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Skuad’s Morocco EOR solution helps you expand your business effortlessly without worrying about the complexities of the hiring policies in the country. From recruitment, payroll management, and employee management to probation, regulation, and managing provincial laws, Skuad does all that for you without requiring you to set up a separate legal entity. Talk to a Skuad expert today and know how you can expand into Morocco in the most hassle-free manner.
This North African country is at the border of the Atlantic Ocean and the Mediterranean Sea.
Population: 37 million (2020)
Currency: Moroccan dirham (MAD)
Capital city: Rabat
Language: Moroccan Arabic, French
GDP: $ 332 million (2019)
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The Ministry of labor has laid down the contract for the national and foreign employees, and they manage them to make sure the guidelines are getting followed.
Let us take a sneak peek into Morocco's employment laws to understand the entitlements such as employee benefits, working hours, paid time-offs, national holidays, etc.
To ensure compliance with the Moroccan employment laws, Contact Skuad today.
There are three types of employment which you will mostly find in the service sector. They are fixed-term, indefinite term, and job completion. Fixed-term contracts are usually for 12 months, and they can be renewed over once, whereas indefinite term contracts do not have any expiration date.
In the case of a fixed-term contract, if the employer's working contract expires, the fixed-term contract will automatically turn into an indefinite term. It has a different expiry date according to their working position.
Foreign workers employed on a salary basis get paid in Moroccan currency twice a month with receipts of the individual transaction that varies according to the wages. Employees are guaranteed a periodic increase in their salary based on their efficiency, working potential, and work responsibilities.
In the case of a manager, the contracts cannot exceed three months. In the case of employees, it cannot exceed a month and a half, and in the case of laborers, it cannot exceed 15 days.
Employers must issue an employment card and get it renewed annually from the labor office.
The employment contract law in Morocco includes the rights and responsibilities that an employee in Morocco enjoys:
Employees hired in Morocco should be given a written contract, which must be written in the local language (Moroccan Arabic). Due to the country’s extensive compliance laws, it can get challenging to hire. All the fixed term and indefinite contracts are under compliance laws. The contract should mention the working hours, salary, termination terms, etc. According to the compliance laws, two copies of the contract duly signed must be legalized by the competent authority.
Some of the job search websites in Morocco are:
Employers post vacancies on these job portals to hire employees in Morocco.
Morocco Employment Compliance Laws aim to protect the rights of laborers, including the right to bargain. Approximately 23% of the Moroccan population is unionized. Hence, the employers must meet all the regulations laid down by the union. Areas covered by the Morocco Labor Laws include:
There is no specific guideline to hire employees in Morocco. However, the employer must ensure they are compliant through each step of the hiring process. Skuad offers the best in class benefits through our Employer of Record solution. Skuad uses existing subsidiaries to help the employers get started in just a few days and hire the employees on your behalf. Experience a positive hiring process by partnering with Skuad.
The standard probation period stands out differently for every different working position. For a manager, the probation period must not exceed six (6) months. The probation period for employees is three (3) months. In the case of workers, the probation must not exceed more than 15 days. The usual probationary period stays up to 12 months( one year). Moreover, the probation renewal process gets completed only once. The probation period in Morocco can be terminated in the contract at any time, subject to seven days of notice.
In case of termination of employment, every worker gets entitled to a one-month notice period but, if the worker causes a severe offense, they can get terminated from the contract without notice. The employees who have experience of over one year and have worked under a particular company are eligible for compensation at the time of termination.
To ensure compliance with the Moroccan employment laws, Contact Skuad today.
By partnering with an EOR such as Skuad, a company can free up its resources for recruitment and other HR-related aspects. Therefore, working with an EOR is the best way to enter the Moroccan workspace. By utilizing Skuad’s unified employment platform, you remain on track with your business expansion without establishing a subsidiary to take care of the employee management process.
Skuad is proficient in creating tailor-made contracts in compliance with the local laws. Our expertise extends into amending existing contracts and speedier hiring with practices such as the e-signing of documents. Book a demo today.
To obtain the work permit, the employees must apply for a Morocco working visa at a diplomatic mission in their country. The steps for the same are as follows:
If the employee does not have a local embassy or consulate, they must check if the Moroccan government will handle the visa submission with another agency or diplomatic authority. If not, the employees can directly apply to the Moroccan Ministry of Foreign Affairs and International Cooperation. Once the visa is approved, the employee can pick it up at the airport.
If you need a work permit for Morocco without a job offer, you have to stay there for 15 days and apply for the residency card or job offer cause the critical requirement of a work permit in Morocco is the employment contract.
Foreign countries operating their business in Morocco may find trouble and difficulty with Morroco's tax system. The main concerns that foreign companies must look into concerning tax laws in Morocco are:
Moroccan companies have the following main payroll options:
Morocco's payroll taxes are not very different from other countries. Taxation is a significant part of Morocco's economy. There is a tax on personal income and residence purposes. According to the information, Morocco's payroll taxes rate is from MAD 0 to 300,000.
To ensure topnotch payroll management and tax compliance, contact Skuad today
Types of companies in Morocco:
It is also known as a Limited Liability Company (LLC). The business structure for an LLC is as follows:
Morocco gives an ample opportunity to other foreign countries to set their business at a minimum rate of $1000. Morocco also allows employers to make their own choices on their employment after 26 weeks of their work.
A professional employer organization, Morocco manages all HR-related functions, such as compliance policies of the country, employee benefits, payroll management, taxes, and risk management. A PEO firm acts as a co-employer, while an EOR firm acts as a legal employer.
Businesses willing to expand into another country must establish a legal presence in the country. Collaborating with a PEO firm will require the companies to set up a legal entity separately. However, when you partner with an EOR team, you can legally start working and hiring employees in the country as it is already a legal employer.
A PEO can take over the responsibilities and liabilities of the company and handle all HR-related matters. An EOR company allows organizations to set up legal entities in different countries and mark their presence in the global market.
Skuad’s integrated platform acts as an EOR solution. Its unified employment platform manages all HR-related functions, right from recruitment to termination, everything is handled by the single platform of Skuad. You can build an efficient team of workers remotely while complying with the local laws. Skuad handles all the functions such as onboarding workers both full-time and contractors, managing their payroll and taxes, etc.
Connect with us and elevate your business prospects while saving your time and money with the advanced EOR solutions of Skuad.
Morocco is a developing nation making steady economic progress. As employability grows in this North African country, it can be concluded that the near future can see the development of this country in leaps and bounds. The employers enjoy several rights and responsibilities as we move further to know more about this country and its employment opportunities.
Skuad is a Global Employment Platform that makes it easy for companies to build remote tech teams. We onboard contractors, hire employees, manage invoices and handle payroll irrespective of where your team operates.
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