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Africa

Morocco

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Employer of Record (EOR) in Morocco

What you'll learn

  • Country Introduction
  • Tax Breakdown for Employers
  • Statutory Leave Laws
  • Minimum Wage and Working Hours
  • Termination Process
  • Additional Information
Morocco Introduction

Morocco is country located in northwestern Africa, bordered by Algeria and the disputed territory of Western Sahara — since Morocco controls most of Western Sahara, its de-facto southern boundary is with Mauritania. It has the 5th-largest GDP in Africa, and is considered a middle power in global affairs. Moroccan identity and culture is a vibrant mix of Berber, Arab, and European cultures.

Paid Leave and Statutory Leave

Parental Leave

Pregnant employees are entitled to 14 weeks of paid maternity leave, which is normally split into 7 weeks before the due date and 7 weeks after. Fathers can take 3 days of leave in the first month after their child is born.

Sick Leave

Employees are entitled to 4 days of paid sick leave each year. If the sickness lasts more than 4 days, the employee must provide a medical certificate. The employer has a right to request the employee’s resignation if they take more than 180 consecutive days of sick in 1 year.

Paid Leave

There are 12 public holidays in Morocco, and employees can take 18 days of paid time off each year (accrued at 1.5 days per month). The amount of paid time off increases by 1.5 days every 5 years of employment (capped at 30 days per year). Employees can also request leave for marriage, bereavement, surgery, and more.

Wage Requirements and Working Hours

Morocco’s minimum wage is MAD 2,902 per month for employees in the private sector. The standard workweek is 44 hours at a maximum of 10 hours per day. Overtime work is regulated by employment contracts and collective agreements, and has to be mutually agreed upon by both parties before any overtime work is performed. Overtime must not exceed 250 hours per year, and is paid at between 125%-200% of the regular salary.

Termination Process

Process

Employment contracts can be terminated with just cause, such as fraud, negligence, or other work offenses, provided that and prior notice is provided in advance.

Notice Period

Notice periods are dependent on how long the employee has worked at the company, and range from 8 days to 2 months for non-executive staff, and 1 month to 3 months for executive staff.

Severance Pay

Employees who have worked at a company for at least 6 months are entitled to a severance package that is determined by how long they have worked at the company:

  • 0-5 years = 96 hours of pay
  • 6-10 years = 144 hours of pay
  • 11-15 years = 192 hours of pay
  • 15+ years = 240 hours of pay

Additional Information

While there is no provision in the law regarding a 13th month salary, it is common for employers to pay a 13th-month bonus and/or seniority bonus each year.

OVERVIEW
Language(s):
Arabic, Berber
Currency:
Moroccan Dirham (MAD)
Capital City:
Rabat
Population:
37.8 Million
Cost of Living Rank:
117th
VAT (Valued Added Tax):
20%
Employer TaxES
22.21%-25.71%
(estimated)

★  6.4% - Family Allocation

★  8.6% - Social Allocation/Benefits

★  4.11% - Health Insurance

★  1.6% - Professional Training Tax

★  1.5%-5% - Social Solidarity

Simplified Global HR and Payroll.
Let’s work on it together.

We've made the process really simple
with only 3 steps.

1

Remote candidate

You've sourced a full-time employee or contractor located in a country where your company is not incorporated.

2

Cost Calculation

Pass us the details of your candidate and we will let you know exactly what it costs to employ your candidate in that country.

3

Onboarding & Admin

Sit back and relax as we onboard your new team member and take care of all the local compliances and admin work.

Same-day onboarding
Best Pricing
Available in 150+ countries
How Remofirst employs in Morocco

It can be prohibitively expensive to establish an entity in every country you want to hire talent in, so Remofirst will hire and pay your employee on your behalf while you manage their daily duties. Remofirst will handle formal HR procedures and employment contracts that adhere to local laws, so that you can simply approve invoices via our platform. When you work with an Employer of Record (EOR) you can compliantly hire the best employees around the world.

How employees in Morocco get paid
Your employee's hours, time off, holidays, bonuses, and commissions are automatically calculated into payroll. Remofirst will invoice you in either US Dollars (USD), Euros (EUR), British Pounds (GBP), Canadian Dollars (CAD), or Singapore Dollars (SGD) around the 15th of each month to make sure your employees in Morocco are paid on time in Moroccan Dirham (MAD). To make it even easier, you can summarize your entire global team's salaries to aggregate them into one payment (instead of many individual payments).
Full-time Employees vs Global Contractors

Unlike full-time employees, contractors work on projects with multiple companies at a given time and are technically self-employed. Full-time employees are solely focused on their employer and usually receive benefits (such as health insurance, equity or stock options, and time off) as an additional form of compensation. While it can be cheaper to work with international contractors instead of paying benefits to a full-time employee, you run the risk of misclassification. It's recommended to work with an EOR for contractor onboarding and payments, so you can know that your international contractors are paid compliantly and on time.

Dependable support for employees
Whenever the employee or employer has a question about benefits, Visas, or anything else related to international employment in Morocco, they can use our platform's chat function to get answers from our team of experts. Every client of Remofirst also receives a dedicated account manager that will serve as a point of contact for global HR support.