Why Do Non-EU Workers Leave Their Jobs More Often?

Foreign workers from outside the EU are leaving their jobs twice as frequently as their Maltese counterparts within the first year, as revealed in a report by the Central Bank.

Unusual Migration Trends

Surprisingly, the report unveiled that 15% of third-country nationals were already leaving their jobs within the first three months of the past year. However, this percentage was exceeded by EU workers.

Parallel Trends Among EU Workers

Termination rates among workers from the European Union during their first year were similar in 2022.

Increased Turnover After Four Years

In the previous year, termination rates were significantly higher for both EU and non-EU workers who had been employed by the same company for up to four years. Meanwhile, Maltese workers displayed a greater willingness to leave their jobs after five years or more with the same employer.

Transformation in the Job Market

The report, authored by the Chief Economist of the Central Bank, Aaron G Grech, also highlighted the profound transformation that Malta’s job market has undergone in the last two decades.

In 2005, Maltese workers accounted for a remarkable 94% of all job terminations and hirings. However, by the end of last year, this figure had decreased by nearly half to 55%.

Rise Among Third-Country Nationals

During the same period, the number of job terminations and hirings among third-country nationals had surged from 2% to 26%.

Shifts Among EU Citizens

The report also emphasized that the increase in the number of EU citizens coming to Malta was being greatly exceeded by those from outside the EU. The latter group was described as “more transient than they used to be”.

“Due to the fact that both third-country nationals and EU citizens are much less likely than Maltese citizens to stay with the same employer for more than a year, the increasing reliance on foreign workers is leading to higher labor turnover,” the report stated.

Rising Number of Women in the Workforce

The study also revealed that the number of women in the workplace had more than tripled since 2005. The figure for last year was 223% higher compared to previous years.

While this outpaced the growth in the number of men, which stood at 165% of the 2005 level, women still accounted for less than half of the workforce. They constituted 41% of the total workforce, up from 34% in 2005.

In Conclusion

The changes in Malta’s job market are evident. The higher turnover rate among non-EU workers and EU citizens in comparison to Maltese workers has led to an increased dependence on foreign labor. Furthermore, the job market has experienced shifts in gender dynamics, with the percentage of women steadily increasing.

Frequently Asked Questions (FAQs)

Why do non-EU workers leave their jobs more frequently?

Third-country nationals leave their jobs more often compared to Maltese colleagues due to various factors outlined in the Central Bank’s report.

What role do EU workers play in this situation?

EU workers play a significant role, as they also exhibit termination rates detailed in the report.

How has Malta’s job market changed in recent years?

The job market in Malta has undergone considerable changes in the last two decades, which are comprehensively described in the Central Bank’s report.

Why are termination rates higher after four years?

The report explains the increase in termination rates among EU and non-EU workers who have been with the same employer for up to four years.

How has the number of women in the job market evolved?

The study demonstrates a noticeable increase in the number of women in the job market over recent years.