Working population increases by 5%, employees commanding higher wages – Labour Force Survey

The total number of persons in employment in Malta during the period from April to June 2023 increased by 4.9 per cent when compared to the same period of 2022, according to the National Statistics Office (NSO), which has just published the latest edition of its Labour Force Survey.

Data released by the NSO also shows the average monthly salaries in different economic sectors. These increased across the board, with workers in the financial and insurance sector commanding the highest wages, averaging above €2,500 for the first time.

However, shopkeepers, drivers, and those involved in food and accommodation hardly registered an increase, with the average monthly wage in these sectors going from €1,426 in 2022 to €1,434 in 2023 – an €8 increase.

Given the COLA adjustment for 2023 was set at €9.90 per week, this likely indicates an influx of new workers earning lower salaries.

Similarly, wages in the public administration, education, health and social work sector also registered a minor increase, from €1,818 to €1,860

The average wage in the manufacturing sector, on the other hand, increased by €196 per month.

The above figures give a sectoral breakdown, but there are also large differences in wages between those employed in elementary positions (€1,163) and those involved in managerial ones (€2,994).

The combined average salary for employees in Malta for the second quarter of 2023 stood at €1,831.

The employed population

The Labour Force Survey estimates indicated that, during the second quarter, total employment stood at 294,313, accounting for 63.5 per cent of the population aged 15 and over.

On average, out of every 100 persons aged between 15 and 64 years, 79 were employed. The male employment rate for this age bracket was 85 per cent while that for females stood at 71.7 per cent. The largest share of employed persons was recorded among persons aged between 25 and 34 years, for both males and females.

Self-employed persons accounted for 14.8 per cent of all persons with a main job. The majority of employed persons worked on a full-time basis and amounted to 258,909. A further 35,404 had a part-time job as their primary employment.

Results show that, on average, full-timers usually worked 40.7 hours while part-timers worked 22 hours per week. In the second quarter of 2023, employed persons actually worked 35.2 hours per week, 0.8 hours more when compared to the same quarter of the previous year.

Unemployed and inactive

The unemployment rate for the second quarter of 2023 stood at 2.5 per cent – an all-time low. The largest share of unemployed persons was recorded among persons aged 25 to 74 years. Females accounted for 58.7 per cent of total inactive persons and those over 65 years made up the highest share of the inactive population. The main reason for inactivity relates to persons reaching retirement age or taking up early retirement (43.5 per cent).