Setting Up an Employment Agency in Malta

In accordance with Subsidiary Legislation S.L. 452.130

Definition of Employment Agency or Employment Business

Under Maltese law, the terms “employment agency” or “employment business” refer to any natural or legal person carrying out any of the following activities in Malta:

1. a) The recruitment of persons for employment either in Malta or abroad;
   b) Operation as a temporary work agency; or
   c) Operation as an outsourcing agency.

Categories of Employment Agencies

Recruitment Agencies

These agencies facilitate the hiring process by providing services such as advertising job vacancies, conducting interviews, and screening applicants.

Temporary Work Agencies

These agencies employ temporary workers and assign them to user undertakings to work under the supervision, direction, and control of the user undertaking for a temporary period.

Outsourcing Agencies

These agencies employ workers and assign them to user undertakings to perform work — either on-site or remotely — under the supervision, direction, and control of the agency itself, rather than that of the user undertaking.

Licensing Requirement

The operation of recruitment, temporary work, or outsourcing agencies in Malta — whether by a natural or legal person — is regulated by law.
All such businesses must be licensed by the Department of Industrial and Employment Relations (DIER) before commencing operations.

Licence Application Process

Applications for a licence must be submitted through the Employment Agencies Online Portal, together with all required documentation listed below.

Licence Fees

• Recruitment Services: €3,000 upon the submission of a first-time application, and €3,000 for each licence renewal.
• Temporary Work or Outsourcing Agencies: €3,000 upon the submission of a first-time application, and €3,000 for each licence renewal.

Note: Application and renewal fees are non-refundable, even if the application is refused.

Licensing Requirements

The following is a non-exhaustive list of documents and requisites necessary for obtaining a licence:

1. A duly completed application form that complies with DIER requirements, including the name, registered address, and registration number of the legal person.
2. At least 21 days prior to submission, the applicant must display a public notice of the intended application at or near the premises from which the agency will operate. The notice must remain visible for the full 21-day period.
3. At least 21 days prior to submission, the applicant must publish a notice of the intended application in two daily Maltese newspapers — one in English and one in Maltese.
4. The address of the premises from which the business will operate, supported by a valid permit confirming the premises are approved for commercial use.
5. A detailed description of the activities to be carried out.
6. A description of the services to be provided.
7. A statement outlining the method of financing for the employment agency or business.
8. A declaration confirming compliance with the public notice and newspaper publication requirements listed in (b) and (c).
9. The name, address, identification number, and curriculum vitae of the competent person responsible for the proper management of the employment agency/business.
10. Proof of a bank guarantee, as required by law.

Duration and Display of Licence

Upon the recommendation of the legally established Working Committee, the Director may issue a licence authorizing the operation of an employment agency or business for a period of two (2) years, commencing on the date specified in the licence.

The licence, together with a copy of the relevant Regulations, must be displayed prominently at the business premises where the licensed activity is conducted at all times.