The Malta Department of Social Security has advised that benefits introduced to date in Malta as a result of Covid-19, which fall within the remit of Social Security, are a form of Social Assistance for persons resident and employed in Malta.
Therefore crew members working on Malta registered yachts who are making social security contributions in Malta are not eligible for any specific benefits in Malta as they are not based on contributions paid.
There is however a possibility that crew members working on Malta registered yachts who are making social security contributions in Malta whose employment has been terminated after 9th March 2020 due to the current situation, are eligible for the “Additional Benefit for Unemployment” which is contributory based, as per the following recent guidelines issued by the European Commission:
“If you are a frontier or a seasonal worker and become wholly unemployed during this period
If you are a frontier worker and during this period you become wholly unemployed, you should contact the unemployment insurance institution in your Member State of residence. You will be entitled to unemployment benefits from the Member State of residence under the same conditions as unemployed persons in that Member State, and should make yourself available to the employment services in the Member State of residence. In case you are a frontier worker who does not go back, in principle, to your place of residence at least once a week, you may search for employment in either the Member State of residence or the Member State of last employment. You should contact the unemployment insurance institution of the Member State in which you decide to look for employment. You will be entitled to unemployment benefits from this Member State under the same conditions as unemployed persons in that Member State, and should make yourself available to the employment services in that Member State.”
The eligibility criteria for the “Additional Benefit for Unemployment”, requires that the crew member has to register as seeking employment with Jobsplus (Job Agency in Malta) under Part 1 and satisfy the contribution test to qualify for the benefit.
However, as the crew members insurable under Maltese Legislation are not resident in Malta and therefore cannot register as seeking employment with the Job Agency in Malta, EU Regulation 883/2004 provides that where a person residing in a country other than in the Member State where he/she paid last contributions, shall register as seeking employment and claim unemployment benefit in his/her country of residence. By the provisions of EU Regulation 883/2004, the Member State paying the benefit will then request for reimbursement from Malta.
For further information regarding these developments or to learn more about our range of crew payroll services for seafarers please do not hesitate to contact our crew team here at Oceanskies..