The Maltese Government is renewing the wage subsidy scheme for businesses affected by the coronavirus emergency, but it will do so on the basis of the losses incurred, which must be demonstrated through VAT turnover declarations in 2020 compared to the same periods in the previous year.
The new measure was outlined recently at a joint press conference in the presence of Energy and Enterprise Minister Miriam Dalli and Malta Enterprise Chief Executive Officer Kurt Farrugia.
Wage subsidies, which have safeguarded Maltese employment during a difficult year, will no longer refer to fixed annexes that divided companies into categories, entitling each of them to a set monthly amount for each worker.
Now they are looking at those who have been more or less affected by the effects of the restrictions due to the pandemic. Here’s how:
- Companies that have experienced a 55% or greater drop in sales will receive the full wage supplement, i.e. €800 for each employee
- Sales reduction from 45% to 54%: EUR 640
- Sales reduction from 35% to 44%: €480
- Sales reduction from 25% to 34%: €320
- Sales reduction from 25% to 10%: €160
On the other hand, companies that performed better or suffered a loss of sales of less than 9% in the last year will no longer be eligible for wage subsidies, regardless of the sector in which they operate.
Companies that have had to close down will receive a wage supplement equal to their full salary.
Finally, there are some companies that are exempt from VAT, for which it is difficult to have a certified determination of losses: in this case the wage subsidies will refer to the same annexes as last year.
To access the aid linked to the Covid emergency guaranteed by the Maltese Government, rely on the support of the Malta Business Agency.