In the fourth quarter of 2019, 31.4 percent of Morocco's nearly 10.5 million employed population worked in the agricultural industry, with 67.9 percent and 5.4 percent living in rural and urban areas, respectively. However, the number of people working in the services industry was the greatest in the country when compared to other sectors, thus, it generated more revenue. Agriculture generated approximately 11.68 percent of Morocco's GDP in 2020; the services sector contributed 50.82 percent.

Morocco's minimum salary is MAD 3,300.00 per month in the public sector, MAD 2,698.83 per month in the private sector, and MAD 1,903.72 per month in agriculture.

Morocco has a monthly payroll cycle. 

Working hours 

The usual workweek is 48 hours; eight hours every day, Monday to Friday.

Overtime 

Overtime work is permitted under the Labor Code but only if the company conducts activities regarded to be in the national interest or experience an unusual rise in its volume of work.

Non-agricultural workers earn a 25% premium for extra hours worked between 6:00 a.m. and 9:00 p.m., and a 50% premium for hours worked between 9:00 p.m. and 6:00 a.m. The premiums are increased to 50% and 100% for overtime hours worked on a rest day. Workers must be paid in full for work performed on paid holidays and leave days.

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Statutory Deductions

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Annual leave 

After six months of continuous employment with the same company, employees are entitled to paid yearly leave at the rate of 1.5 days' leave for each month of service. After one year of service, employees are entitled to 24 days of annual paid leave. Employees under the age of 18 are entitled to two days of paid leave for every month of service. After five years of service, an employee’s yearly leave increases by 1.5 days every year, up to a maximum of 30 days.

Employees are entitled to four days of paid sick leave each year. Employees who have contributed 54 days in the previous six months of coverage are normally eligible for sick leave benefits. Sick pay starts on the fourth day and is typically two-thirds of the average daily income.

Maternity Leave 

Moroccan women are entitled to 14 weeks of fully paid maternity leave. During the period, the salaries are paid by a national social security fund but to enjoy the benefits, the employee must have contributed to the social security system for at least 54 days in the previous 10 months. Additionally, pregnant women have the option of taking an additional year of unpaid leave if they desire.

Paternity Leave 

Working fathers are entitled to three days of paid leave. The three days do not have to be consecutive, but they must be taken within one month of the date of birth. If a birth occurs during an employee's rest period because of paid yearly leave, sickness, or an accident of any type, the period is prolonged by three days.

An employer must have sufficient rationale to fire an employee in Morocco; it could be either for disciplinary or economic reasons. Employers are required to give notice and provide a documented justification for the termination. If the reason is misconduct, a warning must be issued, and the employee must be allowed to explain their actions.

Notice Period 

Employment contracts can be ended at the conclusion following the notice periods below: 

• One month's notice is required if the employee has worked for less than a year.
• Service of two to nine years-two months' notice
• Service of more than 9 years- three months' notice

Severance Pay

Employers are eligible for severance pay is after six months of service, which is equivalent to several hours per year that varies according to the length of service. 96 hours during the first five years; 144 hours between the tenth and fifteenth years; 92 hours every year between the eleventh and fifteenth years; 92 hours between the twelfth and fifteenth years and 240 hours after the fifteenth year.

Probation Period

For any job, all employees are subject to a one-week trial period. The probation time varies depending on the job position/status, for example, 15 days for blue-collar employees, 45 days for white-collar, and three months for management.