Malta Employers’ Association Asks Government to Support Service Industry
Posted: 06/05/2012 Filed under: Malta News, Working In Malta | Tags: charter, Government, working conditions Leave a comment »
A service charter is currently being prepared by the Malta Employers Association that would encourage ethical practices when it comes to employment in the security, cleaning and care workers’ sectors of the economy. Companies who operate in these sectors will be asked by the Malta Employers Association to voluntarily sign the service charter. This would allow them to commit their businesses to bring their strategies and operations in line with the practices laid out in the service charter. This behaviour would respect the legal obligations that the country has in place and would also allow employers to operate in ethical ways.
The Malta Employers Association believes that this service charter will be able to show the Maltese government the difference between those companies who are operating at ethical levels and those who are not. Responsible employers will sign the service charter willingly, but those who advertise excellent working conditions but don’t actually have them will hesitate to sign. All companies who sign the service charter would be required to go through inspections to ensure they are holding up the values of the charter and to make sure that they are staying within the laws.
The association is asking the Maltese government to support the petition by assigning a preferential weighting to the charter. This would allow companies who sign up to receive benefits from the Maltese government as well as be a part of this exclusive group. It is hoped that these initiatives would encourage companies to sign the charter. For the companies who do not offer good working conditions and are not working within legal regulations, it is hoped that they will literally clean up their acts and bring their companies in line with the law.
Though none of this is yet set in stone, the framework is being built right now.
Central Bank Says that Malta Must Live Within Its Means
Posted: 26/04/2012 Filed under: Business Setup In Malta, Working In Malta | Tags: Central Bank, economy, Wages Leave a comment »
Based on news that the Maltese economy is slowing a bit, the Central Bank issued a report early this week indicating that Malta must live within its means in order to keep pushing the government’s debt down. President of the Central Bank, Josef Bonnici, spoke about the budget and during his speech reiterated the need for control of spending until the deficit is under control.
Listed projections indicate that the GDP could decrease to about 1.6% this year, which is down from 2.1% in 2011. Forecasts show that if changes are made and the deficit is reeled in, there could be some momentum which will take it back up to 2.0% by 2013. Additionally in 2012, the Maltese government debt is expected to reach about 69.4% of the GDP which is higher than the 60% mandated by the Maastricht criteria. Bonnici, during his speech, urged Maltese lawmakers to watch the debt situation very carefully and they should try to avoid any movement that would make the economy more difficult to adjust.
The Maltese economy has been held up by diversification and by adding new sectors, like the life sciences. There is a very sound banking system in Malta and borrowing is at a minimum. All of this is extremely helpful when attempting to get the debt down but there are still opportunities for the government to consider, such as some reforms, that could make this process even easier. Bonnici also mentioned the importance of wage increases that were supported by gains in productivity and urged companies to find new ways to compensate for the Cost of Living Adjustment (COLA) in order to help to control costs. He also said that the proposed raising of the minimum wage may not be the best thing for the country in this current economic state.
Great News for Maltese Women in the Workforce
Posted: 17/03/2012 Filed under: Business Setup In Malta, Living in Malta, Working In Malta | Tags: Benefits, Income Tax, Women Leave a comment »
Statistics that were recently released show that there are more women than ever before working in Malta. This is great news, especially since it coincided with celebrations for International Women’s Day. Specifically, 8,294 Maltese women have been employed in the past five years, which is not only great for equality in the work force, it is good for the overall Maltese economy.
Today, women in Malta have all of the same opportunities as men, and that is certainly worth celebrating. Women are just as skilled as men, they are getting the same education as men and are afforded all of the opportunities than men have. Women, both young and old, can be found in Malta working in all types of jobs including technical work, manual labour and in senior management positions. The Maltese justice minister attributes these higher numbers to initiatives that over the past several years have been introduced by the Maltese government.
One of the areas that have really seen an increase in the number of women in the workforce is the aeronautics industry. Lufthansa Technik, for example, hires 64 women, which is a huge jump from just a few years ago. There has also been a jump in the number of women studying aeronautics at local universities. With the wonderful opportunities available for women and local universities working closely with businesses, there is no reason why this increase in women workers shouldn’t continue.
