Moroccan Labor Code - Legal Articles

Consult the official articles of the Moroccan Labor Code

Here you can find the main articles of the Moroccan Labor Code regarding termination, leave, and working hours. For practical explanations, see our calculation guide or the FAQ.

Legal Framework of the Moroccan Labor Code

The Moroccan Labor Code was enacted by Dahir n° 1-03-194 of September 11, 2003, published in the Official Bulletin on December 8, 2003. It consists of 6 books and 589 articles covering all aspects of employment relationships in the private sector.

Structure of the Labor Code

  • • Book I: General provisions and individual employment contracts
  • • Book II: Collective labor relations and trade unions
  • • Book III: Health, safety and working conditions
  • • Book IV: Work inspection and labor courts
  • • Book V: Occupational training
  • • Book VI: Penalties

The provisions on severance pay (Articles 51-59), notice periods (Article 43), and paid leave (Articles 231-246) are fundamental social rights that cannot be waived by contract.

Key Articles on Severance and Termination

Article 41 - Damages for Abusive Dismissal

Official text:

"The employee dismissed abusively is entitled, in addition to severance pay and notice compensation, to damages equal to one and a half months of salary per year of seniority, capped at 36 months."

💡 Practical Commentary

  • • Abusive dismissal = dismissal without real and serious cause
  • • Formula: Seniority (years) × 1.5 months of salary (max 36 months)
  • • Examples of abusive dismissal: discrimination, retaliation, no stated reason
  • • The burden of proof lies with the employer to justify the dismissal
  • • Damages are separate from and in addition to severance pay

Article 43 - Notice Periods

Official text:

"Notice period duration varies according to the employee's category and seniority with the employer. For employees and workers: 8 days if seniority less than 1 year, 1 month if 1 year or more. For managers and supervisors: 1 month if seniority less than 1 year, 3 months if 1 year or more."

💡 Practical Commentary

  • • Employees (non-management): 8 days or 1 month depending on seniority
  • • Managers/supervisors: 1 month or 3 months depending on seniority
  • • Seniority threshold is 1 year with the same employer
  • • Employer can waive notice period but must pay compensation in lieu
  • • Employee working during notice period receives normal salary
  • • Entitled to 2 hours per day off to search for new employment during notice period

Article 52 - Severance Pay Calculation

Official text:

"The employee dismissed from the company is entitled to severance pay calculated on the basis of 96 hours of salary per year of seniority for the first 5 years of service, 144 hours per year for the period from 6 to 10 years, 192 hours per year for the period from 11 to 15 years, and 240 hours per year beyond 15 years."

💡 Practical Commentary

  • • Progressive scale: Higher rates with increasing seniority
  • • Hourly reference rate: Gross monthly salary ÷ 191 hours
  • • Calculation done bracket by bracket (cannot average the rates)
  • • Fractions of a year always counted (e.g., 5 years 7 months = 5.58 years)
  • • Reference salary includes base + bonuses + regular allowances
  • • Excludes: expense reimbursements, one-time bonuses, benefits in kind

Article 53 - Eligibility Conditions

Official text:

"The right to severance pay is acquired after 6 months of continuous service with the same employer. However, in case of termination of the employment contract before completing one year of service, the employee is only entitled to an allowance equal to 96 hours of salary for the period worked."

💡 Practical Commentary

  • • Minimum seniority: 6 months continuous service required
  • • Under 1 year: fixed rate of 96 hours regardless of actual time worked
  • • From 1 year onwards: progressive scale applies (96h, 144h, 192h, 240h)
  • • Continuity breaks if more than 6 months interruption between contracts
  • • Trial period counts toward seniority calculation

Article 59 - Loss of Rights for Gross Misconduct

Official text:

"An employee dismissed for gross misconduct loses the right to severance pay and notice compensation provided for in Articles 51 and 52 above."

