malta sliema

The unemployment rate for July 2023 stood at 2.5 per cent, at par with the previous month and decreasing by 0.4 percentage points from the same month last year, the National Statistics Office shared in its latest news release.

This is a historic low for unemployment in Malta and comes as no surprise as employers continue to face wage inflation stemming from a tight local workforce. The figures also raise questions about the Government’s efforts to limit the island’s rapid population growth, as revealed by the Times of Malta when it quoted Home Affairs minister Byron Camilleri.

While often considered a positive indicator, a low level of unemployment leads to its own set of challenges. A tight labour market leads to worker shortages since employers would be searching for potential staff in a ever-shrinking pool of workers.

Since employers would be focused on filling in the gaps in operations, it leads to a skills mismatch, since new employees would not necessarily be qualified to fulfil their jobs, leading to underemployment.

Lastly, it contributes to upward wage pressures since employers are led to compete among each other to attract workers. This potentially leads to poaching and reduced competitiveness.

During July 2023, the number of unemployed persons was 7,610, with males and the 25 to 74 age group being the major contributors to the overall level of unemployment.

The seasonally adjusted number of unemployed youths amounted to 2,005, whereas the number of unemployed individuals aged between 25 and 74 years stood at 5,605.


cash money euro

Using euro banknotes for a year ‘equivalent to driving a car for 8km’

December 11, 2023
by Robert Fenech

Environmental impact of banknotes equal to ‘negligible’ 0.01% of average European citizen’s total

KM Malta Airlines says it received over 122,000 bookings in its first week

December 11, 2023
by Helena Grech

It has now launched a website and is also taking bookings through the digital platform

Malta online casinos: A journey through the iGaming universe

December 9, 2023
by BN Writer

The past few years have seen a dramatic increase in the number of online casinos