Malta has once again recorded the lowest unemployment rate in the EU, with just 2.7% of the labour force out of work in April 2025, according to fresh Eurostat figures.
The rate dropped slightly from 2.8% in March, consolidating Malta’s place at the top of the EU’s labour market table. It’s also well below the euro area average of 6.2% and the EU-wide figure of 5.9%.
In real terms, the number of unemployed people in Malta stood at just 9,000 – down from 11,000 a year earlier.
The figures confirm that Malta continues to enjoy one of the tightest labour markets in Europe, even as concerns mount about labour shortages, wage pressures, and the country’s over-reliance on imported workers.
Among those under 25, unemployment in Malta stood at 7.2% – also below the eurozone average of 14.4%. The rate is down from 7.7% in March and from 7.5% a year earlier. This suggests younger workers are benefitting from the strong labour market, even as many remain locked out of housing and other parts of economic life.
For comparison, youth unemployment in Spain stood at 25.6% and in Italy at 19.2%. Malta’s rate is closer to that of Germany (6.8%) and the Netherlands (8.8%).
Malta has also nearly closed the gender unemployment gap. The rate for women stood at 2.7% in April, matching the rate for men. This represents a drop from 2.9% for women the previous month, suggesting further labour market gains for women even as challenges around childcare and participation persist.
Across the EU, unemployment has fallen steadily over the past year. But Malta continues to outperform, reflecting its consistent economic expansion and strong demand in sectors such as construction, hospitality, and healthcare.
That said, analysts warn that ultra-low unemployment is not necessarily a sign of balance. Many sectors have become heavily reliant on foreign workers, while some employers are struggling to fill vacancies amid rising costs and competition.
As Eurostat prepares to publish wider labour market data on underemployment and job market disengagement later this month, Malta’s policymakers will be watching closely to see whether the numbers behind the headline are as healthy as they look.
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