MALTA. Migration Trends. Jean-Pierre Gauci 183

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1 MALTA Jean-Pierre Gauci 183 Migration Trends While immigration has been a part of the Maltese reality for centuries, since 22 Malta has seen an increase in the number of migrants arriving to its shores on weathered boats, the vast majority of them seeking asylum. These arrivals have gone side by side with the arrival of other migrants, both from within the European Union (EU) and of third-country nationals who come to Malta seeking work. The total population of Malta has practically doubled over the past century, and today Malta is a country with the highest population density in Europe. There were 413,69 residents, including 4.4 per cent of foreign nationals at the end of 28 (Population and Housing Census). The Malta Demographic Review defines immigration as the action by which a natural person establishes his or her usual residence in Malta for a period that is or is expected to last a minimum of 12 months. According to this definition, the total migrant population in Malta at the end of 28 stood at little over 18, (Figure 1). Among Maltese nationals, there is a consistently slightly higher share of females. At the same time, there were more female foreigners in the country in 21-26, but afterwards the trend was reversed with migrant men comprising 52.9 per cent of the total foreign population (Figure 2). The majority of irregular migrants is also assumed to be male. 183 Jean-Pierre Gauci is a Director of the People for Change Foundation. The report is based mainly on desk research and some qualitative interviews. Experiences collected by the People for Change Foundation for other purposes have also informed the drafting of this report. PART 1: MIGRATION AND THE LABOUR MARKETS IN THE EUROPEAN UNION (2-29) - MALTA 25

2 Figure 1: Population of Malta, , 4, 35, 3, 25, 2, 15, 1, Migrant Population ,564 1,358 11, 11,999 12,446 13,877 15,46 18,137 Migration, Employment and Labour Market Integration Policies in the European Union Maltese Population 385,77 386,938 Source: Malta Demographic Reviews Figure 2: Migrant population by gender, percentage, Source: Malta Demographic Reviews Furthermore, the majority of migrants are of working age. In particular, foreigners aged years accounted for 47 per cent of new arrivals in 28. Figure 3: Arrivals by gender and age group, 28 Females Males Migrant - Male % Migrant - Female % 4, 3,5 3, 2,5 1,5 1, 5 Source: Malta Demographic Reviews ,867 39, ,56 393, , , ,12 2, ,

3 Contrary to popular belief, the majority of migrants (57%) arriving in Malta are from the EU. The remaining 43 per cent do not only constitute asylum-seekers, but also other third-country nationals, including from countries such as the United States. Almost half (48.3%) of the EU migrants are women, but among third-country nationals men are predominant with 65.8 per cent. The prevalence of young males hailing from the third countries is striking (Figure 4). Figure 4: Distribution of migrants by age, gender and origin, 28 Females TC Females EU Males TC Males EU 4, 3,5 3, 2,5 1,5 1, 5 Source: Malta Demographic Reviews Of the third-country nationals arriving in 28, just over 8 per cent (2,775 persons) entered irregularly, which was the highest number of irregular arrivals in the past decade. However, the inflow of irregular entrants dropped again to 1,475 persons in 29 (Figure 5). Figure 5: Irregular entry in Malta, , Source: Maria Pisani, , ,822 1,78 1,75 1,58 1, , , PART 1: MIGRATION AND THE LABOUR MARKETS IN THE EUROPEAN UNION (2-29) - MALTA 27

