Mozambique is a country on the south-eastern coast of Africa. To the west it is bordered by Zimbabwe, Zambia, and Malawi; to the north it is bordered by Tanzania; and to the south it is bordered by Eswatini and South Africa. Mozambique has an east-facing coast, bordering the Indian Ocean alongside neighboring countries Madagascar and Comoros. The nation has a total area of 801,590 square kilometers, including a white sand coastline, mountain plains, and harbors. Agriculture, Industry, and as of more recently, Tourism make up large sectors of the economy. Some of Mozambique’s exports include coal, aluminum, petroleum, and tobacco.
*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Mozambique.
Capital : Maputo | Currency : Mozambican Metical (MZ, MT)* | Languages spoken : Portuguese |
Population : 32.16 Million (2021 est.) | Minimum wage 2023 : MZ 8,758 | Cost of Living index : - |
Payroll Frequency : Weekly, fortnightly, or monthly | VAT - standard rate : 17% | GDP - real growth rate : 3.8% (2021 est.) |
The holidays mentioned below are valid for the year 2023.
The approximate time for sharing the contract with an employee in Mozambique is 14 business days assuming no special requests or changes to our standard employment contract. Any such requests or changes would need to undergo internal and external review, directly leading to a time delay.
NOTE: This number is subject to change and is only an estimation of the Contract Sharing Time. The estimated Contract Sharing Time begins from the moment that WorkMotion has received all required information from both the client and the employee.
Working hours should not exceed 48 hours per week or eight hours per day. The average weekly working time of 48 hours should be calculated using a reference period not exceeding six months.
Any work performed over and above the normal daily working hours is considered to be overtime.
Overtime performed until 8 PM should be paid at the normal wage rate, plus 50%. Overtime performed between 8 PM at night and the start of the normal working hours of the following day should be paid at the normal wage rate, plus 100%.
Both permanent and fixed term employment contracts may be subject to probation periods:
Type of Employment Contract | Maximum Length of Probation Period |
Permanent |
|
Fixed |
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When terminating a contract, the employer must provide the employee with a notice period. The length of this notice period depends on whether the employee is in the probation period or not:
Status of Employee | Notice Period |
After Probation Period | At least 30 days |
During Probation Period | A minimum of 7 days advance written notice |
Denunciation of a permanent employment contract by the employee requires prior notice in accordance with the following time periods:
Length of Service | Notice Period |
6 months to 3 years | 15 days |
More than 3 years | 30 days |
Employees are entitled to the following paid annual holidays:
Length of Service | Holiday Entitlement |
First year of service | 1 day for every month of actual service |
Second year of service | 2 days for every month of actual service |
Third year of service onwards | 30 days for every year of actual service |
Employees employed for a fixed term of more than three months but less than one year are entitled to holidays of one day for every month of actual service.
There is no specific statutory provision for sick leave. Leave taken on the basis of sickness is typically classified as a “justified absence”. This absence may be offset from the employee’s annual leave by deducting the equivalent number of days taken in absence (up to a maximum of 10 days per year of continuous employment), or by discounting the days of absence from the employee’s remuneration. In the latter case, this must be chosen by the employee. Without prejudice to provisions on social security, no remuneration is paid for periods of justified absence.
Female employees are entitled to an absence from work for up to 30 days each year to take care of their minor children in cases of accident or illness that should be considered justified absence and should not result in any loss of rights, except with regard to remuneration.
Employees are entitled to maternity leave of 60 consecutive days which may commence 20 days prior to the expected delivery date and which may be enjoyed consecutively. This leave of absence should apply equally to cases of full term or premature births, regardless of whether it was a live birth or a stillbirth.
Mandatory Social Security pays for maternity leave.
Male employees are entitled to paid paternity leave for one day, every two years, and this day should be taken on the day immediately following the birth.
The following are considered justified absences:
At the duly justified request of the employee, the employer may grant the employee unpaid leave for such period as the parties may agree. This is provided that the employee has already taken the annual holidays to which the employee is entitled to in that calendar year.
The employer’s contribution to social security in Mozambique is set at 4% of the monthly payroll.
The social protection system is structured on three levels:
The employer’s contribution to health insurance is included under the employer’s social security contributions: 4% of monthly payroll.
The healthcare system in Mozambique is split into three programs:
Social insurance coverage is available to both full and part-time employees, apprentices, seasonal workers, self-employed individuals, and any public sector employees who are not protected by a special system.
The total cost of accident insurance is covered by the employer.
Employers should have collective insurance for their employees, for the coverage of work accidents and occupational illness. This is provided through a private carrier.
The Programa Acção Social Produtiva scheme seeks to support people with work capacity who are living in poverty and other vulnerable situations. This scheme provides people who work at least four hours per day, across at least four days per week, with a monthly allowance of MZN 1,050.
The employer’s contribution to the pension is included in the 4% contribution to social security.
The pensionable age is 55 years for women and 60 years for men. Employees are entitled to a pension if they have been enrolled in the social security system for at least 20 years prior to application, and have contributed for at least 10 years or 120 months.
Alternatively, regardless of age, the employee becomes entitled to a pension if been enrolled in the social security system for at least 30 years or has completed 25 years or 300 months worth of contributions.
Survivor benefits are funded through social security. This is included in the 4% contribution made by employers.
In the case of the death of an employee, the employee’s partner and/or their children are entitled to a survivor’s benefit. The maximum combined survivor pension is 80% of the employee’s annual earnings.
Spouse’s Pension
60% of the employee’s annual earnings is paid to the deceased’s partner.
Orphan’s Pension
25% of the employee’s annual earnings before death is paid for each child who is:
30% of the employee’s annual earnings is paid if there is only one orphan, up to 80% for full orphans.
If there is no eligible partner or child of the deceased, 15% of the employee’s annual earnings is paid for each other eligible survivor.