Brussels takes Malta to court over 'preferential' port job recruitment

The European Commission has referred Malta to the Court of Justice of the European Union over a recruitment system for port workers that it says unfairly favours the relatives of existing employees, in breach of EU laws on free movement and access to employment.

In a statement issued Thursday, the commission said Malta’s hiring model, which requires companies to recruit exclusively from a Port Workers Register, effectively restricts access to port jobs by limiting the entry of new workers to family members of those already employed in the sector.

New additions to the register, the EC noted, are only made when current workers retire, die, or are medically certified as unfit for duty, creating what it described as a “closed circle” of employment opportunities.

“Such a regime thus limits the access to the profession of port worker to a very restricted circle of persons, be they Maltese or other EU nationals,” the commission said. “This makes the system preferential for family members and restricts fair competition.”

The commission argued that the arrangement violates key provisions of the EU Treaties, namely those guaranteeing the free movement of workers, the freedom of establishment, and the freedom to provide services across the bloc.

The referral to the EU’s top court follows earlier steps in the infringement process. A letter of formal notice was issued to Malta in September 2022, followed by a reasoned opinion in October 2023. Malta has contested the commission’s position throughout the process.

Despite the objections raised by Maltese authorities, the commission said it “remains of the view that Malta is in violation of these provisions” and therefore is pursuing the matter in court.

If found in breach, Malta may be required to amend its hiring system to bring it in line with EU law and ensure that port jobs are open to a wider pool of qualified applicants, regardless of family connections.

In a statement, the government said it took note of the decision and is committed to defending its legislative framework. "These amendments were introduced to mitigate the negative side effects and potential legal challenges that arose from earlier reforms implemented following Malta’s accession to the European Union."

It said the legislation is not a preferential scheme but rather a targeted, time-bound transitory regime designed to address past instances of discrimination. "This framework is especially relevant given Malta’s unique circumstances as an insular Member State, heavily reliant on maritime routes and the regular, uninterrupted flow of goods at competitive prices."

"The government will continue to defend its position before the CJEU and remains confident in the legitimacy and proportionality of its legal framework."