Government unveils policy to bring order to foreign worker market
Maltese government unveils labour migration policy to address employment of non-EU nationals • Policy aims to discourage and penalise constant turnover of foreign workers
Employers who make any worker redundant, including Maltese nationals, will be unable to recruit a non-EU national for the same job in the following 12 months.
The measure, intended to encourage employers to retain their workforce, is one of 32 recommendations being made in the labour migration policy unveiled on Wednesday.
The policy piloted by Home Affairs and Jobs Minister Byron Camilleri has been issued for public consultation and feedback is expected by 9 February. The government intends to implement the policy over the coming 12 months in a staggered approach.
The underlying basis of the policy is to create stability by reducing the turnover rate of foreign workers and curb abuse of workers.
To this end, the policy will also introduce minimum termination rates for companies that seek work permits for third country nationals. A small firm, classified as a company that employs between 10 and 50 workers, with a termination rate above 50% of its workforce in the previous 12 months will have any new application for third country nationals refused.
Lower thresholds apply for medium and large firms but micro firms, which employ between one and nine employees, are exempt from this condition.
Higher first-time application fees, lower renewal fees
To encourage employee retention, the fee for first-time applications will increase from €300 to €600, while renewal applications for single-permit applications will go down to €150 annually. However, the health and care sectors will be given privileged treatment with lower entry fees, meant to prioritise areas in which Malta needs workers.
Additionally, the renewal period after the first year will be for two years for foreign workers who are given a two-year work contract by their employer.
The policy also introduces a condition on employers requiring them to issue a vacancy that allows sufficient time for Maltese, EEA, Swiss nationals or TCNs already in Malta to apply, before engaging new non-EU nationals.
Once again, the health sector and that of the care of the elderly and persons with a disability are exempt from this condition.
Employers will also have limits on the number of applications they can file to employ third country nationals, depending on the company size.
Wages paid to bank account
The policy will also make it mandatory on companies to pay the wages of non-EU nationals directly into a bank account to enhance the monitoring of employment contract conditions. Cash payments will no longer be recognised as fulfilling the requirements of the employment contract and will carry consequences for employers. However, this measure will apply to new entrants in the labour market and those foreigners who already are in Malta but seek to change employer.
The policy also makes it easier for foreign workers whose job has been terminated to seek alternative employment. These individuals will not be required to leave immediately but will be given a 30-day grace period that can be extended by another 30 days. This is intended to retain existing workers rather than depend on newcomers.
Additionally, partners of Maltese nationals and parents of Maltese nationals under 23 will be issued with a residence permit that entitles them to seek employment.
The policy also emphasises greater enforcement with an emphasis on desk investigations to determine whether employers are adhering to existing labour legislation. Failure to comply could lead to disqualification from accessing the labour market for non-EU nationals.
The government also intends to establish a high-risk country list depending on security, public policy or public health concerns.
Non-EU nationals will also be required to undergo an integration course prior to arrival in Malta. This will include information on Malta’s laws, practices, traditions and values.
Fighting human trafficking
In a bid to fight human trafficking, victims who apply for a residence permit shall be exempt from the application fee and will be issued with a residence permit that will be valid for one year instead of current six months.
The permit will be renewed throughout the whole period and duration of court proceedings.
More to follow.
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