- Overview: Malta
- Global PEO and Payroll
- Global HR Compliance
- Work permit for hiring expats via PEO
- Expand without a company set up
- Contractor vs. employee: which is better?
Global Employer of Record (EOR) in Malta
Global Employment Services in Malta
In recent years, Malta has emerged as a highly sought-after location for businesses seeking to expand their global operations. The government’s proactive approach to creating a favourable business environment has attracted foreign investment, particularly in the fast-growing tech, finance, gaming, and hospitality sectors.
The Maltese government has implemented various policies and initiatives to encourage foreign investment and promote a business-friendly atmosphere. Among them is the establishment of the Malta Digital Innovation Authority, which serves as a regulatory body for the blockchain and digital innovation sectors. This initiative and others have contributed to Malta’s reputation as an attractive destination for businesses seeking to grow and succeed in the global marketplace.
As a result, global employment services have flourished in Malta, offering a range of solutions to meet the needs of employers and job seekers alike.
From recruitment and HR management to payroll and HR compliance services, companies operating in Malta and beyond can find various options to support their global expansion plans. One such option is Acumen International’s Global Employer of Record (EOR) services, which help businesses hire and manage employees in over 190 countries without establishing a legal entity in each location.
From Recruitment to Termination: End-to-End Solutions for Global Employment by Acumen International
When it comes to global employment, businesses must navigate no shortage of challenges. From legal and regulatory compliance to managing payroll and benefits, employers face many complex requirements when hiring and managing a global workforce. That’s where Acumen International comes in.
Our end-to-end Global Employer of Record services provide a seamless, comprehensive solution for businesses expanding their operations abroad. We offer support at every stage of the employment journey, from recruitment and onboarding to management and retention and termination.
With Acumen International, you can rest assured that you’ll have access to the compliance and legal guidance you need to stay on the right side of local regulations. Our team of experts is available 24/7 to provide the local support you need, no matter where you’re operating.
1. Recruitment |
2. Global Mobility |
3. Checks |
4. Onboarding |
5. Payroll Administration |
6. Working Time & PTO Processing |
7. Benefits Administration |
8. Tax Administration & Reporting |
Offboarding |
| Talent skilled in highly-specialized areas | Employee Work Visa and Work Permit sponsorship | Health checks | Employment Agreement drafting | In-country registration with statutory bodies | Working hours | Mandatory Benefits | Tax Reporting frequency and requirements; | Employment agreement termination: |
| Executive search | Dependent Visa | Criminal record checks | Compliant worker onboarding on your behalf | Day-to-day payroll management | Overtime | Health insurance | Employer taxes & contributions | Dismissal – by the employer |
| Contingency workforce | Visa extension | Background checks | Account setup in the payroll and HR system | Monthly pay slips or other pay frequency | Public holidays | Workers’ compensation | Employee taxes & contributions | Resignation – by the employee |
| Application for a sponsor license for a foreign national | Education checks | Employee data entry and records maintenance | Accruals | Annual leave | Unemployment insurance | Withholding tax | Termination by mutual agreement | |
| Relocation assistance | Managing probation periods | Allowances | Parental leave | Voluntary Benefits | Local tax payments and reporting to local authorities | Notice period handling | ||
| 13th and 14th salary | Sick leave | Share plans for executives | End of financial year reporting | Final settlement & severance payments | ||||
| Additional leave | Bonuses & Equipment provision | De-registration with statutory bodies | ||||||
| Expenses reimbursement & business trip processing | ||||||||
| Health insurance, dental treatment |
What Is an Employer of Record?
Different businesses have different needs when it comes to hiring employees. The Employer of Record international talent engagement model may be a good fit for fast-growing tech businesses and startups that need to take on people quickly and easily.
The Global Employer of Record (EOR) is a valuable solution for businesses that need to quickly and easily hire employees, particularly in foreign countries. This engagement model is especially beneficial for fast-growing tech businesses and startups.
