Morocco

The role of CSR

Only a few local companies are socially engaged in Morocco, a country that is in the middle range in terms of its development (HDI ranking: 130th). The public generally pays little attention to CSR.
Foreign investors, on the other hand, are serving as role models with respect to social engagement and helping to raise awareness of this topic. French companies are particularly numerous in the Moroccan market. Among the German companies that have been active in Morocco for many years are Siemens, Bayer, BASF, Beiersdorf, Lufthansa and TUI.

Morocco offers a variety of opportunities for CSR projects. So far, vocational training has been a particular focus. German companies recognize that they need to provide basic and further training for their employees, since the Moroccan system is not producing enough skilled workers. German companies might also take advantage of their experience in such areas as environmental technology, water treatment and renewable sources of energy.

Politicians are urging the adoption of European environmental standards and regulations, since this is essential if Moroccan exports – especially textiles, shoes and food – are to remain competitive. The European Union’s Neighborhood Policy and preparations for the free-trade zone to be launched in 2012 are having a significant effect on Moroccan industry. Businesses in Morocco are striving for responsible and sustainable corporate management, not least because of the influence of the European market.
International organizations, too, are raising awareness of CSR: The MENA Responsible Business Forum is an initiative of the MENA-OECD Investment Program; its objective is to assist the governments of the regions in creating the necessary conditions for investments in sustainability and social development. This program is funded by InWent, the UN Development Program, the World Bank and the Bertelsmann Stiftung, among others.

Intermediaries such as GTZ are involved in public-private partnerships to help companies meet international standards (“mise à niveau”). For example, GTZ conducted a market study for the Argand’Or company, which partners with women’s cooperatives to produce hand-pressed argan oil using traditional methods.

CSR understanding

In Morocco, as in every Islamic society, wealthy families and companies are expected to be involved in charitable projects. Against this background, CSR is viewed primarily in terms of philanthropy. This generally applies only to Muslim companies.

On the occasion of a national conference on investment (Intégrales de l'Investissement) in 2005, King Mohammed VI underscored the country’s commitment to a socially responsible and environmentally friendly economic and growth policy. Since then, measures to achieve that goal have been introduced: For example, the General Confederation of Moroccan Enterprises (CGEM) has a program to recognize companies that live up to their social responsibilities and the principles of sustainable economic activity (CGEM Label). The Moroccan Association of Textile and Apparel Industries, too, awards a label to worthy companies (fibre citoyenne).

Expectations towards companies

The Moroccan government expects German companies to assume social responsibility, an expectation that is often expressed only indirectly. The government holds competitions and awards prizes for outstanding CSR projects.

German companies have a good reputation in the area of vocational training. Since Morocco suffers from a lack of skilled workers, many companies need to provide the necessary training. In this context German companies can share their experience with the dual training system in their home country. Morocco also has a high rate of illiteracy – roughly 48 percent. The government has passed an educational reform bill, but German companies are still well advised to invest in training for their employees or other young people.

It should also be noted that German consumers expect companies to show responsibility throughout their value chains. International codes of conduct such as the BSCI Code (Business Social Compliance Initiative), which also covers the textile industry,  are an important factor encouraging German companies to behave responsibly.

Basic conditions

Government regulations – Implementation of international regulations

ILO
Morocco has ratified seven of the ILO’s core labor standards. The only one that has not yet been ratified is No. 87, “Freedom of Association and Protection of the Right to Organize,” from 1948.

Practical implementation

Abolition of forced labor
No concrete information is available about forced labor in Morocco. It must be assumed, however, that immigrants from other African countries who have no way of earning a living are involved in such illegal activities as prostitution and forced labor in connection with human trafficking rings.

Freedom of association and right to collective bargaining
Nearly all employed persons in Morocco have the right to form or join unions without prior permission; however, this involves cumbersome administrative hurdles. Members of the judiciary as well as homeworkers and farmhands are not governed by labor law, and are therefore not permitted to form unions. Individual organizations have the right to select their representatives freely, but this right is limited by the requirement that union officials must have Moroccan citizenship. In addition to the national federation of trade unions, Union Marocaine du Travail (UMT), there are two other union associations. Labor law prohibits firing employees for involvement in legitimate union activities, and the courts have the authority to order the rehiring of employees who have been arbitrarily let go. They can also require the respective employer to pay compensation as well as outstanding wages and salaries.

The right to collective bargaining is affirmed by Morocco’s labor law, but only the “most representative” trade union, which represents at least 35 percent of all employee delegates elected at the company level, is authorized to participate in collective bargaining. The law does not expressly stipulate whether collective bargaining is permitted for certain categories of public servants (teachers, prison workers, etc.).

The right to strike is guaranteed by the constitution (Art. 14), but it is subject to certain restrictions. For example, arbitration is required by law. According to statutory provisions, the decision to strike can be taken by the trade union or – if most employees are not part of the union – by a two-thirds majority of the company’s employees. The employer must be informed of the impending strike seven days in advance. Strikes are prohibited in sectors that involve vital services. Civil servants may be punished for going on strike.

Elimination of child labor
Approximately 30 percent of the population is under the age of 15. According to the US Department of Labor, 13.5 percent of boys and 12.8 percent of girls between the ages of 7 and 14 are working. Agriculture accounts for most of their employment (60 percent), followed by industry and service jobs.

Paid child labor is illegal in Morocco, and it is against the law to employ children under the age of 15. Nevertheless, thousands of families in urban areas have young girls (“petites bonnes”) who do their housework, some as young as five years old. The main reasons for child labor are family poverty, traditions and a lack of schooling (particularly for girls). The Moroccan government is aware of the problem, and is preparing to introduce a bill that will ban all employment of children in households. A national plan of action for the next ten years has also been adopted, which will create school programs and provide financial assistance to poor families. In addition, Princess Lalla Meryem, the oldest sister of King Mohammed VI, has taken on the problem of child labor in her country. A children’s parliament is addressing the issues of child abuse and exploitation.

Ban on discrimination in employment and occupation
While Article 8 of the Moroccan constitution guarantees equal political rights to both genders, in Morocco’s Islamic society women are disadvantaged relative to men. There are only a few female entrepreneurs, for example. However, Moroccan society is undergoing a process of modernization. Not only women’s legal situation, but also their actual lives have dramatically improved, thanks primarily to the 2004 reform of family law (Mudawana). Morocco is seeking to reduce or eliminate discrimination against women by introducing a national strategy for gender equality. Women are now better represented and more visible in the public arena: The cabinet now includes five women – three ministers and two ministers of state – and ten percent of seats in parliament are reserved for women.
 
Economic initiatives – CSR tools for private industry

GLOBAL COMPACT network
Morocco’s Global Compact network, which has been in place since 2006, currently has 24 members.
http://www.unglobalcompact.org/NetworksAroundTheWorld/
local_network_sheet/MA.html

On-site contact 
Mr. Saad Filali Meknassi
pactemondialmaroc (at) menara (dot) ma

Areas of activity