💡 Practical Commentary

  • • Gross misconduct must be proven and justified by employer
  • • Examples of gross misconduct: theft, violence, prolonged job abandonment, intoxication, breach of professional secrecy
  • • In case of gross misconduct, only current month salary + unused leave remain due
  • • Employee can challenge gross misconduct classification in court
  • • If court invalidates gross misconduct, all compensations become due + damages

Article 232 - Paid Leave and Seniority

Official text:

"Annual leave duration is increased by one and a half days of actual work per complete five-year period served with one or more employers. However, total leave duration cannot exceed thirty days of actual work."

💡 Practical Commentary

  • • Base duration: 1.5 days/month = 18 days/year after 6 months of service
  • • Increase: +1.5 days per complete 5-year period
  • • Calculation: 10 years → 18 + 3 = 21 days; 15 years → 18 + 4.5 = 22.5 days
  • • Maximum cap of 30 days reached after approximately 40 years seniority
  • • Upon termination, compensatory allowance based on these durations

Article 272 - Economic Dismissal

Official text:

"An employer intending to proceed with dismissal for economic, technological or structural reasons of all或 part of their employees must engage in negotiations with employee delegates and union representatives in the company, if they exist, to reach an agreement on measures likely to prevent, reduce the number of dismissals or mitigate their negative effects, particularly through recourse to means such as reduction of normal working hours, part-time work, temporary suspension of contracts, retraining and internal redeployment."

💡 Practical Commentary

  • • Economic dismissal follows special procedure (mandatory negotiations)
  • • Government authority authorization required if ≥ 10 employees
  • • Legal compensations (Art. 52) remain due + potential negotiated increases
  • • Employer must propose social plan in case of collective dismissal
  • • Priority rehiring period: 1 year after economic dismissal

Hierarchy of Labor Norms and Collective Agreements

1️⃣

Labor Code (Law)

Minimum foundation of rights applicable to all private sector employees. No provision of lower origin can be less favorable.

2️⃣

Collective Agreement

Agreement negotiated by industry sector (banking, textiles, construction, etc.). Can improve Labor Code rights but never reduce them.

3️⃣

Employment Contract

Individual agreement between employer and employee. Can provide more advantageous conditions than law and collective agreement, but never inferior.

4️⃣

Company Agreement

Internal agreement negotiated with employee representatives on topics like working time, profit-sharing, internal mobility.

5️⃣

Internal Regulations

Employer-issued rules on company organization and discipline. Mandatory for companies with ≥ 10 employees, must comply with higher norms.

➡️ Key Principle: Favor Principle

In case of conflict between norms of different levels, the most favorable provision to the employee always applies. This principle protects workers' rights.

Main Collective Agreements in Morocco

🏦 Banking and Financial Institutions

Agreements covering banks, insurance companies, stock brokers with enhanced social benefits.

🧵 Textile and Leather

One of Morocco's oldest agreements, covering manufacturing and export sectors.

🏗️ Construction and Public Works (BTP)

Specific provisions for project-based work and housing allowances for workers.

⚕️ Private Clinics

Private healthcare sector collective agreement with specific rules for medical staff.

🚗 Automotive and Repair

Covers garages, dealerships and workshops with provisions on qualifications.

📡 Telecommunications

Modern agreement with clauses on continuous training and professional mobility.

Legal Recourse in Case of Dispute

1. Amicable Phase (mandatory)

• Labor Inspection: Conciliation attempt between employer and employee

• Free, fast (few weeks), but non-binding

• If failure or no response: move to judicial phase

2. Court of First Instance

• Filing deadline: 90 days from contract termination

• Lawyer required (except exceptional waiver)

• Average duration: 6 to 18 months depending on complexity

• Court examines whether dismissal had real and serious cause

3. Court of Appeal

• Appeal against first instance judgment

• Appeal deadline: 30 days from judgment notification

• Average duration: 12 to 24 months

4. Court of Cassation

• Appeal only on legal questions (no re-examination of facts)

• Filing deadline: 30 days

• Final instance of appeal

⚠️ Important Limitation Periods

  • • Dismissal challenge: 90 days
  • • Salary claims: 2 years
  • • Workplace accident: 2 years

Warning: After these deadlines, your rights are permanently lost!

Legal Notice

These articles are extracted from the official Moroccan Labor Code (Dahir No. 1-03-194). For complete and official consultation, refer to the full text published in the Official Bulletin.