The government is also interested in pushing up these numbers, even by offering reduced income tax to families who have two working parents. They will be able to save up to €840 a year on income tax savings. On top of that, the Maltese government has increased maternity leave from 14 weeks to 16 weeks. Next year it will just to 18 weeks. It is estimated that about 8600 Maltese families have already benefited from these initiatives.
Could more Growth for Malta be on the Horizon?
Posted: 14/03/2012 Filed under: Living in Malta, Working In Malta | Tags: economy, Education, Growth Leave a comment »
When compared to other EU nations, Malta is really not noticed much by the rest of the world. Though known more in the EU, most people in North and South America or even in the Asia Pacific area don’t even know where Malta is. One way to make the country more noticeable on the world stage is to establish more growth in the country. For those enterprising minds out there, when traveling through Malta, there are really opportunities for growth all around in every city and town you may pass through.
One of the best resources that Malta has is the wonderful people that call the island nation home. However, many of these people have not had or taken the opportunities to advance themselves when it comes to education or to build upon their natural talents. The people of Malta are just as intelligent and talented as those in other countries throughout the world and our people should be competing on a global scale. More growth throughout the country is extremely important if we would be able to have the chance.
Though Malta currently has a fairly stable economy and low unemployment when compared to other EU nations, there are still too many empty homes in our cities and towns and too many industrial estates remaining barren. Luckily, there is a plan on the horizon.
The country has some good plans being developed that could encourage growth. One of these is the move to switch to clean energy. Not only would switching to a cleaner form of energy help keep the environment safe for many more generations, it would produce jobs, money and spur the economy even further. Another thing that is being tossed around is improvements in the Maltese education system that would enable our people to learn more and compete more effectively with the greatest minds in the world.
Maltese Teachers Spend Less Time in School Than Others in the EU
Posted: 08/03/2012 Filed under: Living in Malta, Malta News, Working In Malta | Tags: Education, Teachers, Working Leave a comment »Recent numbers have been released throughout the EU and it seems that Maltese teachers spend less time in schools than their EU counterparts. This makes some wonder if their children’s education may be suffering. In Malta, the average time that teachers stayed in school each week was only 28 hours. However, it is important to note that this is only teaching time and preparation and other duties are not added into this. In a typical five day week, this means that only about five and a half hours per day is actually spent teaching.
Looking at the amount of time that teachers in other EU nations spend in the classroom, the 28 hours per week that Maltese teachers spend in the classroom seems a bit puzzling. Teachers in Portugal, for example, spent about 35 hours per week in the class room, or 7 hours each day. In the UK, 32 hours a week were spent in the classroom and in Germany, Cyprus, Greece and Spain, 30 hours each week were spent in the classroom actually teaching children. Most other EU countries require 40 hours in the classroom each week including France, Estonia, and Denmark.
This is not a new revelation by any means. In fact, for several years there have been requests by public officials and others to increase the time that Maltese teachers spend in the classroom. The Malta Union of Teachers (MUT), however, says that this is a non-negotiable issue. The hours will not change. Even when a British education expert recommended a change in order to offer more education to students, the MUT held firm to the hours.
Until the MUT decides to change, it could remain that Maltese children will simply not have the educational backgrounds that their EU counterparts have received unless parents are able to provide private teaching outside of school hours.
How the Temporary Residence Scheme Works for You in Malta
Posted: 04/06/2011 Filed under: Living in Malta, Travelling To Malta, Working In Malta Leave a comment »
If you are planning to move to Malta or open a business up on one of the islands you have probably begun to look at property and costs. You have probably looked at tax schemes and employment rules and even demographics. You are trying to get a feel for an island nation that has so much to offer, but you haven’t actually been there. Realising that most business is concentrated in a very small area is the first step. If you are planning a long term move to Malta in the near future for anything from retiring to starting a new career you really need to visit the island to get a realistic point of view. Malta has a lot to offer but to know if it is really right for you a visit is in order.
