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flag Morocco Morocco: Operating a Business

In this page: Setting Up a Company | The Active Population in Figures | Working Conditions | Cost of Labor | Social Partners

 

Setting Up a Company

S.A.R.L.(private limited company)
Number of partners: 1 minimum and 50 maximum
Capital (max/min): 10,000 MAD
Shareholders and liability: Responsibility is limited to the amount of contributions.
S.A.(public limited company)
Number of partners: 5 minimum with no maximum
Capital (max/min): 3,000,000 MAD to open a listed public limited companies and 300,000 MAD for a Public Liability company.
Shareholders and liability: Responsibility is limited to the amount of contributions.
Partnership
Number of partners: 2 partners at the minimum
Capital (max/min): no minimum capital.
Shareholders and liability: Responsibility is unlimited.
Limited Partnership
Number of partners: 2 partners at the minimum
Capital (max/min): no minimum capital.
Shareholders and liability: Responsibility is limited
Partnership limited by shares
Number of partners: 3 sleeping partners and one active partner.
Capital (max/min): no minimum capital.
Shareholders and liability: Responsibility is unlimited and several for some and limited to the amount of contributions for others.
The Competent Organization
The Regional Investment Center.
 
Setting Up a Company Morocco Middle East & North Africa
Procedures (number) 6.0 8.0
Time (days) 12.0 23.0

Source: Doing Business.

 
Business Setup Procedures
Consult Doing Business Website, to know about procedures to start a Business in Morocco.
Trade Register

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The Active Population in Figures

201120122013
Labor force 11,540,00011,780,00011,730,000

Source: CIA - The world factbook

 
200920102011
Total activity rate -52.30%49.50%
Men activity rate 80.10%74.70%74.70%
Women activity rate 26.20%25.90%26.20%

Source: UN - United Nations

 
Employed Persons, by Occupation (% of Total Labor Force) 2008
Construction 8.9%
Transport and Storage 4.4%

Source: International Labor Organization (ILO)

 
For Further Statistics
High Commissioner for Planning
The economist
For Further Information About the Labor Market
Pay management

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Working Conditions

Legal Weekly Duration
44 hours per week for non-agricultural sector.
48 hours per week for agricultural sector.
Retirement Age
60 years generally and 55 years for miners.
Working Contracts
Employment regulations have been adopted in July 2003 and are in force since June 2004. Employment contract is governed by legal provisions and to a lesser extent by collective agreements and individual negotiations.
The employment contract form is rather rigid. Three types of contracts coexist: the permanent contract, the fixed term contract and the contract to complete a given work.
Labor Laws
Consult Doing Business Website, to obtain a summary of the labor regulations that apply to local entreprises.

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Cost of Labor

Minimum Wage
MAD 2,230 per month (source: ILO, 2011).
Average Wage
Average monthly gross earnings in Morocco is MAD 3,780 (USD 474).
Social contributions
Social Security Contributions Paid By Employers: 18.10 %
Social Security Contributions Paid By Employees: 6.29%

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Social Partners

Social Dialogue and Involvement of Social Partners
Historically unions had important influence but it has reduced. Article 29 of the Constitution gives workers the right to strike, but no detailed law defines it. Although unions claim high membership rates, Morocco has about 600,000 unionized workers, less than 6% of the 11.26 million-strong workforce. Three federations stand out among the 17 existing trade unions: Moroccan Union of Work (UMT), the Democratic Confederation of Work (CDT), and General union of the Workers of Morocco (UGTM).
Their negotiation powers are overall weak because of the rupture and a rather cloudy management, but they are rooted in the company.
Unions
Unions in Morocco
General Union of the workers of Morocco (In French)
Unionization Rate
6% (official figures)
Labor Regulation Bodies
Ministry for Employment and Professional Training
Social Security National Office

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Last Updates: February 2015