As from January 2021 the methodology of how the wage supplements are being calculated has been significantly revised. 

Whereas before wage supplements were granted in accordance to the NACE code of businesses, now wage supplements will be calculated in accordance to the losses incurred during  COVID-19

 The level of support is being worked out on the difference in turnover for the 6 months from March till October 2019 vis a vis that declared in the 6 months from March till October 2020. This will be ascertained from the submitted VAT declarations and this information will be derived by  Malta Enterprise through the agreement reached with the VAT department.

 Calculation of wage supplements will follow the below scheme :

Percentage Drop in Sales Wage Supplement monthly rate (gross) - Full timers Wage Supplement monthly rate (gross) - Part timers & casuals
55% or greater €800 €500
45% up to 54% €640 €400
35% up to 44% €480 €300
25% up to 34% €320 €200
10% up to 24% €160 €100
Increase in revenue up to 9% drop in sales €0 €0

In the case of businesses that are VAT exempt or newly VAT Registered businesses, the amounts will be paid according to the current scheme whereby the NACE Code is used. Businesses which had to close down due to Public health notices will continue receiving the maximum wage supplements.

Besides the change as explained above, the new scheme will offer as well the opportunity to place new applications for those employees who have been employed in order to replace employees who have voluntary resigned. With respect to this, it is very important that the number of employees receiving wage supplement should not increase beyond the number of employees on wage supplements as of 29th of May 2020.

Businesses receiving wage supplements will be receiving an email with the exact calculations of the funds they will be receiving. They don't need to re-apply with Malta Enterprise.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.