Implementation of Council Regulation 2157/2001 of 8 October 2001 on the Statute for a European company (SE) into Maltese Law

Whilst Council Regulation 2157/2001 on the Statute for a European Company (the ‘Regulation’) is applicable in Malta, legislation has not yet been adopted to take into account the various options afforded the Member States by the Regulation.

However, Article 425 of the Companies Act (Chapter 386 of the Laws of Malta) has been amended to add a new sub-article (5), granting the competent minister the power to issue regulations pertaining to the formation, constitution and regulation of European companies (SEs).

Although work on these regulations has commenced, a final version has yet to be published.

Implementation of Council Directive 2001/86/EC of 8 October 2001 supplementing the Statute for a European company with regard to the involvement of employees

Council Directive 2001/86/EC of 8 October 2001 supplementing the Statute for a European company with regard to the involvement of employees (the ‘Directive’) has been implemented into Maltese law by the Employee Involvement (European Company) Regulations (Legal Notice 452 of 2004, the ‘Employee Involvement Regulations’).

The Employee Involvement Regulations provide for a system of negotiations with the employee representatives of the companies involved in setting up an SE whose registered offices are in Malta. Specific criteria have been established for setting up a special negotiating body (SNB). SNB members are elected by the employees through special elections held for this purpose.