4 Most irregularly arriving migrants seek asylum, thereby regularizing their stay in Malta. The irregular migrant population in Malta consists of rejected asylum-seekers and visa overstayers. It should be noted that rejected asylum-seekers receive an ID card and are also entitled, provided that certain conditions are met, to a work permit. They therefore cannot be categorized as undocumented migrants. Overstayers, on the other hand, work in the informal economy and the extent of their presence remains largely unknown to the authorities. As a result, although it is believed that many such migrants are involved in the labour market, their contribution to the economy of Malta as well as their labour market experience is impossible to assess. Migration, Employment and Labour Market Integration Policies in the European Union Labour Market Impact Population projections for Maltese citizens in 25 forecast that the working population aged would decrease by 16 per cent, and expect the population aged over 65 to grow by 81 per cent. This calls for a revision of Malta s migration policy in order to ensure a sustainable activity rate for future economic growth. The Maltese economy had to grapple with the effects of a global economic slowdown around 2, and continued to experience relatively mild growth until 24. A significant recovery was registered between 25 and 27, when real economic growth averaged around 3.5 per cent per annum. The Maltese economy slowed down significantly in 29, as an evidence of its pronounced openness, and entered recession in 29. The sectors of activity that were immediately hit included mainly manufacturing, such as suppliers to the automotive industry and producers of electronic goods; and tourism. In the past decade, the services sector gained increased prominence in the Maltese economy, and continued to employ the majority of migrants (Figure 6). Figure 6: Sectoral employment of migrants, , 6, 5, 4, 3, 1, Agriculture etc Industry , , , ,423 Services 2,349 2,414 4,39 4,773 6,17 5,522 Source: Employment and Training Corporation, Malta. Although official data for migrant labour in construction belies the common belief that this sector is the largest employer of foreigners in Malta, it is also the sector where undeclared work is rampant. The Maltese Labour Force Survey for the third quarter 28

5 of 29 indicates trends towards gender segregation in certain economic activities. Men dominate in construction and manufacturing, and a high share of female workers is observed in education, healthcare and social work. Clear distinctions can be drawn between different categories of migrants in the context of sectoral distribution (Figure 7). Figure 7: Sectoral distribution of migrants (1) by nationality, 29 Agriculture etc EU Agriculture etc Refugee Industry etc TCN Services etc EU Agriculture etc TCN Industry etc EU Industry etc Ref/AS/SP Source: Employment and Training Corporation. (1) Humanitarian migrants and other migrants. *Ref/AS/SP stands for refugees, asylum-seekers, subsidiary protection. Services etc Ref/AS/SP Services etc TCN In seeking to provide a rough estimate, Debono and Farrugia (27) quote a discrepancy of 8.7 per cent 184 between the labour force survey and administrative data for 26. It is a widely held belief that the main sectors affected by such work are construction-related trades and domestic and personal services. 185 Women are considered to be more likely to engage in irregular work, a situation which Debono and Farrugia (27) argue is influenced by the rigidity of Malta s employment legislation and organizational cultures. Migrant workers that are adequately integrated into the Maltese labour market can provide the supplementary workforce that is required in order to maintain and possibly increase Malta s productivity. However, concerns arise with regard to the pertinence of the current public policy discourse in Malta that only address regular migration as potentially beneficial for the economy, without attempts to utilize the currently irregular migrant labour to fill the labour force shortages by widening the avenues for legal work by foreigners. Overall, the employment rate in Malta remains relatively low at 55 per cent in 28. The gender pay gap and gender employment gap are considerable, with the male employment rate averaging 72.5 per cent compared with 37.4 per cent for women (EC, 29). Among migrants, female non-eu nationals have the lowest number of employment licences. The majority of employment licence-holders are male EU citizens, which are closely followed by male third-country nationals (Figure 8). 184 It is interesting to note that the statistic varies considerably between females and males (12.7% and 6.8% respectively). This is also a reflection of the extent of undeclared work in the domestic services sphere, a sector largely characterised by female workers who, in most cases, are not enrolled within the formal labour market. 185 As reflected also in the National Strategic Reference Framework PART 1: MIGRATION AND THE LABOUR MARKETS IN THE EUROPEAN UNION (2-29) - MALTA 29

6 Figure 8: Migrants with active employment licences, , Number of people 2,5 1,5 1, 5 Migration, Employment and Labour Market Integration Policies in the European Union Male EU Male Ref/AS/SP Male TCN Female EU Female Ref/AS/SP Female TCN Source: Employment and Training Corporation. *Ref/AS/SP stands for refugees, asylum-seekers, subsidiary protection. Looking at general employment rates by educational level 186 one can notice that the employment rate for persons with a tertiary level of education is significantly higher than those with lower levels of educational attainment. This reflects well for highlyskilled migrants, but also implies a greater degree of competition in terms of labour market access for irregular immigrants who often have not attained tertiary education, or find it difficult to prove this and have their level of education duly recognized and accredited (Figure 9). Figure 9: Holders of employment licences by level of skill, Number of people Low-skilled Skilled Highly Skilled Open Permit Source: Employment and Training Corporation. 6, 4, ,846 2,16 2,56 2, ,374 1,97 1, , , ,112 1,224 1,667 1, This indicator is calculated by dividing the number of employed people within the age group having attained a specific level of education, by the total population of the same age group. Level is coded according to the International Standard Classification of Education (ISCED, 1997) ,455 1, ,662 2,67 2,531 2,91 1, ,53 3,76 3,32 4,34 2, , ,

