Payroll and Benefits Guide Mozambique
Last updated: Apr 19, 2025
Payroll
Payroll Frequency
Monthly, by no later than the last day of the month
Working Hours
Working Hours
8 hours per day, up to 48 hours per week.
Overtime
| Aspect | Regulation Details |
| Maximum Ordinary Hours | 48 hours per week (typically 8 hours per day). Some industries (e.g., non-agricultural) may operate on a 40-hour week. Overtime is work performed beyond the normal daily or weekly hours. |
| Absolute Maximum Weekly Hours | Total working hours, including overtime, must not exceed 56 hours per week. |
| Daily Overtime Cap | Overtime work may be extended up to a maximum of 4 hours per day, provided the 56-hour weekly limit is respected. |
| Annual Overtime Cap | Overtime work must not exceed 200 hours per year. |
| Consent | Overtime is permitted only in certain justified circumstances (e.g., unexpected workload increases, urgent tasks). Employees generally have the right to refuse overtime in situations not covered by law. |
| Exemptions | Workers in positions of leadership, trust, management, or supervision are generally exempt from strict time tracking and overtime compensation. |
Mandatory Overtime Pay Rates (Tiered System)
Overtime compensation is mandatory and is calculated as a minimum premium percentage of the employee’s regular hourly wage.4 Rates escalate significantly for night work and work on rest days/holidays.
| Day/Condition | Time Period | Minimum Compensation Rate (Supplement) | Total Pay Rate | Notes |
| Daytime Overtime (Tier 1) | Up to 8:00 PM (or first part of daily overtime). | +50% of the regular hourly wage. | 150% | This is the minimum rate for standard daytime overtime. |
| Nighttime Overtime | 8:00 PM to 7:00 AM (or 9:00 PM to 6:00 AM in some sources). | +100% of the regular hourly wage (Double Pay). | 200% | This high premium is mandatory for overtime performed during the designated night period. |
| Weekly Rest Day (e.g., Sunday) | All hours worked. | +100% of the regular hourly wage (Double Pay). | 200% | This double-time rate is the minimum for all hours worked on the designated rest day. |
| Public Holiday Work | All hours worked. | +100% of the regular hourly wage (Double Pay). | 200% | This double-time rate is the minimum for all hours worked on an official public holiday. |
Note on Compensation: Some sources indicate a higher annual tier where overtime exceeding 24 hours per month (or 200 hours per year) may be compensated at 200% of the regular wage. The 5$150\%$ and 6$200\%$ premiums above are the current statutory minimums for the stated conditions.7
Leave
Annual Leave (vacation)
1 day for every month of service during the first year. 2 days for every month of service during the second year. 30 days for every year of service from the third year onwards.
PTO carryover
In Mozambique, statutory annual leave is meant to be taken when due. The law does not clearly grant an automatic carryover right, but accrued statutory leave cannot be forfeited. If leave isn’t taken and employment ends, it must be paid out; a blanket “use-it-or-lose-it” policy is not supported.
Public Holidays
Holidays falling on a Sunday are moved to the following Monday.
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 3 February 2026 | Tuesday | Mozambican Heroes’ Day | Standard holiday |
| 7 April 2026 | Tuesday | Mozambican Women’s Day | Standard holiday |
| 18 April 2026 | Saturday | Good Friday | |
| 1 May 2026 | Friday | Workers’ Day | Standard holiday |
| 25 June 2026 | Thursday | Independence Day | Standard holiday |
| 7 September 2026 | Monday | Victory Day (Lusaka Peace Agreement Day) | Standard holiday |
| 25 September 2026 | Friday | Armed Forces Day | Standard holiday |
| 4 October 2026 | Sunday | Peace and National Reconciliation Day | Standard holiday |
| 5 October 2026 | Monday | Peace Day Holiday | |
| 25 December 2026 | Friday | Family Day | Standard holiday |
Sick Leave
15 days of paid sick leave or 5 non-consecutive days per quarter paid by the Employer. Additional paid sick leave might be granted by Social Security at a workers request to the health board, up to 365 days of continuous sick leave.
Maternity Leave
In Mozambique, female employees are entitled to 60 days of paid maternity leave, which can start up to 20 days before the due date. The 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. While the law allows for 90 days of maternity leave, the social security system only pays for 60 days. The 90-day leave applies in cases of full-term or premature delivery, regardless of whether it was a live or stillborn birth.
Termination
Termination
| Salary payment interval / date | Final payment on termination | Bank account/payment-method requirement |
|---|---|---|
| Wages are typically paid monthly, often by the end or beginning of the next month. | Upon termination, the employer must pay all wages and entitlements. If termination is without cause, severance is required (e.g., approx. 30 days’ salary per year of service for up to 5 years) under the new Labour Law No. 13/2023. | Bank transfers are the standard and preferred method for salaries in formal employment; while cash payments may still occur in certain contexts, the payroll practice is moving toward deposit into employee bank accounts. |
Notice Period
There is no at-will termination via a notice period though it is standard to give 1 week’s notice during Probation and 1 months notice thereafter.
Severance
Severance payable for termination due to “structural, technological, or market reasons” is changed to 30 days’ salary per year of service for workers whose base salary (including seniority bonus) is between one and seven times the sector minimum wage; 15 days per year of service for workers whose salary is between seven and 18 times the minimum wage; and five days per year for workers whose salary is greater than 18 times the minimum wage (previously 20 days’ salary per year of service in all cases).
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Public Holidays Calendar
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 3 February 2026 | Tuesday | Mozambican Heroes’ Day | Standard holiday |
| 7 April 2026 | Tuesday | Mozambican Women’s Day | Standard holiday |
| 18 April 2026 | Saturday | Good Friday | |
| 1 May 2026 | Friday | Workers’ Day | Standard holiday |
| 25 June 2026 | Thursday | Independence Day | Standard holiday |
| 7 September 2026 | Monday | Victory Day (Lusaka Peace Agreement Day) | Standard holiday |
| 25 September 2026 | Friday | Armed Forces Day | Standard holiday |
| 4 October 2026 | Sunday | Peace and National Reconciliation Day | Standard holiday |
| 5 October 2026 | Monday | Peace Day Holiday | |
| 25 December 2026 | Friday | Family Day | Standard holiday |
Questions & Answers