Morocco has an average base salary of 106,853 MAD/year (Moroccan dirham), which is nearly USD 11,339.24 as per the exchange rates of February 2022.
This is less than most developed countries which Morocco has been trying to turn in its favor.
With the fifth-highest gross domestic product in Africa, Morocco has been growing into an outsourcing hotspot in recent years.
And if you’re looking to shift some of your business to this beautiful country located in North Africa, you’ll need to know more numbers and trends of the job market to plan a smooth transition.
In this article, we’ll discuss the average salary of Morocco, including statistics, salary comparisons, and the cost of living. We’ll also look at the top three benefits of outsourcing to Morocco.
This Article Contains:
(Click on the links to jump to a specific section)
- Average salary in Morocco: Statistics and trends
- The cost of living in Morocco
- 3 key benefits of outsourcing to Morocco
Let’s begin the number game!
Average salary in Morocco: Statistics and trends
The average basic salary in Morocco is 106,853 MAD per year. As per the exchange rates in February 2022, this amounts to approximately USD 11,339.24 per year.
This is less than the annual average salaries of the US ( USD 56,310) and many European countries.
A Moroccan employee earns an average hourly wage of 51.37 MAD.
However, the average salaries won’t give you an accurate picture of the Moroccan salary rates. It depends on many factors such as:
- Job title.
- Education level.
- Years of experience.
- Cost of living.
- And more.
Looking at the average salary of Morocco from different perspectives will help you determine what to pay your Moroccan employees.
So let’s explore the various aspects of Moroccan salaries.
Note: All salary estimates mentioned in this article are only guidelines. Individual salaries may vary based on various factors such as education, experience, location, and job title.
A. Median salary in Morocco
According to Salary Explorer’s salary survey data of 2022, the median salary in Morocco is 18,200 MAD (USD 1,926) per month.
Median salary refers to the mid-value of salaries in ascending order. This means that half of the Moroccan population earns more than 18,200 MAD, and the rest earn less.
B. Salary range in Morocco
In Morocco, the average salary can range from a minimum salary of 4,910 MAD (USD 524.32) to a maximum salary of 86,700 MAD (USD 9,258.37) per month.
Note: These figures represent the average minimum and maximum salary. The actual maximum salary and minimum salary may differ.
C. Average salaries in major cities
Here’s a list of average salaries in some of the most thriving Moroccan cities:
|City||Average Monthly Salary|
D. Salary comparison by experience
Every business demands experienced employees and is willing to pay them more than others.
According to Salary Explorer’s salary survey data of 2022, the same can be said for Morocco:
|Experience Level (in years)||Salary Increase (in percentage)|
|2 to 5||32%|
|5 to 10||36%|
|10 to 15||21%|
|15 to 20||14%|
E. Salary comparison by education
Here’s how salary figures according to educational qualifications:
- Employees with a certificate or diploma earn 17% more than their peers with a high school education.
- People with a Bachelor’s degree could get 24% more than people with diplomas.
- An employee with a Master’s degree may earn 29% more than someone with a Bachelor’s degree.
- An employee with a Ph.D. degree can expect an increase of 23% than the employees with a Master’s degree.
F. Minimum wages
The minimum wage is the lowest remuneration an employer must pay its employees, prescribed by a country’s government.
This protects the employees from unfair pay and ensures at least a minimum standard of living.
In Morocco, the minimum wage is 3,000 MAD (USD 300) per month in the public sector and 2,570.86 MAD (USD 265) in the private sector. Meanwhile, the minimum wage for agricultural workers is 69.73 MAD (USD 7).
Morocco’s minimum wage is one of the highest in Africa – after Seychelles and Libya. It’s also higher than many American states like South Carolina, Washington DC, etc.
G. Annual salary increment rate
A Moroccan employee is typically expected to get a 9% increase in their salary every 17 months. This is higher than the world average of 3% every 16 months.
However, this figure could fluctuate due to different industry standards and experience levels:
1. Annual increment rate by industry
Here’s a list of different industries and their annual increment rate in 2022:
|Industry||Annual Increment (in percentage)|
2. Average salary increment rate by experience level
Every employer tries to attract experienced employees by offering them a higher salary.
Here’s how the salaries increase depending on the employee experience in Morocco in 2022:
|Experience Level||Average Annual Salary Increment|
|Junior Level||3% – 5%|
|Mid-Career||6% – 9%|
|Senior Level||10% – 15%|
|Top Management||15% – 20%|
H. Salary comparison by professions
The 2022 salary survey data of Salary Explorer shows that some of the jobs with higher salaries are in the healthcare sector, aviation industry, and human resource management.
