The Employment of Third Country Nationals following the New Labour Migration Policy
With Malta’s new Labour Migration Policy now in force, employers face updated procedures governing the recruitment and employment of third-country nationals (TCNs). From enhanced labour market testing to workforce quotas and electronic salary requirements, the framework aims to balance national priorities with employers’ needs. This article outlines the key changes and their impact on businesses operating in Malta.
Introduction – The Role of JobsPlus
Through the transposition of the EU Single Permit Directive (2014/36/EU) in 2014,[1] the employment procedure for TCNs within the EU changed significantly, as most applicants are now required to obtain a single permit in order to be able to reside and work in the territory of a Member State. This authorisation combines both residence and work rights, and it incorporates the employment licence component issued by Jobsplus, as the local delegated authority to issue employment licences. Although single permit applications are formally submitted through Identità, Jobsplus retains responsibility for assessing and issuing the employment licence.
In the past year alone, Jobsplus processed over 120,000 TCN applications, while its frontline officers assisted more than 30,000 clients in this regard. These figures reflect the scale of migration to Malta for work purposes, with the vast majority of TCNs arriving specifically to take up employment. The type of permit issued depends primarily on the status of the individual, whether, for instance, the person is an economic migrant, a beneficiary of protection, or otherwise, and the declared purpose of their entry. Economic migrants require a single residence and work permit, which combines the approval of Identità and the employment licence issued by Jobsplus. In such cases, Jobsplus’ central role is to perform labour market testing before recommending approval.
The new Labour Migration Policy, which was launched in January 2025 and began to be implemented in August 2025, provides the framework for the country’s approach to the employment of TCNs. The recommendations contained in this Policy are being implemented progressively, with further updates applied as of October 2025. The Policy introduces several measures related to access to residence and employment, the protection of employee rights, the upskilling of TCN workers in Malta, and the reinforcement of labour market testing mechanisms, which constitute Jobsplus’s main area of focus.
Labour Market Testing
Labour market testing itself involves three (3) distinct areas of assessment.
First, Jobsplus examines the situation of the national labour market by analysing the unemployment register to determine whether the vacancy could be filled by Maltese or EU nationals in accordance with the principle of community preference.
“Member States will consider requests for admission to their territories for the purpose of employment only where vacancies in a Member State cannot be filled by national and Community manpower or by non-Community manpower resident on a permanent basis in that Member State and already forming part of that Member State’s regular labour market.”[2]
Employers are therefore expected to demonstrate that they have made sufficient effort to recruit locally before seeking to employ a TCN.
Secondly, Jobsplus conducts due diligence on the individual applicant, verifying their competence, qualifications, and relevant experience. In the case of regulated professions, it consults the relevant authorities to ensure that the necessary recognition or licensing requirements are met.
Thirdly, due diligence is carried out also on the employer to confirm that they meet the required standards, including employing at least one (1) Maltese or EU national, maintaining valid staff lists and turnover records, avoiding redundancies in the preceding year, and being able to justify the need for additional TCN workers.
Jobsplus conducts labour market testing during the first few days of every month. According to the Policy, employers can now view the preliminary outcome, whether successful or not, through the Jobsplus online portal. In addition, the agency verifies whether employers comply with the 2% disability employment quota or have paid the corresponding contribution. The latter stems from the Persons with Disability (Employment) Act (Chapter 210 of the Laws of Malta) Non-compliance in this regard automatically results in the withholding of Jobsplus recommendations for new TCN employment.
Workforce application limit and termination limit
A new control mechanism known as the workforce application limit has also been introduced. This restricts the growth of a company’s TCN workforce within a twelve-(12) month period, depending on company size. Jobsplus monitors this using monthly workforce data from the previous year to calculate permissible growth percentages. Employers who exceed their allowed quota cannot be recommended for additional TCN hires until the ratio is restored. It is therefore essential for employers to ensure that their employment records are kept up to date, especially with respect to TCNs who never arrived to Malta or who have since left, as such records still count towards the quota.