This means that the EOR is responsible for all HR-related tasks, such as hiring, onboarding, payroll, compliance, and benefits administration. At the same time, the client company retains full control over the employees’ day-to-day work and responsibilities. The EOR takes on the legal and financial liability of employing the workers, which can help the partner company to reduce risk and lower costs associated with setting up a separate legal entity in a foreign country.
Simply put, a Global EOR acts as a third-party business that employs workers on behalf of another company. This arrangement is ideal for businesses that want to hire employees in a foreign country but do not want to set up a separate legal entity or branch in that jurisdiction. By using a Global EOR, businesses can save time and money on legal and administrative processes associated with establishing a separate legal entity in a target country.
Benefits of Using a Global Employer of Record in Malta
Using a Global Employer of Record in Malta can provide numerous benefits for businesses looking to expand their global workforce while ensuring compliance with local employment laws and regulations.
| Benefit | Explanation |
| Fast and compliant talent onboarding | With a Global Employer of Record, you can quickly and easily onboard new employees in Malta while ensuring full compliance with local employment laws. |
| Payroll administration | A Global Employer of Record can handle all aspects of payroll administration, including calculating and withholding taxes, processing payments, and issuing payslips. |
| Tax reporting | Your Global Employer of Record can handle all tax reporting and compliance requirements, including filing tax returns and ensuring that your employees are correctly classified for tax purposes. |
| Higher talent retention | Offering competitive compensation packages and comprehensive benefits can help you attract and retain top talent in Malta, boosting your business’s overall success. |
| Lower costs compared to local entity setup | Setting up a local entity in Malta can be expensive and time-consuming while using a Global Employer of Record can provide a more cost-effective and streamlined solution. |
| Comprehensive benefits packages at competitive prices | A Global Employer of Record can offer comprehensive benefits packages to your employees at competitive prices, including health insurance, retirement plans, and more. |
| Employment contracts are 100% compliant with local laws | Your Global Employer of Record can provide employment contracts that fully comply with local laws and regulations, ensuring you meet all legal requirements for employment in Malta. |
| Employment law and tax compliance | A Global Employer of Record can help you navigate the complex landscape of employment law and tax compliance in Malta, ensuring you remain fully compliant with all regulations and requirements. |
| 24/7 in-country HR support | With in-country HR support, your business can access expert advice and support on all HR-related issues, including employment contracts, benefits, and compliance, at any time. |
Triggering Permanent Establishment Risk in Malta
Employers should be aware of the potential for inadvertently creating a permanent establishment using third-party employment models. Permanent Establishments (PEs) are legal entities ordinarily created when local branches are opened for business or when senior managers and salespeople are hired to work in a specific location.
As a business owner, you may feel overwhelmed by the tax implications of expanding your business overseas. However, new ideas exist to reduce complexity and ease the burden on busy entrepreneurs. In this article, we’ll explore some of the best ways to reduce the complexity of tax planning for international expansion.
If you’re thinking about using an Employer of Record (EOR) talent engagement model for your business, it’s becoming increasingly popular. Here’s how it works: a third-party company operates a local entity in each jurisdiction where it offers services. This can be a great way to comply with various laws and regulations.
Here’s how the Employer of Record arrangement works. A new business owner approaches an EOR company to hire a remote worker based in a different jurisdiction, such as Malta. Rather than the business owner having to establish a new company or register a branch locally, the employee can be employed by our local EOR company. All attendant costs associated with this arrangement are then charged to the client company for a fee. This can be a more efficient and cost-effective way of doing business for the employer and the employee. Many start-ups like this idea because it gives them the flexibility to focus on getting their business up and running in Malta.
Employer of Record: Global Employment, Tax Considerations, Liabilities, and Risk Transfer in Malta
Global employment compliance is a complex and ever-changing field. The risks and liabilities associated with your employees’ tax considerations, employee privacy, data protection, and IP rights, liability for employee misconduct, employee compensation and benefits, hiring and termination practices and procedures, compliance with labour laws and regulations in the host country and abroad, including those relating to visas, work permits, and immigration status in Malta.
Compliance with labor laws and tax regulations can be complex because they are often inconsistent from country to country, state to state, or city. As a result of these inconsistencies, employers must ensure that their global human resource policies are consistent with local laws wherever their employees or independent contractors work.
