The COVID-19 wage supplement has been extended to March, minister Miriam Dalli announced on Friday.

The supplement is available to employers whose companies have been significantly impacted by COVID-19 and allows them to subsidise workers’ salaries, avoiding layoffs. 

First introduced in March 2020, the supplement was originally due to expire at the end of 2021. It was then extended to the end of January as Omicron variant infections pushed health authorities to introduce new pandemic restrictions. 

Speaking during a press conference on Friday, Dalli said that a decision had now been taken to extend the supplement until March. 

"The government has and continues to support businesses and entrepreneurs, as despite the COVID-19 situation, we want them to grow and strengthen their operations," Dalli, who is politically responsible for Malta Enterprise, said.

Dalli said the extension was approved by cabinet and that the government would be monintoring the country’s economic situation. 

"Several sectors were impacted by the pandemic in January and February,  especially tourism. We now expect March to be a time for recovery, which is why we decided that this aid needs to remain [until then],” she said.