Morocco

In Morocco, there are three main types of employment agreements as outlined in Article 16 of the Moroccan Labor Code. Each type offers varying durations and purposes for employment.

Indefinite-Term Contract (CDI - Contrat à Durée Indéterminée)

An indefinite-term contract, also known as a CDI, offers employment with no predetermined end date. This provides job security for the employee as long as the contract terms are met and reasons for termination are legitimate. While not mandatory by law to be written, a written CDI is recommended for clarity and to avoid future disputes. Evidence such as payslips and final pay receipts can be used to prove the existence of an indefinite-term contract if not written.

Fixed-Term Contract (CDD - Contrat à Durée Déterminée)

A fixed-term contract, or CDD, specifies a predetermined duration for employment. These contracts are typically used for temporary positions, seasonal work, or specific projects. The maximum initial duration of a fixed-term contract is one year. It can be renewed once, but upon reaching the two-year mark, the contract automatically converts into an indefinite-term contract. There are exceptional circumstances where fixed-term contracts can exceed one year, but these require specific justifications outlined by decree.

Contract to Perform a Specific Job (CCTT - Contrat de Travail à Temps Partiel)

A contract to perform a specific job, also known as a CCTT, is designed for a specific task or project with a predetermined end date tied to the completion of that task. Unlike a fixed-term contract, a CCTT's duration hinges on the completion of the specific job, and not a set timeframe.

Understanding these different types of employment agreements is crucial for both employers and employees in Morocco. It ensures clarity in expectations, duration of employment, and adherence to Moroccan labor laws.

Moroccan employment agreements should clearly identify the employer and employee, including full names, addresses, and identification details. The type of employment agreement and the employee's job title should be specified. The official start date of employment should be outlined. For fixed-term contracts and contracts for a specific job, the end date should also be included.

The employee's responsibilities and tasks associated with the position should be clearly defined. The standard workweek hours, including daily working hours and rest days, should be specified, adhering to the legal limit of 44 hours per week. The employee's base salary, payment frequency, and any additional benefits offered, such as transportation allowances, health insurance, or paid leave, should be detailed.

The grounds for termination should be outlined, following the Moroccan Labor Code's stipulations for just cause terminations or following proper procedures for redundancy. A process for resolving any potential disputes arising during employment should be established, which may involve internal mediation or recourse to the relevant labor tribunals.

The probationary period is an initial phase in an employment agreement in Morocco, providing both the employer and the employee an opportunity to evaluate suitability for the role. During this period, the contract can be terminated relatively easily, in accordance with legal guidelines.

Legal Framework

The probationary period's legitimacy and duration are governed by Article 9 of Morocco's Labor Code. The legal limits for probationary periods based on employment category are as follows:

• Executives: Three months
• Employees: One and a half months
• Workers: Fifteen days

It's important to note that these are the maximum allowable durations. Employment agreements can specify shorter probation periods if both parties mutually agree.

Purpose of the Probationary Period

The probationary period serves several purposes for employers and employees in Morocco:

• Employer Assessment: Employers can evaluate the employee's skills, work ethic, and suitability for the specific role.
• Employee Assessment: Employees can assess the work environment, company culture, and if the position aligns with their expectations.
• Mutual Termination: If either party determines the role is not a good fit, termination can occur more easily during the probation period, following the legal guidelines set forth in the Labor Code.

Termination During Probation

During the probationary period, termination can be initiated by either the employer or the employee with a minimum notice period of seven days, as outlined in Article 54 of the Labor Code. Just cause is not required for termination during probation, but proper notification must be provided.

Even during probation, there are limitations to termination. Moroccan anti-discrimination laws still apply during this period, and dismissal cannot be based on discriminatory grounds such as race, religion, or gender.

Moroccan employment agreements often include confidentiality and non-compete clauses to safeguard the employer's legitimate business interests. However, these clauses are subject to specific legal guidelines that determine their enforceability.

Confidentiality Clauses

Moroccan law, under Law No. 19-09, acknowledges the protection of trade secrets. A trade secret is defined as information that is not generally known or readily accessible and provides a commercial advantage to the employer. Confidentiality clauses can be incorporated into employment agreements to limit employee access and disclosure of confidential information. This information can include customer lists, technical processes, or marketing strategies. For the clause to be enforceable, the information identified as confidential must meet the legal definition of a trade secret.

Non-Compete Clauses

Non-compete clauses in Morocco are subject to stricter regulations compared to confidentiality clauses. Article 109 of the Dahir on Obligations and Contracts (DOC) permits non-compete clauses, but only under specific conditions. These conditions include:

• The clause must be essential to protect the employer's legitimate interests.
• The clause must be limited in time (generally a maximum of one year).
• The clause must be limited in geographical scope (usually a maximum of 200 kilometers surrounding the workplace).
• The limitations consider the employee's specific role and expertise.

It's important to note that courts will closely scrutinize non-compete clauses. If they are deemed excessively restrictive or not meeting the aforementioned criteria, they may be deemed unenforceable.