TRUST AND TRUSTEES (MATERNITY AND ADOPTION LEAVE TRUST) REGULATIONS

TRUSTS AND TRUSTEES

(MATERNITY AND ADOPTION LEAVE TRUST)

SUBSIDIARY LEGISLATION 331.07

TRUST AND TRUSTEES (MATERNITY AND

ADOPTION LEAVE TRUST) REGULATIONS

1st July, 2015 *

LEGAL NOTICE 257 of 2015, as amended by Legal Notice 338 of 2016.

The title of these regulations is the Trusts and Trustees

(Maternity and Adoption Leave Trust) Regulations.

In these regulations, unless the context otherwise

requires -

"employee" shall have the same meaning assigned to it by the

Social Security Act

Provided that for the purposes of these regulations, the

term "employee" shall exclusively refer to an employee not

engaged in the General Government Sector, Authorities, Agencies

or Public Corporations;

"employer" shall have the same meaning assigned to it by the

Social Security Act

Provided that for the purposes of these regulations, the

term "employer" shall exclusively refer to an employer not in the

General Government Sector, Authorities, Agencies or Public

Corporations.

These regulations shall provide for the establishment of a

Trust, to be known as the Maternity and Adoption Leave Trust

(hereinafter referred to as "the Trust")

(a) which shall be established in writing and by means of

a unilateral declaration of trust in terms of article 7 of

the Trust and Trustees Act;

(b) which shall be established for the purposes of

receiving maternity and adoption leave contributions

from employers as provided for in terms of the Tenth

Schedule to the Social Security Act;

(c)

in relation to which, the employers which contribute

to this Trust shall, subject to the terms of the Trust, be

entitled to reimbursement from this Trust, for any

maternity and adoption leave payment paid to their

employees;

(d) to which, subject to the provisions of regulation 7(2)

of these regulations, the provisions of the Trusts and

Trustees Act shall apply.

see regulation 1(2) of these Regulations, as originally promulgated.

TRUSTS AND TRUSTEES

(MATERNITY AND ADOPTION LEAVE TRUST)

The Trust Fund shall receive the contributions specifically

payable by the employers in terms of the Tenth Schedule to the

Social Security Act to fulfil the obligations set out in the terms of

these regulations and the Maternity and Adoption Leave Trust.

(1) Any employer who is required to pay contributions in

terms of the Tenth Schedule to the Social Security Act, and who

fails to pay such contribution, shall be liable to fines and penalties

as indicated by Part X of the Social Security Act.

(2) Subject to the terms of the Trust, an employer as is referred

to in sub-article (1) shall, while still being responsible to pay the

full salary to the employee, lose his entitlement for any re-

imbursement for maternity and adoption leave thus paid.

The Trustees composed as set out in regulation 7,

hereinafter referred to as "the Trustees".

(1) The Trustees shall be composed of the following

(a) the Permanent Secretary of the Ministry responsible

for Industrial Relations, ex officio;

(b) the Permanent Secretary of the Ministry for Finance,

ex officio;

(c) three members, representing the employer constituted

bodies, appointed by the Minister responsible for

Industrial Relations from amongst the members of the

Malta Council for Economic and Social Development;

(d) one member representing trade unions appointed by

the Minister responsible for Industrial Relations from

amongst the members of the Malta Council for

Economic and Social Development.

(2) The term of office of the representatives of the constituted

bodies shall be for a period of two years and such members may be

re-appointed as Trustees.

(3) The Trustees shall be exempt from the requirements of

articles 43 and 43A of the Trusts and Trustees Act in accordance

with article 57(1)(g) of the said Act

Provided that none of the Trustees shall

(a) receive or be entitled to remuneration for so acting,

whether directly or indirectly; or

(b) receive property upon trusts or accept to act as a

trustees or co-trustees of a trust on a regular and

habitual basis; or

(c) hold themselves out as trustees.

Any bank account in which any of the funds of the Trust

are deposited shall be held in the name of the Trustees.

The Trustees shall be responsible to ensure that, in any

financial year, revenues from the contributions specifically paid by

employers for this Trust shall be sufficient to provide for

(a) the payment of the maternity and of the adoption leave

TRUSTS AND TRUSTEES

(MATERNITY AND ADOPTION LEAVE TRUST)

incurred by the employers; and

(b) meeting any other disbursements authorised by the

Trustees.

The Trustees shall be responsible to recommend

adjustments in the rate of the contribution payable specifically by

the employer to fulfil the obligations pursuant of the Maternity and

Adoption Leave Trust in terms of the Tenth Schedule of the Social

Security Act, after consultation with the Minister for Finance.

In accordance with the provisions of the Protection of

Maternity (Employment) Regulations, an employee on maternity

leave shall be entitled to the first fourteen weeks of maternity leave

with full wages but if the employee chooses to avail herself of any

additional maternity leave beyond the fourteen weeks in terms of

regulation 6(1) of the above-mentioned regulations, the employer

shall not be obliged to pay any wages for those weeks of maternity

leave which go beyond the afore-mentioned fourteen weeks,

without prejudice to any relevant benefit in respect of any period of

maternity leave which goes beyond fourteen weeks in terms of the

Social Security Act to which the employee may be entitled if she

chooses to avail herself of maternity leave beyond the paid fourteen

weeks.

In accordance with the provisions of the Adoption Leave

National Standard Order, an employee on adoption leave shall be

entitled to the first fourteen weeks of adoption leave with full

wag es bu t if t h e em p lo ye e c ho oses to a vai l h im sel f of any

additional adoption leave beyond the fourteen weeks, the employer

shall not be obliged to pay any wages for those weeks of adoption

leave which go beyond the aforementioned fourteen weeks, without

prejudice to any relevant benefit in respect of any period of

adoption leave which goes beyond fourteen weeks in terms of the

Social Security Act to which the employee may be entitled if he

chooses to avail himself of adoption leave beyond the paid fourteen

weeks.

Without prejudice to the provisions of article 29 of the

Trust and Trustees Act, and to anything to the contrary which may

be provided by the terms of the Trust, the Trustees shall, by not

later than four weeks after the end of each financial year, make and

transmit to the Malta Council for Economic and Social

Development a report on the financial state of the Maternity and

Adoption Leave Trust.