Severance Calculator

Calculate your severance pay accurately according to Moroccan labor law

Employee Information

Amount in Moroccan Dirhams (MAD)

Calculation Results

Fill out the form and click "Calculate" to see your severance pay

How does it work?

Follow these simple steps to calculate your severance pay according to Moroccan law.

1

Enter your information

Provide your category, salary, start and end dates, etc.

2

Run the calculation

Click Calculate to get your results instantly.

3

See the details

View the breakdown of each indemnity calculated by law.

4

Explore guides

Access detailed explanations, procedures, and legal articles.

Procedures to follow

Discover the steps to follow in case of dismissal in Morocco.

View all procedures
Written notice of dismissal
Respect of legal notice period
Calculation of due indemnities
Delivery of end-of-contract documents

Legal basis

Calculations comply with the Moroccan Labor Code.

Art. 53

Severance pay

Defines the calculation method based on seniority.

Art. 59

Notice period

Specifies notice periods by employee category.

Art. 232

Paid leave indemnity

Details calculation of unused paid leave days.

How is severance pay calculated in Morocco?

Correctly calculating severance pay in Morocco requires mastering four distinct components, all defined by the Moroccan Labor Code (Dahir No. 1-03-194). Here is the full step-by-step process.

1. Determine exact seniority

Seniority is calculated from the hiring date to the effective termination date, in years and fractions of years. Any fraction of a year is counted pro rata. For example, 5 years and 4 months = 5.33 years. Unjustified absences are deducted.

Learn more about seniority calculation

2. Calculate the reference hourly rate

The hourly rate is the basis for the statutory severance. It is calculated as: Gross monthly salary ÷ 191 hours. The reference salary includes base salary and usual bonuses (seniority, performance), but excludes expense reimbursements.

Which bonuses are included in the reference salary?

3. Apply the progressive scale (Article 52)

Severance is calculated in seniority brackets: 96 hours × rate for the first 5 years, 144 hours for years 6–10, 192 hours for years 11–15, and 240 hours beyond 15 years. The brackets are cumulative.

See detailed calculation examples

4. Add notice period and unused leave

In addition to the statutory severance, you are entitled to a compensatory notice period allowance (Article 43) if the employer does not respect the legal notice, and to unused paid leave compensation (Article 232) calculated at 1.5 days per month worked.

Is the employer required to respect the notice period?

Frequently asked questions

Answers to common questions about severance calculation.

What are the conditions to receive severance pay?

You must have worked at least 6 continuous months for the same employer, except in case of gross misconduct.

How is seniority calculated?

Seniority is the total time worked for the employer, excluding unjustified absences.

Is severance pay taxable?

No, severance pay is not subject to income tax in Morocco.

Trust & accuracy

Our simulator strictly applies Moroccan law and is updated regularly.

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Calculations based on Moroccan law
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Transparent formulas

Your rights in case of dismissal in Morocco

The Moroccan Labor Code (Dahir No. 1-03-194) strictly regulates dismissal and protects employees. Here are the fundamental rights that every employer is required to respect, regardless of the reason for termination.

Right to a fair procedure

Before any dismissal, the employer must summon the employee to a preliminary interview (Article 62), at least 8 days before the decision. The employee may be assisted by a staff delegate or union representative. The absence of this procedure, or its irregularity, makes the dismissal abusive and entitles the employee to damages before the labor court.

Right to written notification

The dismissal must be notified in writing, by registered letter with acknowledgment of receipt or hand delivery against signature (Article 63). The letter must state precisely the reasons for dismissal. A verbal dismissal or a letter without reasons is automatically considered abusive.

Right to notice period

Except for gross misconduct, the employee is entitled to a notice period whose duration varies according to seniority and professional category (Article 43): from 8 days for workers with less than 6 months to 3 months for executives with more than 5 years. During the notice period, the employee retains their salary, benefits, and has 2 hours per day to seek employment.

Right to indemnities

An employee dismissed without gross misconduct is entitled to severance pay (Article 52), compensatory notice allowance (Article 43), and unused paid leave compensation (Article 232). In case of abusive dismissal, damages are added: 1.5 months of salary per year of seniority, capped at 36 months (Article 41).

The different types of dismissal

Moroccan law distinguishes several forms of termination of the employment contract, each subject to different rules and indemnity consequences. Correctly identifying your situation is essential to calculate your rights.

Dismissal for gross misconduct

The employer may dismiss without notice or indemnity in case of gross misconduct (Article 39): theft, drunkenness at work, job abandonment, assault, disclosure of professional secrets. Gross misconduct must be proven by the employer and the employee must be heard. Even in case of gross misconduct, paid leave compensation remains due.

Dismissal for non-gross misconduct

For non-gross misconduct (professional insufficiency, repeated errors without gravity), the employee retains all rights: severance pay, notice period, and paid leave. The employer must respect the complete disciplinary procedure, otherwise the dismissal may be reclassified as abusive.

Dismissal for economic reasons

In case of economic difficulties or technological changes, the employer may reduce staff after prior authorization from the prefecture governor (Article 66). Dismissed employees retain their right to severance and notice indemnities, and benefit from a re-employment priority for one year.

Abusive dismissal

A dismissal without valid reason, without respect for the procedure, or based on discriminatory reasons is abusive (Article 41). The court may order the employee's reinstatement or condemn the employer to pay damages of at least 1.5 months of salary per year of seniority, up to a maximum of 36 months of salary.

Mandatory end-of-contract documents

At the end of the employment contract, the employer is required to provide several documents to the employee. These documents are essential to assert your rights with CNSS, unemployment services, and your future employer.

Work certificate

The employer must issue a work certificate mentioning exclusively the entry date, exit date, and positions held (Article 72). No unfavorable mention may appear, under penalty of damages.

Final settlement receipt

This document details all sums paid at termination: severance pay, notice period, paid leave, wages due. The employee has 60 days after signature to contest it before the court.

CNSS salary certificate

The salary certificate is necessary to assert your rights to social benefits, health insurance, and unemployment allowance (IPE) with CNSS.

Dismissal letter

Keep the notification letter carefully: it specifies the reasons for dismissal and constitutes essential evidence in case of contestation. Without writing, the dismissal is presumed abusive.

Complementary tools from the e-RH Pro network

A dismissal also has a direct impact on your salary and social contributions. Continue your procedures with our free partner tools.

Morocco Net Salary Calculator

Calculate your net salary from gross: CNSS (4.29%), AMO (2.26%), IPE, and IR according to the 2026 scale. Essential to verify your last payslip.

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This calculation is indicative and based on general provisions of Moroccan labor law. Consult a professional for precise analysis of your situation. Calculated amounts are not subject to taxes.