Published on 8th January 2025, by the Ministry of Home Affairs, Security and Employment, and updated on 14th July 2025, the Malta Labour Migration Policy (MLMP) will take into effect starting August 2025.

This policy, builds on the recommendations outlined by the Government in the National Employment Policy 2021-2030, aims to ensure that economic migration addresses future and current labour market needs, focusing on worker’s rights and dignity. In addition, the MLMP is based on four guiding principles which are:

1) Retention and stability

2) Protection of employee rights and enhancing working conditions

3) Aligning labour migration with labour market needs

4) A skills-based approach to migration

Over the last decade, the rapid growth of the Maltese economy triggered a strong demand of labour. Nevertheless, the ageing population and the low fertility rate in Malta cannot respond to this demand. That is why labour migration became a solution, as it supports Malta’s economic growth by filling gaps.

However, for the past 5 years, many cases of workplace exploitation of foreign workers, especially third-country nationals, have been reported in Malta. To tackle this kind of abuse, protect all workers rights, and manage economic migration fairly, the Ministry of Home Affairs, Security and Employment have created 32 recommendations, which will be implemented between August 2025 and July 2026.

Starting August 2025, 12 of the MLMP recommendations will be applicable. During this first phase of transition, the rate of foreign workers who work in small, medium, and large companies, will gradually decrease. This new measure is allowed by the Labour Market Need Test (LMNT). It uses technology and transparency to control the number of workers who come in Malta and the sector they will be working in.

Nevertheless, some workers are exempt to the LMNT’s measure. Indeed, exceptions apply on occupations considered as essential for maintaining Malta’s critical services, students’ workers recognised under the Subsidiary Legislation 212.8, third-country nationals eligible under the Key Employment initiative and sportspersons.

Finally, the second phase of implementation will occur from October 2025, when salary payments to third-country nationals must be conducted exclusively through electronic payments and via licensed financial institutions. Therefore, cash payments will no longer be recognised as fulfilling the requirements of the employment contract.

If you want to discover more about Malta Labour Migration Policy, contact us at info@pkfmalta.com.