Morocco faces rising job losses as Government prioritizes employment

Morocco’s employment situation has deteriorated, with the Directorate General of Studies and Financial Forecasts reporting 82,000 job losses in the second quarter of 2024, including 141,000 in rural areas. This follows a trend from last year when the country experienced 86,000 job losses during the same period.

The opposition has sharply criticized the government’s policies, calling for urgent action to address the rising unemployment. Last year, Morocco saw a total of 297,000 job losses, a figure that has fueled significant socio-economic debate.

Prime Minister Aziz Akhannouch has acknowledged the crisis, emphasizing the need for increased investment and job creation as central to the government’s agenda.

Economic analyst Mohamed Jedri noted that rural areas were particularly hard hit, with 297,000 jobs lost in these regions last year alone. Jedri predicts that the situation could worsen due to ongoing severe droughts, which continue to impact the agricultural sector—the primary employer in rural areas. He highlighted that while the government has focused on developing industries like automotive and aviation, these sectors have not compensated for the job losses in agriculture.

Jedri recommended that the government manage rural job losses more effectively until water sovereignty is achieved by 2026. He emphasized the importance of 36 planned seawater desalination plants to stabilize agricultural productivity.

Jedri criticized temporary programs such as “Forsa” and “Awrach,” calling for more sustainable measures, including support for small businesses, improved access to financing, and better payment timelines for public contracts.

Economic analyst Idriss El Fenni also voiced concerns about the government’s investment policies. Despite an increase in investments, El Fenni argued that these have not significantly translated into job creation. He noted that six consecutive years of drought have exacerbated job losses, particularly in rural areas, which could increase pressure on urban employment.

El Fenni urged the government to conduct in-depth field research to develop solutions that reduce rural dependency on agriculture, rather than attributing job losses solely to the drought. He called for a targeted employment policy with specific job creation projects and a fair distribution of investments across regions.