Malta: Operating a Business

Setting Up a Company

Private Limited Liability Company (LTD): Number of partners: Minimum 1 shareholder, maximum 50 shareholders.
Capital (max/min): Approx. EUR 1,165 minimum with at least 20% to be paid upon subscription.
Shareholders and liability: The liability of the partner is limited to the amount of the capital contributed.
Public Limited Liability Company: Number of partners: Minimum 2 shareholders, maximum 50 shareholders.
Capital (max/min): EUR 47,000 minimum with at least 25% to be paid upon subscription.
Shareholders and liability: The liability of the partner is limited to the amount of the capital contributed.
Sole Trader: Number of partners: 1 partner
Capital (max/min): No minimum capital required.
Shareholders and liability: The liability of the partner is unlimited.
General Partnership: Number of partners: Minimum 2 partners, maximum 20 partners.
Capital (max/min): No minimum capital required.
Shareholders and liability: Each partner is personally and indefinitely responsible for the debts and other commitments on behalf of the company.
Limited Partnership: Number of partners: Minimum 2 partners, maximum 20 partners.
Capital (max/min): No minimum capital required.
Shareholders and liability: At least one of the partners is responsible personally and indefinitely for the debts and other commitments on behalf of the company. Sleeping partners' liability is limited to ther contribution.

The Competent Organisation: Companies should be registered at the Registry of Companies, which is under the guidance of the Malta Financial Services Authority (MFSA).

	2018	2019	2020
Labour Force	236,718	249,860	261,997

Source: International Labour Organization, ILOSTAT database

Source: International Labour Organization, ILOSTAT database

Legal Weekly Duration: The number of normal working hours per week is 40 hours.
Retirement Age: 60 years for women, 61 years for men.
Working Contracts: The work contract is mainly governed by the legal provisions of Conditions of Employment (Regulation) Act. Employment contracts can be on fixed or indefinite term and on a full time or part time basis.
Labour Laws: Consult Doing Business Website, to obtain a summary of the labor regulations that apply to local entreprises.

Minimum Wage: The minimum wage is EUR 784.68 per month in 2021 according to Eurostat.
Average Wage: According to the National Statistical Office of Malta, the average salary was EUR 1,536 per month in 2020.
Social Contributions: Social Security Contributions Paid By Employers: 10% of the employee's weekly salary (for annual salaries higher than 24,986 euros a weekly fixed rate of EUR 48.57 applies)
Social Security Contributions Paid By Employees: 10% of the employee's weekly salary (for annual salaries higher than 24,986 euros a weekly fixed contribution of EUR 48.57 applies)

Social Dialogue and Involvement of Social Partners: The main union of the island is the General Workers' Union - GWU.
The regulations governing the unions are based on the Industrial Relations Act of 1976.
Labour Unions: General Workers' Union of Malta
Unionisation Rate: Trade union membership has grown considerably in the past 20 years. Of around 86,000 members, nearly three-quarters are men. Union representation in the public sector is very strong. Unionization in the private sector is considerably lower than in the public sector. Around one-third of full-time employees of the private sector are covered by collective agreements.
Labour Regulation Bodies: Employment and Training Corporation

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