Morocco’s Parliament Approves Major Social Security Reform Bill

29 January 2025
Morocco’s Parliament Approves Major Social Security Reform Bill

Assahafa.com

Morocco’s House of Representatives approved Bill No. 02.24 on Tuesday, introducing comprehensive changes to the country’s social security system.

The legislation, which modifies Dahir No. 1.72.184 governing social security, passed with 108 votes in favor and 46 against, with no abstentions.

The reform addresses mounting challenges in Morocco’s social security system. The National Social Security Fund (CNSS) reports accumulated debt of MAD 77 billion ($7.7 billion) in 2023, up 73.5% from MAD 44 billion in 2013.

During the parliamentary session, Economy and Finance Minister Nadia Fettah presented the bill as essential to support ongoing transformations at CNSS and advance the country’s universal social protection initiative.

The legislation introduces several key changes to CNSS governance and services, implementing provisions from agreements between the government and professional organizations.

 

Key reforms include authorizing CNSS to manage additional social protection programs through legislative frameworks or conventions, expanding the director general’s management authority, and allowing the creation of subsidiaries to improve service delivery.

The bill also establishes new procedures for appointing board members and creates specialized committees to support administrative functions.

To handle escalating debt concerns, where 33% of claims are over 15 years old and 40% less than five years old, the legislation grants CNSS claims public debt status.

This enables the organization to utilize public debt collection mechanisms and introduces revised late payment penalty calculations.

The reform emphasizes digital transformation, with new provisions for electronic notification of employers and digital processing of claims and declarations.

 

This aligns with CNSS’s broader digitalization strategy, supported by a MAD 1.2 billion ($120 million) budget over five years.

The legislation also introduces a new retirement pension for individuals with between 1,320 and 3,240 insurance days, along with transitional provisions to regularize affected categories.

This reform follows CNSS’s substantial expansion of its coverage. Recent data shows the mandatory health insurance system (AMO) now covers 11.38 million people, including 4 million primary insured and 7.29 million dependents.

State contributions to CNSS reached MAD 15.51 billion ($1.55 billion) by September 2024.

Opposition representatives acknowledged the bill’s importance in advancing social protection reforms initiated by King Mohammed VI but criticized the limitation of proposal rights to the most representative professional and labor organizations, arguing it excludes numerous union constituencies.

 

The legislation aims to modernize the 1972 framework to harmonize with CNSS’s expanded role in implementing universal social protection, as outlined in the framework law.

Source: Morocco word news

Breaking News
Cookies allow us to personalize content and ads, provide social media features, and analyze our traffic. We also share information about your use of our site with our social media, advertising, and analytics partners.
I accept!