Malta has become the first country in Europe to formally establish a collective framework for food couriers, following the signing of a landmark Memorandum of Understanding (MOU) between the General Workers Union (GWU) and the Malta Delivery Fleet Operators Association (MDFOA).

The agreement, supported by the Ministry for Home Affairs, Security and Employment and the Secretariat for Social Dialogue, marks a major shift in an industry only five years old but already essential to Malta’s daily life and economy.

The MOU sets the path for full collective agreements with all MDFOA members by 1st January 2026, regulating base pay, working hours, overtime rates, algorithmic transparency, cashless payments, and mandatory union membership for employees. It also establishes new standards for transparent remuneration that include a basic salary, overtime, and statutory bonuses, while eliminating the use of zero-hour contracts. The agreement further prioritises health and safety through mandatory training, reporting mechanisms, risk assessments, and proper protective equipment for couriers.

The reform aligns directly with Malta’s Labour Migration Policy, which aims to ensure that the employment of foreign workers does not dilute rights or standards in the workplace. The government has repeatedly argued that rights must rise evenly for all workers, regardless of nationality, if the wider labour market is to remain fair and competitive.

At the conference announcing the agreement last week, MDFOA President Iousef Meli highlighted how quickly the sector has become indispensable. “This industry is only five years old, yet in such a short time it has become integral to our society,” he told WhosWho.mt.

“It has created economic value and work opportunities, but it also needed a legitimate structure to replace irregular working conditions.”

He described months of negotiations with stakeholders that led to a unified set of standards. “We managed to sit down with all stakeholders and create a set of standards for the industry. This MOU is a crucial step in eliminating those who do not work with these standards,” he said. The agreement with the GWU, she added, is designed to “rectify the industry, secure just contracts, and safeguard the rights of workers.”

His remarks underscored the significance of the moment. “Today we are signing an MOU with the GWU that is important not only for the industry but for every business directly or indirectly connected to it,” she said. The MDFOA currently represents seven fleet operators and around 500 couriers.

GWU representative Josef Vella described the MOU as the result of unprecedented collaboration. “There are three pillars in society: government, employers, and trade unions,” he said. “We sat down together to make history. This MOU shows that when employers, trade unions, and government work together, we can move mountains.” He noted that the agreement commits all association members to signing collective agreements that guarantee worker rights and ensure a level playing field.

Home Affairs and Security Minister Byron Camilleri said the reform reflects a broader governmental vision to protect workers and stabilise the labour market. “We need a level playing field, and good employers need to be incentivised,” he said. “Every worker will benefit from this. As a government and as an authority, we have a responsibility to make sure abuse does not happen again.”

Mr Camilleri emphasised that the rights being consolidated today matter because courier work touches nearly the entire population. “This is an ambitious reform,” he said. “We are obligated to guarantee leave, statutory bonuses, payslips, clarity on how algorithms work, and proper working hours. We eliminated zero-hour contracts because we are building a modern, regulated, and sustainable labour market that gives value to the worker, regardless of where they come from.”

The Minister made clear that enforcement will remain firm. “We will stay vigilant to ensure no one tries to enter through the window instead of the door,” he said, noting that operators who respect the rules cannot be put at a disadvantage by those who cut corners.

The agreement marks the first coordinated framework of its kind in Europe, setting a precedent for how digital-platform labour can be regulated fairly without undermining flexibility. For Malta, it is both a symbolic and practical milestone: a small country leading the way in defining the rights, dignity, and protections of a fast-growing workforce that has rapidly become part of the fabric of everyday life.