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IMPACT – HIGH
What is the change? Mozambique is scheduled to implement changes to work permit regulations at the end of November.
What does the change mean? The changes apply to all employers except oil, gas and mining companies. The regulations will bar employment agencies from sponsoring foreign nationals working at third-party client sites, increase government application fees for short-term permits, introduce longer processing time frames and impose enhanced sanctions for noncompliance, and place new limits on employers terminating a local employee, among other changes.
Background: As first reported by BAL Sept. 16, the regulations were published several weeks ago with an effective date of Nov. 29. They include the following key changes:
BAL Analysis: Mozambican employers should begin preparing now for these changes and anticipate potential delays in all application processes immediately following implementation. In particular, employers who currently use an employment agency to apply for work permits on their behalves should anticipate that they will no longer be able to do so and will need to apply directly for work permits for any foreign employees or contract workers.
This alert has been provided by the BAL Global Practice group. For additional information, please contact your BAL attorney.
Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.
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