in the cost of living. In 2025, the cost-of-living adjustment for a full-time employee amounted to EUR5.24 per week. Various WROs impose special overtime rates for work exceeding the normal working hours, or for work car - ried out on weekends or public holidays. Some WROs also provide special allowances, such as for night work or shift work. Bonuses and Allowances All employees are entitled to a statutory bonus and a weekly allowance, twice yearly. A full statutory bonus of EUR135.10 must be paid at the end of June and another in December, while a full weekly allowance of EUR121.16 is payable at the end of March and the end of September. Employees may also receive a bonus from their employer as part of their remuneration. Bonuses may be guaranteed, discretionary or a combination of both. Guaranteed bonuses are bonuses that have been agreed upon contractually and which must necessar - ily be paid by the employer. Discretionary bonuses, on the other hand, leave employers with some flexibility in deciding what payments, if any, are to be made to the employee (generally these are calculated on the basis of performance). It is also possible to have a combination of both guaranteed and discretionary bonuses, allowing for a discretionary element within a contractual framework.
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