Mozambique (MZ)
Portuguese-speaking East African country with 2,500 km of Indian Ocean coastline, extraordinary marine parks, growing LNG energy sector, and low cost of living for expats in Maputo.
Employment Rights
Sick leave, dismissal protection and red flags in Mozambique.
Mozambican employment law is governed by the Labour Law (Lei do Trabalho, Law 23/2007 as amended). The law provides strong protections for workers including minimum wage, severance pay (compensação), annual leave, and protection from unfair dismissal. Foreign employees have the same labour rights as Mozambican nationals under the law. The Ministry of Labour, Employment and Social Security (MITESS) is the enforcement authority. INSS (Instituto Nacional de Segurança Social) contributions are mandatory for all employees. The 5% foreign worker quota (no more than 5% of a company's workforce can be foreign nationals) is a key constraint employers must manage.
Sick leave
Rules: Under the Labour Law, employees are entitled to sick leave with pay for a period determined by their length of service. Short-term sickness (up to 30 days per year): full pay. Extended illness: INSS provides sick pay benefits after the employer's obligation period. The employer must be notified on the first day of absence.
Doctor note: A medical certificate (atestado médico) from a licensed doctor is required from the first day of absence. For short absences (1–2 days), some employers accept a declaration, but a medical certificate is required for anything beyond 2 days.
Employer pay: Full salary for the first 30 days of certified sickness absence per year. Beyond 30 days: INSS sick pay applies (a percentage of salary, subject to INSS contribution history).
Long-term: INSS provides sick pay benefits (subsídio de doença) for employees incapacitated beyond the employer's paid sick leave obligation. Application is through the employer's INSS representative. Expats on international contracts may have separate employer-provided disability insurance that supersedes the INSS benefit.
Dismissal protection
Law: The Labour Law (Law 23/2007 as amended) requires a valid reason (justa causa) for dismissal. Unfair dismissal entitles the employee to reinstatement or severance compensation (compensação). The employer must follow a formal disciplinary process for misconduct-based dismissals, including written notice and an opportunity for the employee to respond. Redundancy (collective dismissal) requires MITESS approval and adherence to consultation and compensation procedures.
Deadline to sue: An employee must file a claim for unfair dismissal at the Tribunal de Trabalho (Labour Court) within 60 days of receiving notice of dismissal. Seek legal advice immediately upon receiving dismissal notice.
Probation
Under the Labour Law, probation periods are limited: 60 days for professional or qualified workers; 180 days for management, supervisory, or senior technical roles. During probation, either party can terminate without notice and without severance payment. After the probation period, full employment protections apply. Probation must be explicitly stated in the written employment contract.
Notice periods
Notice periods under the Labour Law depend on length of service: less than 1 year — 7 days; 1–5 years — 30 days; over 5 years — 60 days. These are minimums — many contracts specify longer periods. Severance pay (compensação) on dismissal without just cause: 30 days of salary per year of service, subject to negotiation. Employer and employee may agree a mutual termination (rescisão por mútuo acordo) with a negotiated settlement.
Working time
Max hours: 8 hours per day, 48 hours per week maximum under the Labour Law. Some sectors (extractive industry, offshore workers) have specific regimes.
Min rest: Minimum 11 consecutive hours rest between working days. Minimum 1 full rest day per week (typically Sunday, but flexible by agreement). Workers are entitled to a minimum 1-hour lunch break.
Overtime: Overtime must be voluntary (with limited exceptions) and compensated at: 50% premium for the first 2 hours; 75% premium thereafter; 100% premium for work on rest days or public holidays. Overtime cannot exceed 2 hours/day or 8 hours/week without MITESS approval. Maximum annual overtime: 200 hours.
Vacation
Employees are entitled to minimum 24 working days of annual leave per year under the Labour Law. Leave accrues proportionally from the start of employment. The employer sets the leave schedule in consultation with the employee. Leave should be taken in the same year it accrues — carry-forward requires agreement. On termination, unused leave entitlements must be paid out in cash. Public holidays are additional to annual leave (9 public holidays in Mozambique).
Anti-discrimination
The Mozambican Labour Law prohibits discrimination in employment on grounds of race, colour, sex, marital status, ethnic or social origin, religion or belief, political affiliation, disability, and HIV/AIDS status. The Anti-Discrimination Law and the Constitution of Mozambique provide broader protections. Gender pay equity is legally required but enforcement is uneven. Sexual harassment is prohibited and can be grounds for dismissal of the perpetrator. The MITESS Labour Inspectorate is the reporting body for discrimination complaints.
Contract red flags
- !No written employment contract — all formal employment in Mozambique should have a written contract under the Labour Law
- !No mention of the applicable probation period — must be explicitly stated
- !No INSS registration or employer INSS contributions — legal obligation for all employers
- !No IRPS withholding mentioned — employers must withhold IRPS (income tax) at source
- !Salary stated only in USD with no MZN conversion clause — can create exchange rate exposure
- !No annual leave provision or leave entitlement below 24 working days
- !Termination clauses that appear to waive severance rights — these may not be legally enforceable
- !Work location stated as Mozambique but employment contract governed by foreign law only — Mozambican Labour Law protections still apply
- !Overtime pay excluded or described as included in salary without a specific amount — this must be clearly quantified
- !5% foreign worker quota documentation not maintained by employer — exposes both employer and employee to compliance risk
- !Salary below the sector-specific minimum wage from 1 April 2026 — Agriculture: MZN 6,688/month; Manufacturing: MZN 10,147.50/month; Construction: MZN 8,300/month; Financial services: MZN 19,043.61/month; ranges from MZN 4,615 to MZN 12,760+ by sector (MITESS decree).
Employment Rights
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