Hire employees
and contractors in Morocco

Capital city
Rabat
Currency
Moroccan Dirham (MAD)
Population size
37,112,080 (2020)
Languages spoken
Arabic, Berber
01

Grow your team in Morocco with Remote

Remote currently offers contractor payment and management services in Morocco. We are busy building our own entity in the country to provide you with best possible employment solutions for your employees.

  • Capital city
    Rabat
  • Currency
    Moroccan Dirham (MAD)
  • Languages spoken
    Arabic, Berber
  • Population size
    37,112,080 (est. 2020)
  • Ease of doing business
    Very Easy (2020)
  • Cost of living index
    36.85 (2021)
  • Payroll frequency
    Monthly
  • VAT – standard rate
    20%
  • GDP - real growth rate
    2.5 (2019)
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Facts & stats

Land of deserts, date palms, djellabas, the Kingdom of Morocco is a semi-constitutional monarchy nestled just off the Mediterranean and on the northern edge of Africa.

Morocco has been ruled by the Alaouite dynasty since the 15th century, under whose reign Morocco has grown to Africa’s fifth-largest economy, built on a robust tourist industry, agriculture, and a foray into renewable energy.

Morocco Map
Morocco risks illustration

Risks of misclassification

Like many other countries, Morocco treats self-employed individuals or contractors and full-time workers differently and there are risks associated with misclassification.
03

Employing in Morocco

Labor relations in Morocco are governed by the Moroccan Labor Law of 2003 and the Decree on Public Holidays, both of which spell out provisions for employee protections and workers’ rights applicable to Morocco’s workforce of 11.5 million.

Employees in Morocco enjoy protection against discrimination based on age, religion, gender expression, and race.

Common questions that could come up during the hiring process include the minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in Morocco.

Public holidays

Date Holiday Name Extra information
New Year’s Day
Anniversary of the Independence Manifesto
Labour Day
Eid al-Fitr
Eid al-Adha
Throne Day
Islamic New Year
Revolution Day
Birthday of King Mohammed VI and Youth Day
Prophet’s Birthday
Green March Day
Independence Day
Minimum
Wage

Morocco’s minimum wage is set a 3,000 MADs ($336.98) per month for government employees, 2,570.86 MADs ($288) per month for private-sector employees, and 69.73 ($7.83) MADs per day for agricultural workers.

Payroll
Cycle
For customers of Remote, all employee payments will be made in equal monthly instalments on or before the last working day of each calendar month, payable in arrears.
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Competitive benefits package in Morocco

Remote can help you provide a competitive and compliant benefits package for your employees in Morocco. If you have questions or would like to offer a custom benefit, let us know and we can help.

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05

Taxes in Morocco

Learn how employment taxes affect your payroll and your employees’ paychecks in Morocco.

  • Employer

    • 6.4% - Family benefits
    • 1.05% - Short terms social benefits
    • 7.93% - Long term social benefits
    • 4.11% - Health insurance
    • 1.6% - Professional training tax
    • 2.5% - Social solidarity contribution (for employers with annual profits between 5 – 40 million MADs, i.e., $561k – $4.5 million)
  • Employee

    • 0.52% - Short term social benefits
    • 3.96% - Long term social benefits
    • 2.26% - Health insurance
    • 1.5% - Social solidarity contribution (for employees earning 120,000 MAD or more annually, i.e., $13,500)
  • Personal income tax rates

    • 10% - 30,001 – 50,000 MAD ($)
    • 20% - 50,001 – 60,000 MAD ($5616 - $6739)
    • 30% - 60,001 – 80,000 MAD ($6739 - $8,986)
    • 34% - 80,001 – 180,000 MAD ($8,986 - $20,219)
    • 38% - Beyond 180,000 MAD ($20,219)
06

Types of leave

Paid
time off

After spending six months working, employees start accruing 1.5 days of paid leave per month, equivalent to 18 days of paid leave annually. This leave entitlement increases by a day and a half every five years, capped at a maximum of 30 days of annual leave.

Public
holidays

There are 12 public holidays employees are entitled to take off as paid days.

Sick
leave

Employees are entitled to four paid sick days or eight half-days annually.

Maternity
leave

Female employees are entitled to 14 weeks of paid maternity leave, split into seven weeks before and after delivery.

Paternity
leave

Fathers can take three days of leave within the first month after their child is delivered.

Other
leave
  • Marriage leave: Employees are entitled to four days off work for performing marriage rites, or just two days off when attending or helping with a child’s wedding.
  • Bereavement leave: Employees can take between 2-3 days off work to attend the funeral rites of a close relative.
  • Circumcision leave: Two days allowed for undergoing circumcision.
  • Medical leave: Employees can take two days off work to cater to the needs of a spouse, child, or a dependent due to undergo surgery.
07

Employment
termination

Termination process

Employee contracts can be terminated if a just cause is established, such as dishonesty, negligence, fraud, or any other work-related offenses and prior notice should be provided in advance.

Notice period

Notice periods under Moroccan law are dependent on an employee’s tenure, i.e., how long they’ve worked with the employer.

Notice periods for executive staff

  • 1 month: up to 1 year of employment
  • 2 months: 1 – 5 years of employment
  • 3 months: More than 5 years of employment

Notice periods for non-executive staff

  • 8 days: Up to a year of employment
  • 1 month: 1 – 5 years of employment
  • 2 months: 5+ years of employment

Severance pay

Employees are entitled to a severance package after having worked with the employer for at least six months, structured according to the employee’s tenure with the employer.

  • First five years of employment: 96 hours pay
  • 6 – 10 years of employment: 144 hours pay
  • 11 – 15 years of employment: 192 hours pay
  • 15+ years of employment: 240 hours pay

Probation periods

Moroccan employment specifies a 1-week trial period for all employees, and in addition:

  • 3 months of probation for executive staff, and
  • 6 weeks of probation for non-executive staff

If performance during probation is unsatisfactory, the trial period can be repeated once at most.

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