Mozambique is a southern African country with more than 30 million people. The country is famous for its beautiful coastlines along the Indian Ocean in Africa with miles of beaches for tourists. The port city Maputo is the capital of Mozambique, with more than one million people.
Individual employment contracts in Mozambique must be in writing and identify the employee and employer, working hours, workplace, duration, conditions for renewal, salary details, date when the contract begins, its term date and signatures.
Many contracts must be in writing, including:
Fixed-term contracts can be executed for temporary duties including but to limited to:
Contracts that do not specify a duration will be treated as a contract for an indefinite term even if the employer demonstrates the activity is temporary. Fixed-term contracts may be for a period of up to two years and may be renewed twice by agreement between the parties. The maximum probation period for indefinite-term contracts is 180 days for middle- and higher level technicians and leadership and management positions. For other employees, the maximum probation period is 90 days.
The standard workweek is limited to 48 hours and eight hours a day. Employees can work nine hours a day if the employer offers an extra half-day of rest a week. The limits on work hours do not apply to those in leadership, management, trust or supervisory positions. The employee is also entitled to a rest period of at least half an hour but not longer than two hours a day. When the work is a single uninterrupted shift, a period of at least half an hour is mandatory and counted as actual working time.
Employees also receive one day off per week, at least twenty-four consecutive hours, which is usually on Sunday. If the work is performed on a rest day or public holiday, the employee is entitled to a full day of rest the following three days. If the work does not exceed five consecutive or intermittent hours, the employee is entitled to a half-day of rest. Employees who perform work at night must be compensated at 125% of the regular, day-time wage. Night work is between 8:00 p.m. and when regular working hours begin on the following day, except shift work. Employees can work overtime, but no more than eight hours a day, 96 hours a quarter or 200 hours per year. Overtime is paid at 150% if performed during the day or 200% if performed at night. The standard workweek is capped at 45 hours or eight hours per day.
Employees receive 15 consecutive days of paid sick leave a year or up to five non-consecutive days in a quarter, after which an employer can refer the employee to the health board to determine the employee’s capability to work. Employees also may be eligible for benefits under Mozambique’s social security system. Eligible employees receive 70% of their average daily earnings for up to 365 days after a three-day waiting period. To be eligible, the employee must have made at least three contributions in the 12 months preceding leave.
Female employees receive paid maternity leave of 60 days, which may begin up to 20 days before the due date. Benefits are paid through Mozambique’s social security system. Employees receive 100% of their average daily earnings if they have made at least 12 months of contributions in the 18 months before the expected due date. Male employees are entitled to one day of paternity leave, every two years; it must be taken the day immediately following the birth.
The minimum wage varies depending on the business sector. Employers are not required to pay bonuses but performance-based and seniority bonuses are common.
Employees start with one day of annual leave for every month of service, which increases each year.
Mozambique has a public healthcare system, but most international employers offer private healthcare.
Employment contracts can expire or be terminated by mutual agreement or by either party (with or without just cause). An employment contract expires at the end of its term if for a fixed period, on the completion of work, or upon the death of the employer or employee. A mutual agreement by the employer and employee to terminate the employment relationship must be in writing and identify the effective date. An employee can withdraw their agreement but must notify the employer in writing within seven days and return any compensation received related to the agreement.
An employer can terminate an employment contract with cause. Employers may terminate an indefinite-term contract without just cause but for structural, technological or market-related reasons essential to maintain the competitiveness. The employer must provide notice of 30 days to the employee or the union. In this case, the employee is entitled to compensation.
For a fixed-term contract, the employer must pay compensation equivalent to the wages that the employee would have earned between the date of termination and the contractual end date. The employee must give the employer prior notice of at least seven days. The employee is entitled to compensation in an amount of 45 days of wages for every year of service or the amount remaining on a fixed-term contract. The employee may terminate the employment contract without cause by giving prior notice in writing to the employer.
We understand that local laws and regulations change and sourcing an accurate reference guide is not easy. Our data is researched and verified by our team of local international Employment Attorneys, HR and Benefit Professionals and Tax Accountants through our Atlas team and consultants, to ensure information up-to-date and accurate.
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