As we once again pause to honour the contributions of workers across every sector on Workers’ Day, it is both fitting and necessary to reflect on the significant strides Malta has made over the past year in strengthening the rights and protections afforded to its workforce. The past year has brought with it a series of reforms that touch on some of the most sensitive moments in an employee’s life as more importance is being given to work-life balance.
The following is an overview of the key legislative developments of the past year, together with a look at what still lies ahead.
1. Miscarriage Leave: Filling a Difficult Gap
Among the most compassionate legislative developments of this year is the introduction of the Miscarriage Leave Regulations (Subsidiary Legislation 452.138), which came into force on the 1st of January 2026. These Regulations introduce a dedicated period of paid leave available to employees in the unfortunate event of a miscarriage, defined as the spontaneous or medically anticipated loss of pregnancy occurring before the twenty-second (22nd) week of pregnancy.
Every worker, regardless of gender, sexual orientation, civil or family status, type of contract, or whether employed in the public or private sector, is entitled to seven (7) consecutive calendar days of paid leave, to be availed of immediately following the miscarriage. Critically, this entitlement applies on an individual basis to both the worker who experiences the miscarriage and to the other prospective parent. Employment rights accrued prior to the commencement of miscarriage leave are fully safeguarded, and employees are entitled to return to their same role upon its conclusion.
This development is a long-overdue recognition of the profound emotional and physical toll that pregnancy loss can have on working parents, and a significant step in ensuring that employees are supported rather than left to navigate such moments alone.
2. Special Parental Bereavement Leave
Alongside miscarriage leave, Legal Notice 275 of 2025 amended the Minimum Special Leave Entitlement Regulations (S.L. 452.101) to introduce Special Parental Bereavement Leave, also effective from the 1st of January 2026. This new entitlement grants employees up to seven (7) working days of paid leave on the death of a child under the age of eighteen (18) years.
This leave is granted entirely without prejudice to, and in addition to, ordinary bereavement leave already provided at law.
The introduction of this entitlement represents a significant improvement upon the previous position, under which employees who lost a child were in many cases entitled to only one (1) working day of bereavement leave. That a parent grieving the loss of a child should have meaningful time to do so, without fear of wage loss, reflects the kind of humane and modern approach to employment law that workers deserve.
3. Parental Leave for Children Born Abroad
In one of the most recent developments, Legal Notice 102 of 2026, published on the 21st of April 2026 and due to come into force within two months of its publication, amends the Work-Life Balance for Parents and Carers Regulations (S.L. 452.125) to extend parental leave rights to parents of children born abroad.
Previously, the applicable legislative framework did not adequately address circumstances in which a child is born outside Malta, leaving a category of working parents without full access to the parental leave entitlements available to others. The amendment closes this gap, ensuring that eligible employees are entitled to an uninterrupted period of eighteen (18) weeks’ leave, with the first fourteen (14) weeks to be paid at full wages by the employer and any remaining weeks compensated in accordance with the Social Security Act.
These changes reflect a broader policy commitment to recognising diverse family structures and circumstances within Malta’s employment law framework.
4. Sick Leave from the First Day of Employment
For many years, inconsistencies in the application of sick leave entitlements across different sectors meant that certain employees were required to wait up to a year before qualifying for sick leave.
In virtue of a number of Legal Notices issued yesterday, the 30th April 2026, the previous Wage Regulations Orders were amended and titled Conditions of Work Regulation Orders. Under these new Conditions of Work Regulation Orders, sick leave will be calculated on a pro-rata basis from the date of commencement of employment, meaning that an employee who begins work halfway through the year will be entitled to a proportionate share of their annual sick leave entitlement. These amendments ensure that basic employment protections are consistent and equitable regardless of the sector in which an employee works, removing the long-standing inconsistency and ensuring that employees are not left without protection against illness simply because they are new to a job.
5. Strengthening Protections Under the Employment and Industrial Relations Act
One of the more foundational changes of this period came into force on the 6th of August 2025, in virtue of amendments to the Employment and Industrial Relations Act. Two significant adjustments were introduced. First, the prescriptive period for criminal proceedings under EIRA was extended from one year to two years. This change allows the Department of Industrial and Employment Relations greater scope to investigate and act upon breaches of employment conditions.
Second, the amendments substantially increased the fines applicable to employers found in breach of recognised employment conditions. Where the previous penalty ranged from approximately €232.94 to €2,329.37, a first offence now carries a fine of between €2,000 and €5,000, while repeat offenders face fines ranging from €5,000 to €7,000. These changes send a clear message that compliance with employment law is not optional, and that the consequences of non-compliance are now far more significant.
Employers would do well to review their employment records and internal processes to ensure these are robust, consistent, and capable of withstanding scrutiny over a longer timeframe.
6. Eliminating Violence and Harassment at the Workplace
A landmark development in this year’s legislative calendar is the enactment of Act XI of 2026 on the 2nd of April 2026, which amends the EIRA to introduce comprehensive protections against violence and harassment within the work environment.
The newly introduced Article 29A expressly renders unlawful any conduct amounting to violence or harassment in a work environment, while also affirming a positive duty on both employers and employees to endeavour to respect each other’s right to a workplace free from such conduct. The term “violence and harassment” is broadly defined to encompass unacceptable behaviour, practices, or omissions, whether occurring as a single incident or repeatedly, that result in or are likely to result in physical, psychological, sexual, or economic harm or suffering. This includes conduct that is physical, verbal, written, or carried out online, as well as situations where a person creates or permits an environment of intimidation, hostility, or abuse.
Importantly, the scope of protection under the Act is notably wide. Protection extends not only to current employees but also to trainees, interns, apprentices, volunteers, individuals whose employment has been terminated, and prospective employees participating in recruitment processes. Complaints regarding workplace violence and harassment can be addressed through existing mechanisms, including proceedings before the Industrial Tribunal. Criminal sanctions are likewise introduced for cases of breach, effectively criminalising certain forms of workplace bullying.
Employers are now required to take stock of their obligations under the new Act and to review their internal policies, codes of conduct, and complaint-handling procedures to ensure compliance with this significantly strengthened legal framework.
7. Preparing for the EU Pay Transparency Directive
On the 27th of June 2025, Malta published Legal Notice 112 of 2025, marking its first formal step towards transposing the Directive into national law. The provisions came into force on the 27th of August 2025.
Under these initial measures, employers are required to provide job applicants with the initial salary or salary range applicable to a role before the commencement of employment. Current employees may also request information on their individual gross annual pay and the pay levels of colleagues performing the same or comparable work, to which employers must respond within two (2) months.
This is only the first step into fully transposing the Pay Transparency Directive which is to be fully transposed by the 7th June 2026. Once fully transposed, employers will be legally to obliged conduct pay audits, introduce gender-neutral job evaluation and classification systems, and report pay gap data on a regular basis. Employers with 150 or more employees will be required to submit their first gender pay gap reports in June 2027, based on 2026 data.
All of the amendments which took place in the past year, demonstrate that employment law is moving towards a more humane approach to employee rights, wherein the employee’s personal and family needs are put at the forefront.
On this Workers’ Day, we recognise not only the dedication of Malta’s workforce, but also the continued effort of employers in ensuring that their employees feel supported at every stage of their working lives.
For assistance with employment law matters, including guidance on the new leave entitlements, workplace policies, or preparations for the EU Pay Transparency Directive, you are welcome to contact a member of our Employment Law Department.
