Hire in Morocco

In Morocco, the provisions of employment contracts, internal rules and collective agreements must be at least as favorable as those outlined in the Labor Code. If the terms of these documents are less favorable, the contracts may be deemed invalid.

Employers with 10 or more employees must develop internal work rules in consultation with employee representatives. Work rules should cover topics such as hiring, dismissal, leave, absence from work, work scheduling, health and safety.

Every employee in Morocco must be given a labor card. The card must include the employer’s information (name, address and CNSS registration number) and the employee’s name, date of birth, CNSS registration number, start date, job description and wage rate. The labor card must be updated whenever the employee’s job description or wages change.

Fixed-term contracts are employment agreements that usually have a maximum duration of one year. If a fixed-term contract is extended or if employment continues beyond one year, the contract will become an indefinite-term contract. It is mandatory to have a break between the end of the first fixed-term contract and the start of the second fixed-term contract as an extension.

Fixed-term contracts are generally permitted only for certain types of work or under certain circumstances.

• Replacing an employee temporarily
• Meeting a temporary increase in the business activity
• Seasonal work

When a fixed-term employment contract ends, it automatically terminates on the expiry date or when the defined work in the contract is completed. During the contract’s term, either party may end it immediately without notice due to misconduct or force majeure. If the contract ends prematurely, the party responsible for terminating the contract is liable to pay damages equal to the wages agreed upon until the contract’s expiry date. In case the employer initiates the termination, the employee must be notified at least two weeks before.

Employees on fixed-term contracts must use their annual leave entitlement before the contract expires.

Employees are required to undergo a medical examination by the occupational doctor before employment begins or, at the latest, before the end of the probationary period.

Probationary periods are not mandatory in Morocco, but they are allowed.

For indefinite-term contracts, the duration of the probationary period is limited to:

• 15 days for blue-collar employees
• one month for white-collar employees
• three months for managers/executive level employees

The probation period can only be extended one time, for the same duration as stated above.

For fixed-term contracts, the probation period is limited to:

• one week for contracts of less than six months
• one month for contracts of six months or more

The probation period for a fixed-term contract may not be extended.

In Morocco, the normal working hours per week are typically 44 hours. Every employee is entitled to at least one rest day per week. The workweek can be either five or six days. However, the maximum duration of a normal working day is 10 hours.

Overtime can only be authorized in situations where there is an exceptional increase in workload or to carry out urgent work in the public interest. If an employee’s working hours are calculated on a weekly basis, any hours worked beyond 44 hours are considered overtime.

The overtime rate is 25% for overtime worked between normal working hours (defined as 6 a.m. – 9 p.m.) and 50% for overtime worked outside of normal working hours (defined as 9 p.m. – 6 a.m.). The overtime rate increases to 100% for overtime worked on the employee’s weekly rest day.

To comply with regulations, employers are required to keep a record of all wages paid to employees in a pay ledger. This record can be in written or electronic format. Additionally, employers must keep payroll reports for a minimum of five years.

Companies with at least 50 employees or those in industries with a risk of occupational illnesses are required to set up an independent occupational health service. Smaller companies may use an intercompany or shared service specific to their industry or location. Regardless, employers are responsible for ensuring their employees receive medical checkups from the occupational physician.:

• before recruitment or, at the latest, before the end of probation
• every 12 months during employment
• when the physician considers it necessary (e.g. for pregnant female employees), employees with children under the age of two years, employees with disabilities and employees exposed to particular risks
• following any sick leave that is the result of an occupational accident or illness
• following repeated health-related absences from work

Employees who have completed two years of service are entitled to a seniority bonus, unless stated otherwise in the employment contract, work rules or a collective agreement.

The seniority bonus is an additional payment made on top of the employee’s regular wages and increases with tenure as follows:

The calculation for the bonus amount includes basic wages, overtime supplements and additional elements (e.g. profit-sharing payments; certain bonuses), except tips.

If an employee is being dismissed due to misconduct, they must be given an opportunity to defend themselves and be heard by the employer or its representative. The employer must inform the employee of the decision to have a hearing within 48 hours of when the misconduct is made known. The hearing must take place no more than eight days from when the employer is made aware of the misconduct. Meeting minutes must be written up and signed by both parties. The employee must be given a copy. Both the employer and employee must cooperate in this procedure. Otherwise, either party will have the right to call the labor authority.

An employer can only dismiss an employee on an indefinite-term contract with a valid reason, whether it is related to their performance or because of company operational requirements.

Under the Labor Code, the following grounds can never constitute a valid reason for dismissal:

• The employee’s race, color, sex, marital status, family responsibilities, religion, political opinions, national descent or social origin.
• The employee’s disability, to the extent that this does not prevent the employee from carrying out their job adequately.
• The employee’s trade union membership or role as a trade union representative.
• The employee has brought a complaint or participated in legal proceedings against the employer under the Labor Code.

