TCNs in spotlight as court says Malta’s three-day migrant appeal deadline is ‘far too short’

A recent court judgment has reignited debate about Malta's employment permit framework for third-country nationals (TCNs), with a Court of Appeal judge describing the current three-working-day deadline to challenge rejected permit applications as "far too short" and warning against an overly rigid interpretation of the law.

In a judgment Justice Lawrence Mintoff overturned a decision by the Immigration Appeals Board that had dismissed a Colombian national's appeal as being filed too late. The court ordered that the case be reheard and instructed Identità to consider a fresh single permit application submitted by the applicant.

The woman had entered Malta legally on a valid visa before receiving a job offer. Her prospective employer submitted a single permit application on her behalf but later withdrew it without informing her. After learning that the application had been refused, she lodged an appeal several days later.

The Immigration Appeals Board rejected the appeal, citing provisions in the Immigration Act requiring appeals to be filed within three working days of the decision.

However, Mr Justice Mintoff questioned whether the legislator had intended the deadline to begin before an applicant had actually been notified of the decision.

He noted that a person cannot reasonably be expected to exercise their right of appeal before becoming aware that a decision has been taken, adding that the board frequently dismisses appeals as time-barred without sufficiently examining the specific circumstances of each case.

The judge also expressed concern about the vulnerable position many migrant workers find themselves in, particularly where employers can withdraw permit applications without the worker's knowledge, potentially leaving them in an irregular immigration situation through no fault of their own.

He argued that proportionality and compassion should prevail in such circumstances, especially where individuals have relocated to Malta, often at considerable personal expense, in search of employment.

The ruling comes against the backdrop of growing concern among employers about the practical operation of Malta's TCN employment system.

Speaking previously to MaltaCEOs.mt, Graziella Grech, Executive Director of FinPlus Europe, said that while Malta has developed a robust legal and regulatory framework for employing third-country nationals, practical challenges continue to create uncertainty for businesses, particularly within regulated sectors such as financial services and fintech.

"The most significant challenge is predictability," Ms Grech said, explaining that inconsistent permit processing times make workforce planning increasingly difficult.

For regulated businesses, delays can extend beyond recruitment itself. Since key function holders often require additional regulatory approvals, hold-ups in employment permits can affect licensing timelines, operational readiness and wider business planning.

Ms Grech also pointed to the administrative complexity of dealing with multiple government entities operating separate systems, arguing that greater coordination, digitalisation and integration would significantly reduce the burden on both employers and applicants.

She cited a recent case at FinPlus Europe involving a highly skilled employee changing employers. Although the application had been submitted well before the employee's family's residence permits expired, processing delays created significant uncertainty, ultimately forcing the company to reconsider its recruitment timeline to safeguard the family's legal status in Malta.

According to Ms Grech, such cases illustrate that administrative delays carry both commercial and human consequences.

She argued that Malta's attractiveness as an investment destination depends not only on attracting businesses but also on ensuring they can recruit and retain the specialised international talent they require.

"Attracting investment is only one part of the equation; ensuring that investors can efficiently recruit and onboard the talent they require is equally important," she said.

Among the improvements she suggested are clearer pathways for specialised schemes such as the Key Employee Initiative, more transparent application tracking, enhanced online systems and greater flexibility where delays occur through no fault of applicants.

The Court of Appeal's judgment similarly highlights the importance of balancing procedural requirements with fairness, particularly where vulnerable foreign workers risk losing their legal status due to circumstances beyond their control.

As Malta continues to compete internationally for specialised talent, the judgment is likely to add momentum to ongoing discussions on whether the country's immigration and employment permit framework requires further reform to better serve both employers and third-country nationals.