If you employ people in Morocco, or you are a foreign professional on a Moroccan payroll, sooner or later you will hear the acronym IPE. It stands for "indemnité pour perte d'emploi", the job loss allowance paid by the CNSS. Most foreign companies discover it only when a Moroccan employee asks about it after a layoff. This guide explains who qualifies, how much the CNSS pays, how long it lasts and what employers must do so a dismissed employee does not lose the right.
The IPE is a monthly allowance paid for a maximum of six months to private sector employees who lose their job involuntarily. It equals 70% of the average salary of the last 36 months, capped at the minimum wage (SMIG), and requires 780 contribution days over three years plus registration with the ANAPEC, the national employment agency.
What is the IPE in Morocco?
The IPE was created by Law 03-14, and the scheme took effect on 1 December 2014. Do not picture European-style unemployment insurance. The Moroccan version is deliberately short and modest: six months of support for an employee dismissed through no fault of their own, so they can look for a new job without falling off a cliff.
The CNSS runs the scheme and finances it through a dedicated contribution. At launch the rate was 0.57% of salary capped at 6,000 MAD, with two thirds paid by the employer and one third by the employee. If you run payroll in Morocco, you are already paying it, line by line.
One point trips up many foreign HR teams. The IPE does not replace severance. The employer still owes legal severance when the dismissal triggers it, and the two can be received together. Our guide on severance pay in Morocco covers the scale and the calculation.
Who is eligible for the IPE?
Every condition must be met at once. Missing one means the CNSS rejects the file.
First, the job loss must be involuntary: economic dismissal, dismissal without serious misconduct, company closure and similar cases. Second, the employee needs 780 declared contribution days over the previous 36 months, including 260 days in the last year, according to the implementing rules reported by the Moroccan business press. Third, the person must register with the ANAPEC and actively look for work.
In practice 780 days means roughly 30 months of full declared work at 26 days a month. An employee whose previous employer declared only 18 or 20 days a month can miss the threshold without ever noticing. That is why a clean payroll declaration matters long before any dismissal.
| Condition | What the CNSS requires |
|---|---|
| Reason for job loss | Involuntary (dismissal, closure) |
| Contribution days | 780 days over the last 36 months |
| Recent activity | 260 days in the last year |
| ANAPEC registration | Mandatory, with active job search |
| Filing deadline | 60 days after the job loss |
Who is excluded? Employees who resign, who abandon their post or who are dismissed for serious misconduct. Independent workers are outside the scheme too: a self-employed person does not contribute to the IPE. Their own regime works differently, with quarterly contributions tied to turnover and no job loss cover.
Why does this matter for a foreign company? Because the IPE shapes how your Moroccan team reads a termination. An employee who knows the allowance exists, and who knows the 60-day deadline, will ask for the right paperwork on the day of dismissal. A clear exit letter that states the real reason, a dated certificate of employment and a prompt CNSS declaration protect both sides. They also reduce the odds of a dispute reaching the labour inspectorate, which is slow, stressful and rarely good for your employer brand in a tight talent market.
How much does the IPE pay in 2026?
The rule fits in one sentence: 70% of the average salary of the last 36 months, capped at the SMIG. For mid and high salaries the cap decides everything.
The gross monthly SMIG has been 3,422.72 MAD since 1 January 2026 (17.92 MAD per hour over 191 hours), as explained in our article on Morocco's minimum wage in 2026. The figures below are illustrative and should be confirmed with the CNSS when filing.
| Average salary over 36 months | 70% of salary | Estimated monthly IPE |
|---|---|---|
| 3,500 MAD | 2,450 MAD | 2,450 MAD |
| 4,000 MAD | 2,800 MAD | 2,800 MAD |
| 5,000 MAD | 3,500 MAD | about 3,423 MAD (cap) |
| 8,000 MAD | 5,600 MAD | about 3,423 MAD (cap) |
Take Karim, an accountant in Casablanca dismissed for economic reasons with an average salary of 8,000 MAD. Seventy percent would be 5,600 MAD, but the cap brings his allowance down to about 3,423 MAD a month, a little over 20,500 MAD across six months. For a skilled professional, the drop in income remains steep.
