Mozambique

Employ in Mozambique without an entity.

A contract under Mozambique's 2023 Labour Law, pay in meticais, and social security and income tax handled every month. One contact and one invoice.

The facts of employing in Mozambique.

  • Paid in meticais, every month.

  • Up to 48 hours a week.

    Eight hours a day.

  • Social security at 7% of pay.

    4% from the employer and 3% from the employee.

  • A quota for foreign staff.

    Set by the size of the employer, explained below.

What employing in Mozambique involves, in plain words.

Each is handled for everyone you employ through Global Kinect EOR.

Contracts

Written, except fixed-term contracts for task work of 90 days or less.

  • A fixed term is for temporary needs, up to two years and renewable twice, then open-ended.
  • Trial period on an open-ended contract: two months in general, three for mid-level technicians, six for senior technicians and managers.
INSSSocial security

The Instituto Nacional de Segurança Social, from employer and employee alike.

  • 4% from the employer and 3% from the employee.
Income tax

Withheld by the employer each month, on progressive bands.

  • Nothing is withheld on monthly pay below MZN 20,250.
  • Above it, the rate on each band rises from 10% to 32%.
Leave

Annual, maternity and paternity leave are set by the Labour Law.

  • Annual leave: 12 calendar days in the first year of work, then 30 a year.
  • Maternity leave: 90 days, paid in full by the INSS after twelve months' contributions.
  • Paternity leave: 7 days.
Foreign staff

Foreign employees can make up a set share of the workforce, by notice to the Labour Minister.

  • 15% at a micro employer, 10% at a small one, 8% at a medium one and 5% at a large one.
  • Above the quota, the Labour Minister's authorisation is needed.
Ending employment

30 days' written notice before a termination for structural, technological or market reasons.

  • Severance: 30, 15 or 5 days' pay for each year of service, falling as the salary rises.
  • On a fixed-term contract, compensation is the pay due up to the end of the term.

Hiring in Mozambique, step by step.

  1. You choose the person

    And agree the role and the salary in meticais.

  2. The contract is put in place

    Under Mozambique's Labour Law, with a work permit where one is needed.

  3. They are paid monthly

    In meticais, with social security and income tax handled.

  4. You get one invoice

    With every other country you hire in.

Questions about employing in Mozambique

How many foreign employees can a company have in Mozambique?

Under Mozambique's 2023 Labour Law, foreign employees can make up 15% of the workforce at an employer of up to 10 staff, 10% at one of 11 to 30, 8% at one of 31 to 100, and 5% at a larger one, by notice to the Labour Minister. Above that quota, the Minister's authorisation is needed.

How long can a fixed-term contract run?
Up to two years, renewable twice, after which it becomes open-ended. It is for temporary needs.
Who pays maternity leave?
The INSS pays the full average daily pay for the 90 days, once the employee has twelve months of contributions in the last eighteen.

Employing in Mozambique, worked through in full.

The guide goes further than this page.

Hiring in Mozambique? Tell us about the role.