Malta Ranks Among EU States With Lowest Gender Pay Gaps
Malta ranked among the European Union’s best performers when it comes to narrowing the gender pay gap, according to newly published European Parliament (EP) figures for 2023. The data places Malta’s gender pay gap at 5.1%, well below the EU average of 12% and among the five lowest gaps recorded across the bloc.
Only four countries reported smaller disparities between men’s and women’s earnings: Luxembourg (0%), Belgium (0.7%), Italy (2.2%) and Romania (3.8%). Slovenia followed closely behind Malta at 5.4%.
The gender pay gap measures the difference in average gross hourly earnings between women and men, based on salaries before tax and social security deductions. Only companies with 10 or more employees are included in the calculation.
Why the gap persists
Despite equal pay being enshrined in EU law since 1957, the gap remains entrenched. EU institutions note that the causes are complex and often interconnected. Women are more likely to work part-time due to disproportionate unpaid responsibilities such as childcare and housework – 28% of women work part-time compared to just 8% of men.
Career interruptions also play a significant role: one-third of employed women in the EU have taken time off for childcare, compared to 1.3% of men. Women are additionally over-represented in traditionally low-paid sectors such as education, health and social work, where nearly three in 10 female workers are employed.
Even when women reach leadership positions, the gap persists. Female managers in the EU earn 23% less per hour than their male counterparts.
The impact of lifetime pay inequality extends into retirement. In 2020, women aged over 65 in the EU received pensions 28.3% lower than men, placing them at higher risk of poverty in old age.
EU steps up pay transparency
The European Parliament has adopted new rules aimed at exposing and reducing wage disparities. Under measures approved in 2023, companies will be required to disclose salary information to allow workers to compare pay more easily.
If a company’s gender pay gap exceeds 5%, employers will be obliged to carry out a joint pay assessment with workers’ representatives and take corrective action. EU countries must also impose penalties — including fines — on organisations that break the rules. Job adverts and titles will need to be gender neutral.
A separate EU directive, approved in 2022, aims to increase female representation in senior leadership by ensuring that at least 40% of non-executive director roles in large companies are held by women by June 2026.
Malta’s position
While Malta’s 5.1% gap remains low by EU standards, experts caution that the figure does not capture the full picture. The country still mirrors broader EU trends, including fewer women in top-earning roles and an over-representation of women in lower-paid sectors.
Still, Malta’s continued position among the EU’s most equal performers reflects gradual progress – and highlights the impact of growing awareness, rising female participation in education and work, and new EU-wide transparency obligations designed to push the gap even lower in the years ahead.