Malta: Stricter Labor Market Testing Rules, New Grace Period for Stays, and Other Reforms in Effect

Stricter labor market testing rules. 

• Single permit. Employers must now place one job vacancy on Jobsplus (which then gets automatically posted on the EURES portal) for at least three weeks within the two months preceding the “New (still abroad) Single Permit” application or a relevant “change of employer” application. Previously, employers only had to post a vacancy on a social media site. 

• Key Employee Initiative (KEI) or Specialist Employee Initiative (SEI) permits. Employers must now post job advertisements on Jobsplus for two weeks as part of applications for either a KEI or SEI permit. This also applies to SEI “change of employer” applications (KEI “change of employer” applications remain exempt from job posting obligations). Previously, job advertisements were not necessary for applications for these permit types.  

These rules seek to ensure employers are providing sufficient time for Maltese, European Economic Area, Swiss nationals, or foreign nationals already in the Maltese job market to apply. If employers reject such applicants, they must provide reasons, which Maltese authorities can deem insufficient. 

New grace period following employment termination. 

• Single permit holders whose employment is terminated may remain in Malta for 30 days during which they may seek new employment.  

• This period is extended an additional 30 days if the foreign national can prove sufficient financial resources to support themselves without accessing social assistance.    

• Previously, such individuals would need to leave Malta immediately after their employment was terminated. 

By increasing immigration stability for foreign nationals, this reform is likely to make Malta more attractive to foreign talent – as well as boost long-term retention of such talent. In turn, employers are likely to benefit from a larger pool of candidates. 

Restriction of Single Permit Applications for Non-Work Visa holders.  

• Single permit applications by foreign nationals in Malta on visas not allowing work (e.g. tourist visas) will be rejected. Very limited exceptions apply.  

• Previously, foreign nationals could submit Single Permit applications in-country provided they had legal immigration status. 

By limiting flexibility for foreign nationals to transition to single permits and gain work rights, this reform may reduce the size of the labor market for employers.