During the benefit period, medical coverage and family allowances are maintained, according to public descriptions of the scheme. For many families that matters as much as the cash amount.
How long does the IPE last?
Six months, and not a day more. Payments start from the date of job loss, cannot be renewed or extended, and stop as soon as the person is back in work. They can also be suspended if the beneficiary refuses suitable job offers without a valid reason.
That 180-day ceiling is the main criticism from unions and economists. A manager who needs nine months to find a comparable role must fund the last three from savings. Employees should know this before agreeing to any termination, not after.
How to apply for the IPE, step by step
The process is easy but the clock is tight. The file must be submitted within 60 days of the job loss, otherwise the right is lost.
Start by collecting the paperwork from the employer: the certificate of employment and the final settlement statement. The employer must also declare the job loss to the CNSS. If the employer is uncooperative, the CNSS can rely on other sources such as the labour inspectorate, and an administrative appeal is possible.
Next, register with the ANAPEC, then file the claim at a CNSS branch or through the fund's online services. Keep copies of the ID card, bank details and every receipt. Once approved, the allowance is paid monthly into the bank account.
A field tip: never leave the branch without a dated receipt. If a dispute arises over the 60-day deadline, that receipt is the only proof that counts.
Mistakes that cost the right to IPE
The first is filing late. Many employees wait for the end of their notice period, or for the final settlement payment, before acting. The 60-day clock keeps running regardless.
The second is a mislabeled exit. A "negotiated" resignation meant to avoid a dispute closes the door to the IPE, whereas a properly documented dismissal or mutual termination may open it. Before signing anything, ask that the written reason be accurate.
The third is neglecting the job search. The ANAPEC checks, and repeated refusals of suitable offers suspend the payments.
A practical case: Salma, 34, dismissed for economic reasons
Salma has worked for four years as a sales assistant in Rabat on a gross salary of 4,500 MAD. Her employer closes the department and notifies her of the dismissal on the 5th of the month. The employer declared 26 days a month, so she comfortably exceeds 780 days over 36 months, with more than 260 in the last year.
She registers with the ANAPEC the next day, collects her employment certificate and files with the CNSS in under three weeks, well before the 60-day limit. Her estimated IPE is 70% of 4,500 MAD, or 3,150 MAD a month, below the SMIG cap. Over six months that is 18,900 MAD, on top of her severance and final settlement.
The opposite case exists too. A colleague hired only eighteen months ago does not reach 780 days, and her claim is refused even though the dismissal itself was perfectly lawful. This is the condition that catches the most people.
The rule in one citable line: the CNSS pays the IPE for six months at most, at 70% of the average salary of the last 36 months within the SMIG limit, to private sector employees with 780 contribution days who are registered with the ANAPEC and file within 60 days (source: CNSS scheme under Law 03-14, as reported by the Moroccan business press).
IPE for foreign employers, EOR staff and freelancers
Foreign companies hiring in Morocco through an employer of record should note that the EOR is the legal employer, so the contributions and the declarations run through its payroll. That is one more reason to check that your provider declares every worked day. Our comparison of umbrella company and EOR models explains who holds which obligations.
The IPE only protects employees. A worker who turns freelance after a layoff loses this safety net, and some activities taken up during the benefit period end the payments. A short exchange with the CNSS or a specialist avoids unpleasant surprises.
What to do this week
If you are an employee, check your declared days on your CNSS record to see where you stand against the 780-day threshold. If you were just dismissed, write down the exact date of job loss, count 60 days and book your ANAPEC registration this week. If you are an employer, declare your team's days correctly: under-declaring deprives people of their rights and exposes you to an adjustment.
Amounts and conditions evolve. Always confirm current figures with the CNSS before filing.