When setting up an international operation, it is important to consult legal counsel or partner with a Global Employer or Record who has experience in dealing with these issues in Malta so that you do not run afoul of the law by inadvertently violating any employment.
When it comes to taxes, there is no universal agreement on how they should be calculated or collected. In many countries worldwide, income taxes are deducted from employees’ paychecks before they receive them. This is known as the “withholding” tax. In some countries, employers are responsible for collecting withholding tax directly from their employees and submitting it to the government along with their tax filings. Many countries also have strict rules about when employment-related taxes must be paid and what forms must be filed.
In some cases, these requirements change depending on which country the employee is working in.
Multinational employers should know the tax implications of hiring foreign workers in different countries. Some cases may withhold taxes on employee salaries and bonuses that must be paid to foreign governments. Employers must regularly send this withholding amount to the appropriate state tax authority annually. The employer may also pay income tax on these funds locally or in another country. In addition, many countries impose social security taxes on employees, which can result in double taxation if not correctly managed. A global Employer of Record can relieve the burden of employment tax administration and report in Malta.
Global EOR (Employer of Record) Services: Save Up to 75-80% of Employee Management Cost in Malta
| Average Cost & Time | Our Solution * | |
|---|---|---|
| Time to Market | 10+ weeks | 72 hours |
| Legal Advisors Fees | $ 10 000 + | …………. |
| Official Employment & Benefits | $ 20 000 + | …………. |
| Incorporation & Liquidation Costs | $ 11 000 + | …………. |
| Bank Account Setup | $ 2 000 + | …………. |
| Maintenance costs, in-house staff to manage the foreign entity, payroll, and administration. | $ 25 000+ | …………. |
| The approximate total cost of new market entry** | $ 74 000 + | $ 15 000 |
* Per one Employee
** Costs vary from country to country
Why Choose Acumen International Employer of Record in Malta?
- Global HR compliance and local expertise
- Your trusted Employer of Record partner in 190+ countries.
- One point of contact for all countries
- One global service agreement for current and future countries
- One invoice
- Accurate and timely payroll
- Immigration and work permit sponsorship
- Employment contracts drafting, 100% in-country compliance
- The English-speaking global service team and local languages speaking support
- 24/7 client service is available in all time zones.
Employ Pre-selected Workforce in Malta via Employer of Record (EOR)
Acumen’s Global employment services are designed to provide our clients with professional assistance to meet their global HR needs, such as:
- Global talent acquisition and retention
- Global expansion to help you quickly enter new global markets without legal and HR compliance risks.
- Local support for international clients and their ex-pat employees
Businesses desiring to hire local employees should be prepared to pay competitive salaries to attract and retain the most qualified candidates. Acumen International serves end employers and service companies representing international clients as a global employment organization.
Acumen’s Employer of Record (EOR) service in Malta offers an efficient and inexpensive alternative to direct hire. Our solution allows companies to operate in Malta and 190 international markets where we serve clients without registering as a local business entity.
Legally Onboard and Payroll your Employees in Malta with EOR Global Employment Solution
Reduce risks while expanding your business without establishing your legal entity in Malta. Leave it to Acumen to hire and compensate your employees on your behalf, so you can focus on growing your business.
Acumen’s EOR global employment solution helps businesses overcome legal challenges by hiring and compensating their local and ex-pat workforce in Malta on your behalf risk-free and cost-effectively.
Partner with Acumen International, and let us help you handle your global employment and HR needs. You can trust Acumen to handle your workforce management’s global employment and HR details in Malta to ensure compliance with in-country employment laws and changing COVID-19 regulations.
In addition to legally onboarding local citizens, we can organize work permits and business visa sponsorship for your expatriate team via our Employer of Record and employ them on your behalf once legal permissions have been attained.
With Acumen, you can rest assured that all legal requirements are met for compliant hiring and compensating your local and expatriate employees in Malta and the 190 countries where we serve our international clients.