7 There is very little hard evidence on the wages of migrant workers. However, anecdotal evidence on the situation of persons who have been through the asylum system indicates that they are paid much less, and very often up to half of what their Maltese counterparts are paid for the same work. No data is available with regard to European and Asian workers although, especially for the latter, there is reason to believe that their situation is similar to that of sub-saharan Africans. In 28, the General Retailers and Traders Union 187 sent a formal complaint to the Maltese government describing as unacceptable the situation revolving around employment and migrants. In a statement, it acknowledged that a number of its members (mainly small- and medium-sized enterprises) in construction, repairs, and especially in the waste management sector depend highly on migrant labour. They proposed that the informal temporary work system be regularized in order to create what they see as win-win solution for employers and migrants seeking work. References Council of the European Union 2 Council Directive 2/43/EC of 29 June, 23 Council Directive 23/86/EC of 22 September, EURES Malta/Employment and Training Corporation 29 Living and Working in Malta, Report%229.pdf European Commission against Racism and Intolerance (ECRI) 28 Third Report on Malta, 29 April, Strasbourg, European Employment Observatory (Debono, M. and C. Farrugia) 27 Undeclared Work from SYSDEM Correspondent, available at: Eurostat 29 Eurobarometer 317, Discrimination in the EU, 29, Results for Malta, 21 Eurobarometer 7, Public Opinion in the European Union, General Workers Union 28 Migrant Workers, Niessen, J. et al. 27 Migration Integration Policy Index, Migration Policy Group, Brussels Ministry for Competitiveness and Communications 25 National Reform Programme: Malta s strategy for growth and jobs, La Valletta. PART 1: MIGRATION AND THE LABOUR MARKETS IN THE EUROPEAN UNION (2-29) - MALTA 187 For more information see 211

8 Ministry of Education, Employment and the Family 28 National Strategies for Social Protection and Social Inclusion 28-21, La Valletta. National Commission for the Promotion of Equality 27 Racial and Ethnic Origin Equality Manual Toolkit, Gattard House, Bajda. Manual_Toolkit.pdf Office of the Prime Minister (Malta) 26 Malta National Reform Programme, Addressing the Lisbon Strategy, Annual Progress Report 26. Cabinet Committee on Competitiveness, Management Efficiency Unit, La Valletta. Maltese Legislation Migration, Employment and Labour Market Integration Policies in the European Union Laws available at: Constitution of Malta Chapter 12 of the Laws of Malta Code of Organisation and Civil Procedure Chapter 55 of the Laws of Malta Notarial Profession and Notarial Archives Act Chapter 217 of the Laws of Malta Immigration Act Chapter 363 of the Laws of Malta Local Councils Act Chapter 42 of the Laws of Malta Refugee Act Chapter 464 of the Laws of Malta Healthcare Professions Act Legal Notices available at: 22 Legal Notice 259 of 22, Migrant Workers (Child Education) Regulations. 24 Legal Notice 461 of 24, Equal Treatment in Employment Regulations. 25 Legal Notice 32 of 25, Reception of Asylum Seekers (Minimum Standards) Regulations. 26 Legal Notice 278 of 26, Status of Long-Term Residents (Third Country Nationals) Regulations 27 Legal Notice 15 of 27, Family Reunification Regulations 28 Legal Notice 29 of 28 which transposes Council Directive 24/11/EC, Conditions of Admission of Third Country Nationals for the Purposes of Studies Regulations. 28 Legal Notice 243 of 28, Procedural Standards in Examining Applications for Refugee Status Regulations. 29 Legal Notice 25 of 29, Agency for the Welfare of Asylum Seekers Regulations 21 Legal notice 37 of 21, Status of Long-term Residents (Third Country Nationals) (Amendment) Regulations. Websites of Governmental and other Institutions Employment and Training Corporation, EURES Malta, Malta Department of Information, Malta Qualifications Council, Migration Integration Policy Index Malta, National Commission for the Promotion of Equality, Malta Chamber of SMEs, The People for Change Foundation, 212

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