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Learn about employment contracts and agreements in Madagascar

Updated on April 25, 2025

In Madagascar, employment agreements are fundamental to the employer-employee relationship, outlining the terms and conditions of work. These agreements provide a legal framework that protects both the employer's interests and the employee's rights, ensuring clarity and stability in the employment relationship. Understanding the nuances of Madagascar's labor laws regarding employment contracts is crucial for businesses operating in the country to ensure compliance and avoid potential disputes.

Employment contracts in Madagascar must adhere to the Labor Code, which sets out the minimum requirements and standards for employment terms. Employers should be aware of the different types of contracts available, the essential clauses that must be included, and the regulations surrounding probationary periods, confidentiality, non-compete agreements, contract modifications, and termination procedures. This knowledge is essential for creating legally sound and effective employment agreements.

Types of Employment Agreements

Madagascar recognizes two primary types of employment agreements: fixed-term contracts and indefinite-term contracts. Each type has specific characteristics and implications for both employers and employees.

| Contract Type | Description of Madagascar.

  • Fixed-Term Contract (CDD): This type of contract has a defined start and end date. It is typically used for specific projects or temporary needs. The reasons for using a fixed-term contract must be justified and clearly stated in the agreement. According to Madagascar's labor laws, fixed-term contracts can only be renewed twice. After the second renewal, the contract automatically converts to an indefinite-term contract.
  • Indefinite-Term Contract (CDI): This type of contract does not have a specified end date and continues until terminated by either the employer or the employee. It offers more job security compared to fixed-term contracts.

Essential Clauses Required in Employment Contracts

To ensure compliance with Madagascar's labor laws, employment contracts must include certain essential clauses. These clauses provide clarity and protect the rights of both employers and employees.

| Clause | Description | | Job Title | Description
| Clause | Description | | Job Title | Description

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