What Is the National Minimum Wage?
The National Minimum Wage is the minimum pay rate per week most workers in Malta are entitled to by law. This is the lowest amount a worker can legally be paid for his or her work.
What Is the Minimum Wage for the Current Year?
The weekly working time for Maltese companies and organisations is set at 40 hours per week.
For 2018, the Minimum Wage rate per week for whole-time employees is calculated as follows:
- Age 18 years and over €172.51*
- Age 17 years €165.73
- Under 17 years €162.89
Other Sectoral Minimum Wages may apply, as specified in the relevant Wage Regulation Order (WRO). Every employee is entitled to the weekly bonus and statutory allowance.
*The National Agreement on the Minimum Wage was signed by the Social Partners on the 28th of April 2017 and rendered effective by means of Legal Notice 144 of 2017.
Mandatory Increases to the Minimum Wage
Employees on minimum wage who have completed one year of employment with the same employer are entitled to mandatory increases (over and above COLA adjustments for 2017, 2018 and 2019) of €3 per week in the second year of employment. After the second year, this rises to an additional €3 per week.
Employees earning above basic minimum wage are entitled to a portion of the above-mentioned increases during the second and third year of employment.
For existing employees on minimum wage who have been with the same employer for more than a year as of the 28th of April 2017, the following measures apply:
- From 1st January 2017: up to a maximum of €3 per week adjustment
- In 2018: up to a maximum of €3 per week adjustment
- In 2019: the balance to reach an increase of €6 in minimum wage (provided that the employee will have been in employment with the same employer for three years or more).
Transfers and Accumulated Service
Employees on minimum wage who are transferred or offered new employment within the same group of companies will carry over their accumulated years of service for the purposes of the increases specified above.
Definite Term Contracts
By law, workers engaged on a definite term contract, who are affected by the increase in wages specified above, cannot be replaced upon the contract’s expiry by another person for up to a period of one year unless for good and sufficient cause. If the employee is offered another definite term contract within six months of expiry of the first contract, the two periods shall be considered as one continuous period.
Variations in Pay
Employees performing the same duties are entitled to the same rate of pay. Variations in pay rate may apply to different lengths of service, as reflected under different salary scales, or other conditions of employment, provided that such salary scales have a maximum that is achieved within a specified period of time.
The minimum wage for part-time employees is calculated pro-rata at the same hourly rate of comparable full-time employees. Any alteration in the post or related duties may, however, be reflected in new conditions. This could in turn include different rates of pay.
The Minimum Wage Malta also applies to cases in which employees are required to undertake mandatory training while not on duty. In this case, employers are obliged to treat that period as working time and pay accordingly.