Worker restrictions on ride-hailing sector ‘already evident and measurable’ – Sebastian Ripard

Sebastian Ripard, CEO of Rides & Eats Ltd, approaches Malta’s foreign worker debate through the lens of systems thinking and market dynamics. Drawing from his experience managing Uber’s local operations, he highlights how recent worker restrictions have already impacted service delivery, with cab prices rising 10 per cent and reliability declining. Rather than imposing blanket limits, he advocates for sophisticated workforce management policies that recognise Malta’s seasonal demands and demographic challenges.

“The impact of foreign worker restrictions on the ride-hailing sector is already evident and measurable. We’ve seen a 10 per cent increase in cab prices coupled with a significant decline in service reliability. This isn’t surprising – the ride-hailing market’s size directly correlates with the number of available drivers. It’s simple mathematics: When you reduce the driver pool, the market contracts proportionally. Unfortunately, size matters in our industry, and as economies of scale diminish, overall efficiency suffers.”

The CEO continues: “To understand how to manage Malta’s workforce effectively, we need to think in terms of systems and flow. Let me explain using our traffic situation as an example: Every week, 108 new cars join our roads, putting immense pressure on our limited road network. This mirrors our workforce situation – both cases involve managing movement within confined spaces. Our small island of 300 square kilometres – home to roughly 500,000 people – can’t endlessly expand its roads or workforce capacity.”

Mr Ripard says that rather than simply restricting growth, Malta needs intelligent solutions for both challenges: “Just as we can’t solve traffic by endlessly building new roads, we can’t address workforce needs through simple restrictions,”he says.

The answer, he believes, lies in smart management of flow, drawing on examples from other densely populated cities that have successfully balanced similar pressures.

“Government and businesses must work together to determine the right balance of foreign workers needed in Malta. When we establish clear guidelines and allow market forces to operate naturally, supply and demand will find their equilibrium.

“However, this requires strong enforcement of existing labour laws – ensuring minimum wages are paid and working hours are regulated. The key is to let authorities focus on maintaining standards and working conditions while allowing the market to determine the workforce numbers required.”

Looking ahead to Malta’s evolving workforce needs, Mr Ripard states that “the elephant in the room is seasonality.”

To illustrate his argument, he notes that the hospitality sector, in particular, faces significant staff shortages that directly impact business growth and performance.

“Our current approach needs refinement – we should develop sophisticated seasonal migration policies like those successfully implemented in other countries. These programmes would create a reliable workforce pool, particularly in sectors like hospitality and agriculture, where seasonal demands are most pronounced. The beauty of such programmes lies in their efficiency: When seasonal workers return year after year, they become more skilled and require less training, creating a win-win situation for both employers and the economy.”

When it comes to long-term sustainability, the critical demographic challenge Malta faces is similar to that felt in other EU countries. The tax-contributing population is shrinking while the tax-dependent population grows – arguably one of the biggest challenges to our economic and social well-being in the coming decades.

“We have two main solutions to maintain growth or at least control recession,” says Mr Ripard. “Attracting workers from outside the EU and increasing productivity through technology.”

The path forward, he believes, is clear: “Our long-term sustainability depends heavily on successfully attracting and integrating foreign workers. In fact, within the next few years, European countries will be competing to attract foreign workers rather than trying to restrict them. This means Malta needs to act now to develop sophisticated migration policies, particularly distinguishing between temporary and circular migration patterns, with streamlined procedures that make it easier for workers to enter and re-enter the country as needed.”

This forms part of a feature first published on Malta CEOs 2025, the sister print brand to MaltaCEOs.mt, both owned by Content House.