Morocco

Available

Capital
Rabat
Currency
Moroccan Dirham
Language
Arabic
Population
37,076,584
GDP Growth
3.40%
GDP World Share
0.14%
Payroll Frequency
Monthly
Working Hours
44
hours/week

See how hiring works in Morocco

Learn about local payroll, taxes, and employment laws in Morocco

Minimum Wage Standards

The minimum monthly wage for industrial and commercial workers (SMIG) is MAD 3,111.39 per month based on a 44-hour workweek.

For agricultural workers (SMAG), the minimum wage is MAD 76.70 per day. Morocco's statutory minimum wage is reviewed periodically by the government in consultation with social partners.

Income Tax Structure

The individual income tax ranges from 0% to 38%. Income tax is calculated according to progressive rates. Multiple additional factors may impact overall rates such as the household status and the number of dependents.

Gross Annual Income Personal Income Tax Rate
Up to MAD 30,000 0%
MAD 30,001 - 50,000 10%
MAD 50,001 - 60,000 20%
MAD 60,001 - 80,000 30%
MAD 80,001 - 180,000 34%
Over MAD 180,000 38%

Employer Contributions

Total employer social security contributions amount to approximately 26.6% of the gross salary, calculated on the employee's total remuneration.

Mandatory Contributions:

  • Social Security (CNSS): 8.98%
  • Mandatory Health Insurance (AMO): 4.11%
  • Professional Tax (Taxe Professionnelle): 1.6%
  • Vocational Training Tax: 1.6%

Employee Contributions:

  • Social Security (CNSS): 4.48%
  • Mandatory Health Insurance (AMO): 2.26%

Important Note: These figures are estimates for informational purposes. Actual costs vary based on employment terms and specific circumstances. Contact our team for accurate calculations tailored to your situation.

Overtime & Working Hours

Overtime is compensated at enhanced rates: 125% of the hourly wage during daytime hours, 150% during nighttime hours, 150% during daytime on rest days, and 200% during nighttime on rest days.

Standard working hours: 8 hours daily, 44 hours weekly. The standard workweek runs Monday through Friday or Monday through Saturday depending on the sector and collective agreements.

Maternity Leave

Female employees are entitled to 14 weeks of maternity leave with pay. The leave is typically split between prenatal and postnatal periods.

Maternity leave benefits are covered through social security (CNSS). The employee must have made at least 54 days of contributions in the 10 months preceding the expected date of delivery.

Paternity Leave

Fathers are entitled to 3 days of paid paternity leave following the birth of a child. This leave must be taken within one month of the birth.

Sick Leave

Employees are entitled to sick leave benefits through the CNSS social security system for up to 180 days per year.

During sick leave, the CNSS pays 2/3 (approximately 67%) of the employee's average salary. A medical certificate is required to validate the sick leave period.

Bereavement Leave

Employees are entitled to bereavement leave as follows:

  • 3 days for the death of a spouse, child, or close family member

Termination Framework

There is no at-will termination in Morocco. Employers must have a valid and justified reason to terminate employment. Dismissal without a valid reason may result in the employer being required to pay damages to the employee.

Valid grounds for termination include:

  • Serious misconduct by the employee
  • Economic or structural reasons
  • Professional incompetence
  • Repeated unjustified absences

Legal Requirement: An employer can dismiss an employee without notice or compensation only in cases of serious misconduct. In all other cases, proper notice and severance must be provided as per the Moroccan Labor Code.

Notice Period Requirements

Moroccan labor law mandates notice periods based on the employee's length of service:

  • Less than 1 year of service: 8 days notice
  • 1 to 5 years of service: 1 month notice
  • More than 5 years of service: 2 months notice

If proper notice is not provided, the terminating party must compensate the other with an amount equivalent to the wages payable for the remaining notice period.

Severance Compensation

Severance pay in Morocco is calculated per year of service based on the number of hours worked. The severance amount increases with the employee's seniority.

Employees who are dismissed without a valid reason are entitled to both severance pay and damages. Employees who resign voluntarily are not entitled to severance pay.

Risk Management: To minimize unforeseen financial exposure from terminations, our employer of record service includes a Severance Reserve for all employment agreements. Unused reserve amounts are returned to you if employees resign or are not entitled to severance.

Paid Annual Leave

Employees are entitled to a minimum of 18 working days of paid annual leave per year, accrued at 1.5 days per working month.

Seniority bonuses apply: employees earn additional leave days based on years of service at the same company, increasing the total entitlement with continued employment.

Public Holidays

Morocco observes 13 official public holidays annually.

National public holidays include:

  • New Year's Day (January 1)
  • Independence Manifesto Day (January 11)
  • Labor Day (May 1)
  • Throne Day (July 30)
  • Oued Ed-Dahab Day (August 14)
  • Revolution Day (August 20)
  • Youth Day (August 21)
  • Green March Day (November 6)
  • Independence Day (November 18)
  • Eid al-Fitr (varies)
  • Eid al-Adha (varies)
  • Islamic New Year (varies)
  • Mawlid - Prophet's Birthday (varies)

Onboarding Timeline

The onboarding process is typically completed within 2-5 business days following client execution of the Statement of Work.

Compensation Structure

Salaries in Morocco are typically paid on a monthly basis. Employers are required to pay employees regularly in accordance with the terms of the employment contract.

The 13th month salary is not mandatory in Morocco but may be provided as a bonus depending on the employer's policy or collective bargaining agreements.

Employment Contract Specifications

Employment contracts in Morocco can be either fixed-term or indefinite-term. Written contracts are strongly recommended and may be drafted in Arabic or French.

Essential contract elements include:

  • Employee and employer identification
  • Commencement date
  • Job title and description
  • Compensation and benefits
  • Working hours and schedule
  • Duration (for fixed-term contracts)
  • Termination provisions

Fixed-term contracts may be renewed, but repeated renewals may result in the contract being reclassified as an indefinite-term agreement under Moroccan labor law.

Probationary Period

Probation periods vary by employee category: staff members have a probation period of 3 months (renewable once for a maximum of 6 months), while management-level employees have a probation period of 6 months (renewable once for a maximum of 12 months).

During the probation period, either party may terminate the employment relationship without providing a specific reason, subject to the applicable notice requirement.

How it works

Your Global Hiring Process

We take care of employing your team, so you can focus on growing

You choose the talent

You select the candidate you want to hire, anywhere in the world.

We employ them for you

MB Remote becomes the legal employer and handles contracts, payroll, and local labor laws.

Your team starts working

Your employee works directly with you, just like an in-house team member.

We manage compliance

We ensure ongoing payroll, taxes, and legal compliance in the employee’s country.

Frequently Asked Questions

Is it free to contact MB Remote?

Yes. Contacting us is completely free and without obligation. We’ll discuss your needs and explain how our EOR solution works before anything else.

Hiring can usually be completed within a few days, depending on the country and local requirements.

An Employer of Record is a legal entity that employs workers on your behalf. MB Remote handles contracts, payroll, taxes, and local labor law compliance, while you manage the day-to-day work.

MB Remote is the legal employer, but the employee works exclusively for you as part of your team.

We support hiring in multiple countries. Contact us to check availability for a specific location.

We manage payroll, taxes, and social contributions in compliance with local regulations. You receive one simple monthly invoice.

Yes. You manage tasks, schedules, and performance. We handle the legal and administrative side.