Comparative Guides

Welcome to Mondaq Comparative Guides - your comparative global Q&A guide.

Our Comparative Guides provide an overview of some of the key points of law and practice and allow you to compare regulatory environments and laws across multiple jurisdictions.

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4. Results: Answers
Talent acquisition
What is the applicable employment regime in your jurisdiction and what specific implications does this have for fintech companies?

Answer ... As an EU member state, Malta is bound to transpose and adhere to the body of EU legislation regulating employment law. In furtherance of the fundamental freedom of movement, EU nationals have the right to work in any EU member state without a work permit. However, this is often not the case for non-EU nationals. Save for those from a number of countries which have entered into agreements with the European Union or have signed bilateral agreements with Malta, third-county nationals wishing to reside and work in Malta will need to apply for a single permit which grants them the right to reside and work in Malta. Acceptance of such third-country nationals will also be subject to labour market testing.

Nonetheless, while the Maltese government is actively seeking to refine the skills of the local workforce in order to meet the demands of this growing industry, it is likely that specialists from the European Union and other third countries will be needed to fill the current gaps in the market. In its FinTech Action Plan, the Malta Financial Services Authority (MFSA) has highlighted that in order to cultivate a robust fintech sector, it is crucial to attract, develop and retain talent within the fields of technology, finance and entrepreneurship. Since the industry is still in its infancy, there is a lack of human resources and a skills shortage, and companies must thus compete for a very limited group of potential candidates. The MFSA shall seek to cultivate the country’s talent pool through national and international initiatives aimed at strengthening the workforce through the provision of academic internships, scholarships, programmes and courses specifically aimed to cater for the fintech sector.

For more information about this answer please contact: Priscilla Mifsud Parker from Chetcuti Cauchi Advocates
How can fintech companies attract specialist talent from overseas where necessary?

Answer ... In order to address the shortage of skilled employees in various areas, Malta is seeking to foster an optimal environment in which tech-savvy individuals with an interest in the fintech industry can flourish professionally. Malta is an EU jurisdiction which offers a good standard of living within a safe environment, making it an ideal destination for those seeking to relocate. Malta has already attracted a growing number of expats within the remote gaming and financial services sphere, and is seeking to position itself as one of the most attractive hubs for employees keen to work within a dynamic fintech industry.

Moreover, Malta already offers attractive fiscal packages to key officers employed by companies which are licensed or recognised by competent authorities.

For more information about this answer please contact: Priscilla Mifsud Parker from Chetcuti Cauchi Advocates