Lately, we’ve been keeping a close eye on developments in Malta’s labour market, particularly the changes affecting Third-Country Nationals (TCNs). We’re pleased to share that several long-anticipated and positive reforms are finally being introduced. Announced in early July 2025, these updates aim to bring more structure, transparency, and protection to the employment process for non-EU nationals working in Malta.
The labour market reforms will be rolled out in two phases: the first set takes effect on 1 August 2025, followed by further measures on 1 October 2025. From longer grace periods after job termination to tighter employer regulations, the changes reflect a growing commitment to a fairer and more accountable system.
To help you navigate these updates, we’ve also included practical tips under each measure, so if you’re a TCN currently living or working in Malta, you’ll know exactly what to look out for and how to prepare.
✅ Changes Effective from 1 August 2025
1. Extended Grace Period After Job Loss
Third-Country Nationals who lose their job will now have up to 60 days to secure new employment and file a fresh single permit application. This replaces the previous 10-day window, which many criticised as unrealistic and unfair. This 60-day period includes an initial 30-day grace period, which may be extended by another 30 days if a new employer expresses formal interest in hiring the applicant and notifies Identità.
TCNs working in Malta whose employment is terminated will be granted a longer grace period to find aletrantive employment, favouring individuals already familiar with Malta over newcomers.
Patricia graham
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If your employment ends unexpectedly, use this extended period wisely, start job hunting immediately and keep your documents updated to avoid unnecessary delays.
2. Mandatory Vacancy Advertising
Before a company can recruit a non-EU worker, the job must be advertised for at least three weeks on official platforms such as Jobsplus or EURES. This ensures that Maltese and EU nationals are given priority access to the position before it becomes available to Third-Country Nationals.
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Be aware that recruitment may take longer, as employers must now go through a public vacancy phase before offering a role to a non-EU applicant.
3. Employer Accountability and Hiring Caps
From 1 August 2025, new rules will hold employers in Malta accountable for how they treat Third-Country Nationals (TCNs). Companies that repeatedly dismiss non-EU workers without valid reason may be blocked from hiring replacements for the same roles. Jobsplus will closely monitor dismissal patterns, and businesses with high turnover rates among TCN staff will face stricter scrutiny or hiring bans. In addition, new hiring caps will be introduced, limiting how many TCNs a company can employ based on its size: smaller businesses will have lower thresholds than larger ones. These changes are meant to reduce exploitation, promote stable employment, and ensure that employers only hire TCNs when they can offer fair and sustainable conditions.
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When accepting a new job, research the company’s reputation and track record with TCN employment. A stable and compliant employer is now more important than ever.
4. Mandatory Digital Submission of Forms
All engagement and termination forms must now be submitted digitally within four calendar days of the employment event, whether it’s a new hire, resignation, or dismissal. This rule increases transparency and helps authorities keep accurate, up-to-date records of employment. Employers who miss this deadline risk fines or hiring restrictions. For Third-Country Nationals, timely submission means better protection and clear proof of your employment status.
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Keep a copy of your employment start and end confirmation emails or forms. If a company delays submitting your information, you may be able to challenge it.
5. Updated Fees for Work Permits
The application fee for a new single permit or change of employer will increase to €600, while renewals will be reduced to €150. For workers in the health and care sectors, the fee will be set at €150 for both new applications and renewals.
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If you’re planning to change jobs or apply for a new permit, factor in the updated costs. Budget accordingly, especially if you’re in sectors not eligible for the reduced rate.
🕒 Changes Effective from 1 October 2025
1. Mandatory Electronic Salary Payments
All salaries for TCNs must be paid via electronic transfer to a bank account. This rule applies to employment contracts submitted after 1 August 2025, with enforcement starting 1 October. Cash payments will no longer be accepted.
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Make sure you have an active bank account in Malta or with a licensed financial provider. Avoid employers who offer cash-only arrangements, they will not be compliant.
2. Visa-Exempt Applicants Must Apply Within 60 Days
As of 1st October 2025, visa-free nationals from countries like Serbia, Albania, and North Macedonia who apply for their residence or work permit within the first 60 days of their arrival in Malta will receive a temporary document known as the blue paper. This paper allows them to stay legally in Malta while their application is being processed. However, if the application is submitted after the 60-day deadline, they will not be allowed to remain in Malta or anywhere in the Schengen Area during the waiting period and will have to leave the zone until their permit is granted. This measure encourages timely applications and helps avoid any disruption in legal status.
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If you’re already in Malta without a visa, count your days carefully. Submit your application before Day 60 to avoid being forced to leave the country.
3. Fee Waiver for Victims of Human Trafficking
Recognised victims of human trafficking will be exempt from all administrative fees related to labour market applications and permits.
These measures are part of Malta’s broader strategy to regulate the employment of TCNs, ensuring fair treatment and compliance with labour market laws.
Final Thoughts
Malta’s 2025 labour market reforms reflect a turning point in how the country manages its growing foreign workforce. By introducing more structured timelines, digital procedures, and protective measures, the government is working to create a more accountable and worker-friendly system.
For Third-Country Nationals, these changes bring both opportunities and responsibilities. Understanding your rights, acting promptly, and choosing the right employers are now essential steps in ensuring a stable and legal presence in Malta.
If you need help understanding how the new rules apply to you, or ensuring your paperwork is submitted on time, we’re here to help every step of the way.
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