In order to do this you need what amounts to a tourist visa in Malta. This is called the Temporary Residence scheme. When you are coming to Malta for any short period of time, up to 3 months, this is the right visa option for you. You cannot gain employment on Malta with this status, but you still have to be able to show proof that you are financially stable during your stay and will not become a burden on Maltese society.
If you plan to stay longer you can use the 3 months allotted to get all of the paperwork done, and find a place to live. If this isn’t enough time to do everything you need to do (and it normally is) then you might have to leave the country and come back. For an EU citizen this means you have to leave the country for as little as a few days before you can come back and have this tourist visa renewed. For non EU citizens or 3rd country nationals this means you have to leave Malta for at least 6 months and then come back to renew your visa status. Of course, there are always exceptions to the rules, and if you find that you are just a touch short of getting all of your details in order, then you can visit the immigration officials and speak with them at length about what can be done to help. And, if you are bringing a lucrative business to Malta, your chances of getting an extension are quite high. It is a small island, and money does talk, here as with everywhere in the world.
You will never know until you ask, so see what can be done if you are almost, but not quite, there with getting everything organised.
The Old Permanent Residency Scheme In Malta
Posted: 31/05/2011 Filed under: Living in Malta, Non Dom, Working In Malta Leave a comment »
Permanent Residency in Malta was an option that was highly attractive to non-domiciled persons with a high income that want to retire in a warm and friendly place. It was also an option that authors, international consultants and people looking for a vacation home with the right income level found very alluring.
This residency scheme allowed EU citizens and 3rd country nationals with a high net worth to transfer their tax residence overseas. Though they were not allowed to work or own a business on Malta they were given a large tax break with benefits. They enjoyed a flat 15% tax rate on all income brought into Malta, including pensions. The minimum tax due per year is €4,192.50. There were no capital gains taxes to be paid on any capital gains coming from outside of Malta. There is no capital tax, wealth tax or inheritance tax in Malta either, which make Malta especially attractive to those that wish to preserve their wealth instead of paying increasing taxes for benefits of which they do not make use. (This is still the case.)
To Qualify for Permanent Residence:
- You could not be a citizen of Malta.
- Your yearly income must have been at least €23,000 and it must have come from outside of Malta. If you did not have this income you must have had in your possession a capital of no less than €349,000.
- The minimum income amount remitted to Malta must not have been less than €13,950 with an added €2,300 per dependant if applicable.
- You must have bought an apartment costing no less than €69,000 or a house not less than €116,000. You were also allowed to rent non movable property at no less than €4,150 per year. In the case of 3rd country nationals the minimum costs were €105,000 for an apartment and €170,000 for a house.
- You could not work in Malta, nor were you eligible to own a business in Malta.
Unfortunately as of 2011 the Maltese Government has suspended the Permanent Residency Scheme. Though they haven’t given reason they say that a revised Residency Scheme is going to be unveiled in the coming months. Those wishing to apply for this scheme can still go and have their papers stamped while in Malta but no Permanent Residency permits will be issued until the revised scheme is brought forth.
It is likely that some of the same criteria will be applicable in the new laws, but which ones remains to be seen.
Try Before You Buy, Visiting Malta Before Moving
Posted: 30/05/2011 Filed under: Living in Malta, Working In Malta Leave a comment »
With the favourable tax laws, lush climate and friendly people, it is no wonder that Malta is getting the reputation for many British as a great place to move. And it is. But, it is also important to do your preliminary research before deciding to move to Malta. If you haven’t visited Malta, that should definitely be your very first step. Why? Because you shouldn’t move to a place that you have not checked out first. You would not move to a new house sight unseen would you? Then why would you want to move to an entirely new country before checking it out and making sure that the culture suits you and your family?
There are many things to consider when moving a family to another country.
- Schools: Are there schools that will meet the needs of your children? If you have special needs children, this is an even more critical step when researching a new country.
- Location: Where will you live? Are you accustomed to a city environment or a country environment. Malta does have large cities, but nothing like the large cities of the UK, and the small towns will be different from what you are accustomed to at home.
