Key Details
The most relevant changes introduced by the new Labor Law include:
Maternity Leave
Maternity leave has increased from 60 calendar days to 90 calendar days, regardless of whether it is a live birth or a stillbirth. While the first 60 days continue to be paid by Mozambique’s social security system, the additional 30 days are unpaid.
In addition, employers are now prohibited from terminating the employment agreement of an employee during pregnancy and for up to one year after their return from maternity leave.
Paternity Leave
Paternity leave has increased from one day of unpaid leave during the first 24 months following the birth of a child to seven unpaid days, which may be taken within 18 months from the birth of a child. Fathers are also now entitled to 60 days of paternity leave in the event of death or disability of the mother of their child.
Annual Leave
The annual leave entitlement for the first year of employment remains 12 calendar days. Previous allotments for the second year of service (24 days) and for three or more years of service (30 days) have been consolidated into a single allotment of 30 calendar days per year for all employees after the first year of employment.
Guardian and Foster Carers
All existing employment protections for working mothers and fathers are now extended to guardians and foster carers of minor children.
Quotas for Hiring Foreign Employees
The employment quota of foreign employees remains the same for larger employers:
- 5% of the total workforce for large employers (over 100 employees)
- 8% of the total workforce for medium-sized employers (31 to 100 employees)
The employment quota of foreign employees for smaller companies has changed:
- an increase to 10% from 8% of the total workforce for small employers (11 to 30 employees)
- an increase to 15% from 10% of the total workforce for micro employers (10 or fewer employees)
Termination Indemnity
In the event of termination due to structural, technological, or market reasons, employers were previously mandated to pay a termination indemnity of 20 days’ salary per year of service.
Under the new labor law, termination indemnities are structured as follows:
- 30 days of salary for each year of service when the worker’s base salary, including the seniority bonus, is between one and seven times the sector’s minimum wage
- 15 days of salary for each year of service if the worker’s base salary, including the seniority bonus, is between seven and 18 times the sector’s minimum wage
- Five days of salary for each year of service when the worker’s base salary, including the seniority bonus, exceeds 18 times the sector’s minimum wage
Next Steps
Employers should audit their current policies, procedures, handbooks, and agreements to bring them into compliance with the new leave allotments for maternity, paternity, and annual leave, as well as termination indemnity payment rates, and document expanded eligibility for employment protections to guardians and foster parents.
RESOURCES
