The government bets on social dialogue to translate major financial commitments into tangible improvements for workers
The government led a new round of central social dialogue with the participation of the most representative unions, the General Confederation of Moroccan Enterprises, and the Moroccan Confederation of Agriculture and Rural Development, chaired by the Prime Minister. This meeting took place in a context marked by a “positive” assessment and an atmosphere of mutual commitment.
The discussions focused on the implementation of the agreements from April 2022 and 2024 and concluded with a confirmation of the ongoing negotiation dynamics, clearly aiming to complete reforms and enhance the material and professional conditions of workers in both the public and private sectors. The government noted that the achieved results were a consequence of the active engagement of all parties involved.
In the public sector, the state disbursed the first installment of a general salary increase (1,000 dirhams net in two phases) starting July 2024, benefiting public administration employees, local government officials, and public institutions not previously covered by the review. Vital sectors such as national education, higher education, and health saw salary improvements at a total cost exceeding 22 billion dirhams. These measures are expected to raise the average net monthly salary to 10,100 dirhams by 2026, compared to 8,237 dirhams in 2021, while the minimum wage in the public sector increased to 4,500 dirhams, representing nearly a 50% rise.
In the private sector, the minimum wage was raised by 15% in non-agricultural activities to reach 3,046.77 dirhams, and by 20% in agricultural activities to 2,255.27 dirhams. Additionally, the revision of the income tax system, effective from January 2025, is expected to improve the monthly income for a wide range of workers by more than 400 dirhams, with a financial impact exceeding 6 billion dirhams.
Social protection also recorded a new turning point, with a reduction in the number of subscription days required to benefit from retirement pensions from 3,240 to 1,320 days, with retroactive effects for those who retired since January 2023. For the first time, those who do not meet this threshold will be allowed to reclaim subscriptions, including the employer’s share.
The government committed to disbursing the second installment of the general salary increase (500 dirhams) in July 2025 and implementing a new 5% increase in the minimum wage in January and April 2026, with a gradual unification of the minimum wage by 2028. Discussions were opened regarding the review of the basic systems for professional categories including engineers, administrators, technicians, and labor inspectors.
The file of local government employees returned to the forefront following an agreement between the Ministry of Interior and the unions to continue dialogue on the basic system, with a new meeting scheduled for May 13. Additionally, it was decided to establish joint committees to draft conciliatory proposals regarding labor code amendments and the organization of union work.
Regarding pension systems, the discussions concluded with an agreement to form a national committee for comprehensive reform based on the principles outlined in the April 2024 agreement. The government intends to issue a directive mandating regularity in sectoral dialogue, with the Prime Minister committing to monitor its outcomes on the ground.