Given below are 10 professions and their respective average salaries in Morocco:
|Experience Level||Average Annual Salary Increment|
|Aerospace Engineer||24,700 MAD|
|Business Development Manager||30,600 MAD|
|Construction Project Manager||33,300 MAD|
|Human Resources Manager||28,900 MAD|
|Mechanical Engineer||19,100 MAD|
|Project Manager||24,400 MAD|
|Software Engineer||18,700 MAD|
|Web Developer||15,900 MAD|
The cost of living in Morocco
Cost of living is basically the amount of money a Moroccan employee needs to pay for basic amenities like accommodation, food, healthcare, electricity, etc.
Without considering the rent, the cost of living for a family of four is around 13,820.99 MAD and 3,906.10 MAD for a single person.
This is much lower than the regions like Abu Dhabi or Johannesburg.
Now, let’s take a look at the three facets of Morocco’s cost of living:
1. Cost of accommodation
Renting a house in the city’s center is costlier than renting one in the outskirts.
A one-bedroom apartment in the city has a monthly cost of approximately 2,939.47 MAD, while it can cost around 1,705.11 MAD outside the city.
Additionally, a three-bedroom apartment costs around 2,820.68 MAD in the outskirts. The same could cost 5,278.32 MAD in the city.
2. Cost of restaurants and utilities
The costs of restaurants vary according to the city and restaurant type.
For example, dining at an inexpensive restaurant could cost around 30 MAD, while a three-course meal for two could amount to 200 MAD in a mid-range restaurant.
Daily grocery items like rice, milk, vegetables, etc., are easily available and affordable.
3. Cost of transportation
Morocco is a well-connected country with a thriving public transport system, including buses, trains, and flights. One-sided bus journey costs around 5 MAD, whereas a monthly pass can amount to 150 MAD.
Your employees can also hire private taxis or drive a rented car by themselves.
Gasoline prices, however, are high compared to regions like the United States, the Middle East, Algeria, or South Africa. But it’s still lower than the United Kingdom, South Korea, North Macedonia, New Zealand, etc.
The cost of living often determines the employees’ salaries and the expense of a business setup. So Morocco’s low cost of living means that you’ll be able to set up a business that’s cost-effective and saves money.
If you’re looking for more reasons, check out the benefits of outsourcing business processes to Morocco.
3 key benefits of outsourcing to Morocco
Morocco has several advantages that make it an excellent outsourcing country to do business with. Here are the top three benefits it offers:
1. Multilingual population
One of the many problems businesses face while outsourcing is the language barrier which could disrupt the workflow.
However, Morocco, also known as Morac, has a rich culture thanks to the European, African, Berber, and Arabic influences.
The exposure to European culture allows many Moroccans to converse in fluent English. That’s why Morocco already has a booming call center and BPO industry – communicating with clients all over the world.
Besides, many Moroccans are also fluent in Spanish and French. This multiple-language proficiency attracts many European companies to do business with them as Moroccans can communicate well with outsourcing companies.
2. Availability of cheap labor
Morocco suffers from a high unemployment rate, which stood at 11.45% in 2020. It also has an alarming youth unemployment rate.
According to USAID labor statistics, 80% of Morocco’s job seekers fall between the ages of 15-34.
This is beyond the country’s capacity to generate jobs, especially when a large section of the population is illiterate. To counteract this, the government has been promoting education with the help of international organizations like the World Bank, UN, etc., to make people job-ready.
On the bright side, this can favor outsourcing companies as they can now hire a young, talented, and cheap workforce. This way, the companies outsourcing in Morocco can scale higher, save money, as well as support the country’s economy.
You can also hire anonymous employees from Morocco with the help of a professional employer organization (PEO), as they hire and maintain employees for any job type.
Doing so will save you the trouble of going through hundreds of job ads and even set-up a remote workplace.
3. Government support
The Moroccan economy has been unable to create jobs for the country’s large unemployed population.
This is why the Moroccan government supports outsourcing, offshoring, and nearshoring industries with incentives like subsidies and relaxation of taxes for foreign companies.
These measures have already led major companies like Renault and General Electric to invest in the country, resulting in new job openings.
The political stability, economic reforms, and government support ensure that outsourcing companies have a smooth transition into the country.
Morocco has been steadily growing as one of the most important players in the game of outsourcing to Africa.
It offers proximity to Europe, fast-developing industries, educated youth, a multilingual population, and cheap labor — all of which can immensely benefit you if you outsource your business to Morocco.
So if you’re planning to outsource your business to Morocco, use the information provided in this article to plan your move right, hire well, and pay adequately.