The workforce application limit is calculated monthly based on employee records over the preceding twelve months. Employers can access their pass or fail status online, although detailed reports by Jobsplus are not provided.
Alongside this, the termination quota limits the percentage of employee terminations permitted within a twelve (12) month period. Certain types of terminations are excluded from this calculation, such as internal transfers, promotions, or internships. In this respect, it is important for employers to also note that Jobsplus has created new termination categories within the termination forms to distinguish cases like transfers from temporary employment agencies to end clients, internal promotions or designation changes, and the end of internships or traineeships.
There are also specific exemptions from the workforce and termination quotas. These limits do not apply to employees working in the health sector, care of the elderly or persons with disabilities, or in sports professions. Similarly, applicants under the Key Employee Initiative (KEI) or the EU Blue Card scheme, as well as students enrolled in MQF Level 5 or higher programmes, and beneficiaries of protection or those enjoying special status exemptions, are not subject to these quotas.
Key considerations for employers
As of 1st October 2025, all TCN salaries must be paid electronically. Cash or cheque payments will no longer be accepted as valid proof of remuneration. Employers will be required to submit evidence of such electronic payments during the renewal process to confirm compliance.
Visa conditions have also been clarified. TCNs from visa-free countries, such as certain South American states and Serbia, are required to apply for a single permit within sixty (60) days of their entry into the Schengen area. Furthermore, victims of human trafficking are now granted extended residence rights and simplified access to employment opportunities.
From 1st of October 2025, employers will also have to satisfy new vacancy advertising requirements. Vacancies must be published through both Jobsplus and the EURES platform for a minimum of three (3) weeks, within the two (2) months prior to the application date. This advertising process must be carried out via the Jobsplus Employer Portal, in addition to any other recruitment channels an employer may wish to use.
Employers can either publish a vacancy for general visibility, receiving candidate applications directly, or opt for the expert matching service offered by Jobsplus, whereby the agency proactively matches candidates and provides recruitment support. Vacancies remain valid for two (2) months and can be extended online before expiry. Identità will require the official vacancy report as evidence that this advertising requirement has been fulfilled, even in cases where no candidates have applied.
Vacancy requirements apply only to new applications, not to change-of-employer cases, and employers may renew or reopen vacancies through the portal or by contacting the Vacancy Team. Where Jobsplus has matched candidates to vacancies, employers must log into their online profiles to review and respond.
Jobsplus has also introduced a new electronic form for family members and partners of Maltese nationals, allowing these applicants to receive employment licences issued directly in their name. Minor changes were made to application fees as well, with new applications for asylum seekers now set at sixty Euro (€60) and renewals at forty (€40).
Concluding remarks
Jobsplus has reaffirmed its commitment to maintaining a labour migration framework that balances the needs of employers with national workforce priorities and European obligations. Through enhanced due diligence procedures, increased digital transparency, and closer cooperation with employers, the agency through the Policy truly aims to ensure a sustainable and fair labour market for both local and foreign workers in Malta.
[1] DIRECTIVE 2014/36/EU OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 26 February 2014 on the conditions of entry and stay of third-country nationals for the purpose of employment as seasonal workers;
[2] The principle of Community Preference was an early concept within the European integration framework that originated in the establishment of the European Economic Community (EEC) through the Treaty of Rome (1957). It reflected the idea that goods, services, agricultural products, and workers from member states should receive preferential treatment within the internal market compared to those originating from non-member countries. The rationale behind Community Preference was to strengthen economic cohesion and solidarity among member states, thereby reinforcing the European Single Market and the Customs Union. The principle encouraged intra-Community trade and mobility, ensuring that the benefits of membership, such as market access, employment opportunities, and mutual economic support, were primarily enjoyed by EU citizens and enterprises.
How Can AE Help
Navigating the new migration framework can be complex. At AE Legal, we help employers understand and meet their obligations under Malta’s updated Labour Migration Policy from Jobsplus procedures to workforce quota compliance.
Our team provides clear, practical advice to ensure a smooth and lawful process when employing third-country nationals.
