Malta’s labour market continues to demonstrate strong momentum, with the number of employed individuals reaching 327,643 in the first quarter of 2025 – a 4.3 per cent increase over the same period last year.

According to fresh data from the National Statistics Office (NSO), this figure represents 65.8 per cent of the population aged 15 and over.

Despite this growth, 32.3 per cent of this age group (around 160,886 people) remained classified as inactive – neither employed nor unemployed. A further 1.8 per cent, or 9,054 individuals, were classified as unemployed.

Unemployment remains low as women gain ground in workforce

Malta’s unemployment rate stood at a modest 2.7 per cent in Q1 2025. Among those inactive, women made up 57.6 per cent, with the majority aged 65 and over. The leading cause of inactivity in this group was retirement or early retirement, cited by 43.1 per cent.

Labour force participation – measuring the active labour force as a percentage of the working-age population (15–64) – reached an impressive 82.7 per cent, with the highest activity recorded among 25 to 54-year-olds (91.7 per cent).

Encouragingly, female participation in the workforce continues to rise, reaching 74.1 per cent in the 15–64 age group – a 2.9 percentage point increase from the previous year. In contrast, male participation rose by 1.2 points, hitting 84.4 per cent.

Self-employment trends shift – but women still rarely hire

Self-employment made up 13.6 per cent of the workforce, with 290,759 people in full-time jobs and 36,884 working part-time as their primary role.

A notable shift was observed among self-employed women without employees, whose numbers rose to 11,483 – an increase of over 1,500 compared to Q1 2024.

However, the number of self-employed women who employ others remains statistically insignificant, with fewer than 20 observations recorded.

Meanwhile, the number of self-employed men without employees dipped slightly to 21,727, and those with employees fell from 9,574 to 9,072.

Education and wages: A mixed picture

Education levels remained a key differentiator in employment outcomes. While nearly 40 per cent of people aged 15+ had a secondary education or less, 38.2 per cent of those employed held tertiary-level qualifications.

On the earnings front, the average monthly basic salary stood at €2,063, with financial and insurance services offering the highest sectoral wages. Occupational differences were stark:

• Managers earned an average of €3,217
• Elementary workers earned just €1,293

Work hours and age groups

Full-time employees clocked an average of 41.3 hours per week, while part-timers averaged 22.7 hours. Overall, the average number of hours actually worked was 35.5 per week, up by 1.3 hours from Q1 2024.

The 25 to 34 age bracket emerged as the most active, representing the largest share of employed individuals across both genders.