Just like two sides of the same coin, Invest Gozo is offering two schemes that focus on both the employer and the employee. While the first scheme, Supporting Sustainable Quality Employment in Gozo, focuses on employment stability, the second, Supporting Knowledge Based Sectors in Gozo Scheme, is geared to fuel the evolution and growth of the knowledge industry, all while ensuring that employees have a stable job and a good salary package while residing in Gozo. Here’s a quick summary of the two schemes.
Boosting Quality Jobs in Gozo
Supporting Sustainable Quality Employment in Gozo was designed to promote full-time, long-term employment in Gozo by offering partial salary reimbursement to Gozo-based employers over three years. In the past, Gozo has traditionally had a lower average salary than mainland Malta, a phenomenon that by 2022 was shifting and in that year, Gozo was recorded as having an average annual basic salary of €21,283, surpassing the national average of €20,969. This scheme aims to strengthen this trend by sustaining Gozo’s average wage to stay competitive with the national average. This incentive is worth considering because it alleviates financial pressure on the business and encourages the retention and creation of quality jobs in Gozo. The provision of a more competitive salary package for employees means companies are less likely to experience employee turnover, as employees will be less tempted to seek greener pastures.
As an initiative, this scheme benefits both the employer and the employee. Employers based in Gozo (with a registered address on the island) can utilise this scheme to apply it to new team members based in Gozo, as well as to existing employees who have been with the company since 1st January 2018 and for which the employer has benefitted from the full 3-year cycle under the previous Gozo Employment Refund scheme or Gozo Back-Office scheme, for the same employee.The scheme is categorised into three classes of support according to the salary range. Under Class A (the lower salary range), a business can receive reimbursement of up to €6,255 over a 3-year period, while under Class C (the higher salary range), a company can save up to €9,750 over 3 years through tangible financial relief that supports sustainable employment. Through the Supporting Sustainable Quality Employment in Gozo Scheme, Gozo-based firms have an opportunity to invest in long-term talent with government backing. Full details and application forms can be obtained here.
Supercharge Smart Teams in Gozo
Honing in on accelerating Gozo’s transition into the knowledge-based economy, the Supporting Knowledge Based Sectors in Gozo scheme is designed to provide financial incentives for businesses operating in high-value, knowledge-intensive sectors. It focuses on the growth of specialised industries and attracting top talent to Gozo. Attracting expert knowledge workers to the island is a way of accelerating growth in the area, as such professionals will bring sound experience, valid technical know-how and up-to-date skills which can be shared. In other words, a savvy business can use this scheme to upskill their teams by recruiting specialist employees. Sectors that qualify for this scheme include software publishing, computer programming and consultancy, data processing, hosting, financial services, insurance, legal services, accounting, management consultancy, architecture, engineering and testing, scientific research and development, specialised design, and gambling and betting.
Employers based in Gozo and operating in the sectors above can utilise the scheme when engaging new, full-time, indefinite employees who are based in Gozo. The scheme is also open to existing staff employed without interruption since 1st January 2018 and for which the employer has benefitted from the full 3-year cycle under the previous Gozo Employment Refund scheme or Gozo Back-Office scheme, for the same employee. Under this scheme, employers can benefit in three different ways. Apart from salary reimbursements, the scheme also covers training costs and international flight tickets associated with training. Support related to salary is staggered into three tiers broken down according to the annual basic salary. In the highest tier (salaries exceeding €31,000), employers can expect reimbursement of up to €8,000 per year (a maximum of €24,000 over three years). This translates to approximately 25% of the salary cost. Further aiding the growth in the knowledge industry, the training reimbursement bonus can cover up to 65% of eligible training costs, related to conferences, seminars, and courses, regardless of whether they are local, abroad, or online. Full details and application can be accessed here.
Both of the above schemes by InvestGozo aim to contribute to the financial resilience and intellectual capital development on the island. The schemes have been well received and so far, InvestGozo has received over 425 applications from different business entities. Businesses can even utilise the two schemes in tandem but for different employees. Wage support through either of the schemes and sectoral innovation is not only appealing to employers but also to skilled workers who are keen on their career growth and have chosen Gozo as their island of residence. Ultimately, this is a win-win scenario for all parties involved!
At InvestGozo, we are committed to providing the Gozitan business community with a key to access comprehensive, relevant information on incentive and support schemes. Get in touch with our team today.