Minimum Wage in Morocco (2024)
Minimum Wage in Morocco : Increase in Morocco from September 2022
After several discussions between the government and the unions, the Guaranteed Interprofessional Minimum Wage in Morocco and the Guaranteed Agricultural Minimum Wage in morocco increase from September 1, 2022.
These discussions take place within the framework of the national charter on social dialogue. Indeed, after several rounds, the parties signed an agreement on Saturday April 30, 2022.
The parties to this agreement are:
- First, the Moroccan government;
- Secondly, the CGEM: The general confederation of businesses in Morocco ;
- Finally, the most representative union centers.
A signing ceremony coincided with the celebration of Labor Day, Sunday May 1, 2022.
What are SMIG and SMAG (minimum wage in Morocco) ?
SMIG is an acronym (in French) which means: Guaranteed Minimum Interprofessional Salary. In fact, this is the minimum amount that an employer can grant to an employee in compensation for their salary. In Morocco, this minimum is calculated on an hourly basis.
In Morocco, this salary is different in the agricultural sector. We are therefore talking about SMAG: Guaranteed minimum agricultural wage.
Reminder of legal provisions:
The legal minimum wage cannot be lower than the amounts set by regulation for agricultural and non-agricultural activities after consulting the most representative professional organizations of employers and the most representative union organizations of employees.
In non-agricultural activities, the legal minimum wage is calculated according to the value determined by the regulations in force. Tips and accessories, in cash or in kind, are taken into account when determining the legal minimum wage. In agricultural activities, benefits in kind are not taken into account when calculating the legal minimum wage.
Article 360 of the labor code
Any individual or collective agreement tending to lower wages below the legal minimum wage is automatically void.
Who are the unions that signed the agreement?
The agreement comes with the signature and adhesion of the unions most representative of Moroccan employees.
Currently, the most representative unions are:
- First, the Moroccan Labor Union (UMT);
- Second, the Democratic Confederation of Labor (CDT),
- Third, the General Union of Moroccan Workers (UGTM)
What is the new minimum wage in Morocco?
From September 2022, the new SMIG (Guaranteed Interprofessional Minimum Wage) is 15.55 dirhams for one hour of work. In fact, this represents an increase of 5% compared to the SMIG in force until then which was 14.81 dirhams.
Furthermore, the stakeholders concluded a subsequent increase which will come into force on September 1, 2023. For this purpose, the SMIG will be 16.29 dirhams.
SMAG: Guaranteed minimum agricultural wage
Furthermore, the legal minimum wage for a day of work in the agricultural sector will be 84.37 DH instead of 76.70 DH, from September 2022.
Then, 88.58 DH instead of 84.37 DH from September 2023.
Public sector
Finally for the public sector, the SMIG will increase from 3,000 to 3,500 DH per month.
Impact on payroll in companies
Companies will have to take these new rates into account in their payroll from September 2022.
Thus, we distinguish 2 categories of employees:
- First, employees who already had a salary higher than the new SMIG: No changes expected;
- Secondly, employees who had a salary lower than the new SMIG: the basic salary will have to be modified to coincide with the new pricing.
The calculations of CNSS, IR and other deductions must be adapted accordingly.
Read the article in French : Salaire minimum au Maroc
Payroll Management in Morocco – Upsilon Consulting
Upsilon Consulting provides comprehensive payroll management services. They assist businesses in drafting employment contracts, preparing payrolls, and ensuring compliance with tax and social security obligations. Their team ensures adherence to Moroccan regulations and standards.
