How is severance calculated in Morocco?

96 hours of pay per year for the first 5 years, 144 for years 6 to 10, 192 for years 11 to 15 and 240 beyond that.

Who is entitled to severance pay in Morocco?

Employees on a permanent contract with at least 6 months of service who are dismissed without serious misconduct.

Severance pay in Morocco: legal scale and example

Q: What is the maximum for unfair dismissal in Morocco?

A court can award up to 1.5 months of pay per year of service, capped at 36 months, on top of severance.

Wadifa Info · updated 31 October 2026 · Also in French and Arabic

In short: an employee on a permanent contract with at least 6 months of service, dismissed without serious misconduct, is owed 96 hours of pay per year for the first 5 years, then 144, 192 and 240 hours. Notice and unused leave come on top. Unfair dismissal can add damages of up to 36 months of pay.

What is the legal severance scale?

Years of service	Severance per year
First 5 years	96 hours of pay
Years 6 to 10	144 hours
Years 11 to 15	192 hours
Beyond 15 years	240 hours

The scale is in article 53 of the Labour Code. The hourly rate is the average over the last 52 weeks, and part of a year counts pro rata.

Worked example

8 years of service at MAD 5,000 a month (about MAD 26 an hour): 5 × 96 × 26 = MAD 12,480, plus 3 × 144 × 26 = MAD 11,232. That is about MAD 23,700, before notice and leave. A calculator is on the French page.

What about unfair dismissal?

Without the legal procedure or a valid reason, a court can award damages of up to 1.5 months of pay per year of service, capped at 36 months, on top of severance.

Does serious misconduct cancel severance?

Yes, but the list of misconduct is limited, and a hearing within 8 days with written minutes is still required. Without it, the dismissal becomes unfair even if the misconduct is real.

Sources

Labour Code (law 65-99), including article 53.

Information only, not legal advice. Reuse with a link to this page (CC BY 4.0). Corrections: [email protected].