During the probation period, either the employer or employee can terminate the contract without giving a reason. The employee does not need to provide notice. If the employer terminates within the first week of probation, they do not need to give notice either. However, after the first week, the employer must give at least two days’ notice if the employee is paid on a daily, weekly or fortnightly basis, and eight days’ notice if the employee is paid on a monthly basis unless the termination is due to the employee’s misconduct.

If a female employee is medically certified as being pregnant, she is entitled to resign without giving notice. If the employee is on a fixed-term contract, she can resign by paying compensation to the employer.

An employee with an indefinite-term employment contract may resign at any time by serving the notice period as stated on the employment agreement. This period is determined by their length of tenure and the notification to the employer must be put in writing. There is no severance payment for voluntary resignations.

The notice periods are generally accepted to be as follows:

If an employee is unfairly dismissed by the company after having served for at least six months, they are entitled to receive severance pay. The severance pay includes payment for any unused annual leave, including the current year’s entitlement and any leave carried over from the last two years. The amount of severance pay is determined based on the employee’s years of service as follows:

The three main types of restrictive covenants enforceable in Morocco are confidentiality provisions, non-compete clauses and exclusivity clauses.

Morocco has a data protection law called Law n° 09-08 of 18 February 2009, which is enforced by the Moroccan data protection authority (CNDP). Since the law was adopted, Morocco has taken steps to ensure the protection of personal data and to align with European Union data protection standards.

To comply with regulations in Morocco, employers must ensure that wages are paid in Moroccan currency, using cash, check or bank transfer. White-collar employees must be paid at least once per month, while blue-collar employees must be paid at least twice per month. Additionally, employers must display information at the workplace indicating the date, time and location of wage payments.

Payslips with the following information must be provided to employees:

• Employer’s name, address and CNSS registration number
• Employee’s name, date of birth and CNSS registration number
• Date of payslip and pay period
• Working hours/days worked, including any overtime
• Payment in kind or additional pay
• Gross and net pay, stating any deductions for tax and social security

Electronic payslips are acceptable.

Employees in Morocco are entitled to 18 days of annual leave per year, which is equivalent to 1.5 days of leave per month, as long as they have completed a minimum of six months of service. Additionally, for every five years of service, the entitlement increases by 1.5 days.

To calculate an employee’s annual leave entitlement in Morocco, they must have worked for at least one month, which is equivalent to 26 days or 191 hours.

Annual leave must be taken in a single block within the year. With mutual agreement between employer and employee, it can be taken in shorter periods or carried over to the following year. However, employees must take at least 12 consecutive working days of annual leave plus two rest days.

To report an absence due to illness or injury, an employee must inform the employer within 48 hours. If the absence is longer than four days, a medical certificate must be provided, along with an estimation of the absence’s length. If an employee is absent for more than 180 consecutive days due to illness or injury, the employer can consider it a resignation.

To qualify for sickness benefits from social security, employees insured with CNSS must have paid at least 54 days of CNSS contributions in the previous six months. The benefit is two-thirds of normal wages, up to a ceiling. This is payable from the fourth day of absence. Employers are not legally required to pay employees during sick leave. However, the employment contract, collective agreement or internal rules may provide for it.

Pregnant employees are entitled to 14 weeks of maternity leave, which starts at the earliest seven weeks before the expected date of delivery and ends at the latest seven weeks after the birth. The employee needs to provide a medical certificate of pregnancy. If the birth is earlier than expected, the unused prenatal leave can be added to the postnatal leave up to a total of 14 weeks. Female employees cannot work during the seven weeks following childbirth.

In addition to the paid maternity leave, a female employee can take unpaid additional maternity leave for up to 90 days if she informs the employer at least 15 days before the end of the paid maternity leave period. However, no CNSS benefit is payable during this additional leave.

Breastfeeding breaks

Female employees who return to work after maternity leave are entitled to paid breaks for up to 12 months to breastfeed their child. This entitlement includes two half-hour breaks per day, one in the morning and one in the afternoon. However, with the employer’s agreement, the employee can arrange the timing of the breaks otherwise.

If a company has at least 10 female employees, the employer must provide a dedicated breastfeeding room that meets certain statutory requirements at or very near the workplace.

Paternity Leave

Male employees are entitled to three days of paid paternity leave, which can be taken as a single block or shorter periods within the month following the birth of their child. During the leave, the employer must pay the employee their regular wages. The employer can claim reimbursement of this amount from the CNSS up to a certain limit.

*Unless otherwise provided for in the employment contract, a collective agreement or the internal regulations, the absences provided for in Article 274 above are paid only to employees paid on a monthly basis.

Employees have the right to take unpaid leave to attend exams or participate in national or international sports events.

There are normally 15 public holidays observed each year in Morocco.