Comprehensive Employer of Record (EOR) Packages and Budget-friendly Rates
With affordable packages and budget-friendly rates, Acumen International can offer secure, efficient global HR services to manage Global Payroll, HR & Benefits Administrations for businesses that need international talent but don’t have the resources or skills to handle it themselves.
Our full-service management solutions — from legal talent employment to benefits management, from compliance to payroll and taxation — are tailored to each client’s needs.
Acumen International’s unique and integrated approach allows us to offer a comprehensive array of Global EOR functions, including:
- Processing Immigration requirements
- Visa applications & extensions
- Work permit sponsorships
- Streamline onboarding, benefits, payroll, PTO
- Local labour law compliance
- Audit-proof compliance requirements
- Employee benefit management
- Handling employment contracts, terminations, and compensation
- Processing medical insurance and benefits
- Payroll, including year-end tax statements
- Relocation services & housing
- Benefit management
- Special needs or requirements
- Multi-country employment without limitations
- Handling contract workers and ex-pat workforce management
- Compliant employment or termination within 72 hours.
Spotlight on Malta
The Republic of Malta is an island country in Southern Europe in the centre of the Mediterranean, south of Sicily (Italy). Being an EU member, Malta has an advanced economy. The country has successfully attracted gaming businesses, aircraft and ship registration, credit-card issuing banking licenses, and fund administration.
- Capital: Valletta.
- Languages: Maltese, English.
- Currency: Euro (EUR).
- Population: 464,186.
- Labour Force: 223,000.
- Developing Industries: Malta’s services sector continues to grow, with sustained growth in the financial and online gaming sectors. The key industries are tourism, electronics, shipbuilding and repair, construction, food and beverages, pharmaceuticals, footwear, clothing, tobacco, aviation, and information technology.
- Trading Partners: Malta’s economy depends on foreign trade in goods and services, principally with Europe. The main trading partners are Germany, France, and Italy.
- Minimum wage: The national minimum wage for full-time employees is 182.83 EUR per week for an employee aged 18 and over, 176.05 EUR per week for an employee aged 17, and 173.21 EUR per week for an employee aged under 17. The national minimum wage for part-time employees is calculated pro-rata at the same hourly rate as a comparable full-time employee in accordance with the relevant Wage Regulation Order.
- 13th salary: The law has no provisions regarding the thirteenth salary.
Employ your Selected Workforce via Acumen Employer of Record (EOR) in Malta
At Acumen International, we understand international companies’ challenges when expanding their global reach and hiring the best talent for their projects. That’s why we’ve designed our Global Employer of Record (EOR) solution to simplify the process and help you achieve your goals.
Our Employer of Record service in Malta offers an efficient, cost-effective alternative to direct hiring. With our solution, you can legally engage and pay highly skilled professionals in Malta without the hassle and expense of establishing your own local entity.
Attracting and retaining the most qualified candidates in Malta requires competitive salaries and benefits. As an Employer of Record services provider, Acumen International can help you navigate local regulations and provide competitive compensation packages to your employees, giving you a competitive edge in the market.
By partnering with Acumen International, you can leave the administrative burden of hiring and compensating employees to us, allowing you to focus on growing your business and achieving your goals. With our local expertise and 24/7 support, you can trust that your employees will be legally and compliantly managed and paid while you can enjoy peace of mind and focus on expanding your global reach. Contact us today to learn more about how our Global Employer of Record services can help you achieve success.
Legally Onboard and Payroll your Employees in Malta with Acumen’s Global Employment Solution
Expanding your business into new global markets can be complex, particularly when managing your workforce and complying with local employment laws in Malta. Worker misclassification risk, Permanent Establishment (PE) risk and under-taxation risk are just a few challenges that can arise.
That’s where Acumen International comes in. Our Global Employment services are designed to help you reduce your risks while expanding your business without establishing your own legal entity in Malta. We can handle all the global employment and HR details of your workforce management in Malta to ensure full compliance with in-country employment laws.
Our services include global talent acquisition and retention and global expansion support to help you quickly enter new global markets without legal and HR compliance risks. We also provide local support for international clients and their employees, ensuring they have the necessary resources to succeed in their new environment in Malta.