- Bureaucracy: Will you be able to navigate the bureaucracy? Will you be able to adjust to the way of doing things in Malta? You should probably consult with other expats to find out the ups and downs of living in Malta.
- Medicine: Do you have medical issues that will need regular treatment? Make sure that there are facilities available in Malta, and that the medication that you might need is also available.
These are just a few of the reasons that you might want to visit Malta before packing your things and moving. Overall, it is simply a good idea to look before you buy as they say. If you can, go and stay for an extended holiday first to make sure that the culture, lifestyle and land suit you. And that means making sure that everything from the grocery stores to the beaches will suit. If you are accustomed to certain things, and have little intention of changing the way that you do things, and international move might not be the best step. On the other hand, if you are open to adventure, Malta is a great first step, and one that is relatively inexpensive and welcoming.
How to Obtain an Employment License in Malta
Posted: 27/05/2011 Filed under: Living in Malta, Working In Malta Leave a comment »
All foreign persons, including citizens of the European Union, must obtain an employment license before they will be allowed to work and collect wages in Malta. The only exception to the rule is self employment. If you own your own business in Malta you do not need an employment license to work there.
You can apply for an employment license in Malta and collect wages on a Temporary Residence status if you are applying for the Ordinary Residence scheme within 3 months. If you have arranged for employment in Malta, often your new employer will send you the forms you need to apply.
The Maltese government says that it is very restrictive with its employment licenses and will only issue one to a foreigner if the company or business hiring has tried very hard and made every effort to employ a Maltese citizen first. Speaking to citizens I have found that while this is official policy it isn’t that strict. If there are a lot of Maltese citizens without jobs then they try to make sure the policy is followed but you are sure to find that EU Nationals are treated equally in almost every other situation.
In order to obtain an employment license you must meet the following requirements:
- You must already have a job offer from an employer in Malta.
- You must have a skill or qualification that is needed in Malta.
- The area of employment you are going in to must be in high demand in Malta such as construction workers or nurses.
Your employer can submit a request to the Director of Labor once these requirements are met and an employment license will be issued.
Licenses are valid for up to a year but your employer can request a license be valid for up to three years. An employment license is renewable every year as long as it can be justified.
A residence permit is automatically granted with an employment license but this does not automatically make your spouse eligible to work. You will need to look into this once you arrive.
Permanent employment licenses are granted on a case by case basis.
How to Obtain a Residency Permit and Identification Card in Malta
Posted: 26/05/2011 Filed under: Living in Malta, Working In Malta | Tags: Working In Malta Leave a comment »
Before you can apply for residency in Malta you will need to obtain several documents or at least collate them into one place so that you have them all at hand. One of the things you will need is a residency permit.
Residency permit applications can only be submitted in the Capital of Malta at:
Department for Citizenship and Expatriates Affairs, 3 Castille Place, Valetta, Malta.
You can apply in person or by mail. When you are applying by mail make sure you include photocopies of all relevant documents such as your passport (include every page of your passport), and identification cards authenticated by a police officer. You will also need your passport and your identification cards in order to pick up the permit when you are approved.
The residency permit forms are available in person in the Department for Citizenship and Expatriates Affairs in Valetta, or you can find it available for download, at which point it is a simple matter to print it and begin the process.
Residency permit applications can be submitted by a proxy (by someone other than yourself on behalf of you) but when the residency permit document is released the only person who can pick it up is you.
It would be a good idea then to plan ahead a little here. You can send a proxy with your application or mail it in, and when you find out that the permit is ready you can come to Malta as a tourist to take care of the rest of the paperwork and find a place to live.
While there you can apply for your Malta Identification card, also in Valetta. You can apply at:
Identity Card Section, Evans Building, St Elmo Place, Valletta VLT 2000
The application forms as well as the opening hours of operation are all available online as well as in person if you walk in. You must apply in person for the Identification card; you may not use a proxy. This is undoubtedly so that the identification officers can see that you are who you say you are. That’s natural, but this is still a far smoother process than in many other European countries.
