Survey Shows 36% of Moroccans Without Retirement Plans

Rabat – A recent survey by market research group Sunergia delves into the realities of retirement in Morocco, showing alarming gaps and persistent inequalities.

While retirement became a growing concern for many Moroccans, the findings point to a system that struggles to meet everyone’s needs.

Access to primary retirement plans

According to the survey, 59% of Moroccans benefit from retirement plans provided by their employers, while only 5% secure coverage independently.

Informal sector workers and retirees from private companies represent the largest share of those opting for individual plans, with 10% and 13%, respectively, reporting independent coverage.

On the other hand, the survey shows a dim reality: 36% of Moroccans lack any form of retirement coverage.

This figure rises dramatically to 86% for individuals employed in informal sectors, pointing to this demographic’s extreme vulnerability.

Limited engagement with supplemental plans

The survey also examines supplemental retirement savings and notes that 85% of those with primary coverage do not pursue additional savings plans.

Among the minority who do, 10% receive contributions from their employers, 4% make personal contributions, and 1% rely on salary-linked or bank savings initiatives.

The findings paint a picture of a system where formal sector employees enjoy more security, while informal workers face troubling challenges.

The report further affirms the need for reforms that address these disparities and foster greater inclusion in Morocco’s retirement framework.

Recently, the government has been reviewing the pension system in an effort to address its shortcomings and improve retirement coverage.

However, many people remain dissatisfied, especially with the ongoing inflation and rising cost of living, as the results have yet to bring noticeable improvements or alleviate widespread concerns about inequality and accessibility.

In the same vein of recent labor unrest, yesterday in Rabat, the Democratic Confederation of Labor (CDT) organized a rally to oppose the proposed strike law. The protest also spotlighted growing frustration with Morocco’s pension plans, with demonstrators condemning the reforms as unstainable and insufficient in addressing the needs of retirees and the workforce.