Translation of Decree 63-2011

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Decree No.

63/2011, of 7 December
Approves the Regulation for Hiring Citizens of Foreign
Nationality in the Oil and Mining Sector.

Introduction
Having there been a need to regulate the hiring of foreign nationals for
the Oil and Mining sector, pursuant to paragraph 3 of article 33, in
conjunction with the provisions of article 269, both of Law No. 23/2007,
of 1 August (Labour Law), the Council of Ministers decides:
Article 1.
To approve the Regulation for the Hiring of Foreign Nationals in the Oil
and Mining sector, in annex, which is an integral part of this Decree.
Art. 2.
The provisions of the present Regulation are without prejudice to the
general rules related to the granting of authorization for the entry and
stay of foreign nationals in the country.
Art. 3.
This Decree enters into force on the date of its publication.
Approved by the Council of Ministers, on October 6, 2011.
CHAPTER I
Object and scope

CHAPTER II
General conditions for hiring foreign nationals for the Oil and
Mining Sector

CHAPTER III
Hiring under the quota regime

CHAPTER IV
Hiring regime for investment projects approved by the
government
ARTICLE 8
(Contracting conditions)
1. “approved by the Government” means approved
1. In petroleum and mining investment projects approved by the by the Council of Ministers. The Investment
Government in which the hiring of foreign citizens is foreseen in a Regulation determines which projects must be
approved by the Council of Ministers. PSA is one
percentage higher or lower than that provided for in the quota regime, of those projects based on its investment value.
work authorization is not required, communication under the terms of Work authorization is not required. Just a
article 9 of these Regulations is enough. communication to MITSS

2. The provisions of the previous paragraph are applicable to 3. Here where we seem have a little bottleneck in
the process since the Internal Resolution that
investment projects approved the Government of the Republic of approved PSA PoD does not provide details of
Mozambique before and up to the date of entry into force of this what is approved. But this is why this paragraph
regulation, which do not provide for the number of foreign citizens to be says, in the end “when applicable”. This is our case
hired. where the approval is done by an Internal
Resolution which is not to provide details or make
3. The employer must attach, to the communication letter, a copy of the the approved content available to the public. This
is why we sent a letter to MITSS (with copy to
project approved by the Government that mentions the authorized MIREME) and attached the resolution and the
number of foreign workers to be hired, when applicable. section of the approved PoD which contains the
approved number of foreign workers. Any doubts
ARTICLE 9 about it will be resolved within MIREME and
MITSS
(Duty to communicate)
The notification of the hiring of foreign nationals within the scope of Although the regulation says this, we do not
recommend bringing expatriates before communicating
investment projects approved by the Government must be made within as this may cause problems with the administration
fifteen days following the date of entry of the worker, by completing the process at MITSS. Note that the template is made for
attached template. both general quota and investment project. Not all
attachments therein are applicable
ARTICLE 10
Although the legislation requires us to submit the
(Formalities) requests in Inhambane, we recommend the first 3 to 5
processes be submitted in Maputo. These first 3 to 5
1. The communication must be submitted to the entity that oversees the processes will serve as an ignition to the whole process.
area of labour in the province where the citizen of foreign nationality MITSS will be forced to quickly create PSA project with
its requirements in the system (SIMIGRA), and they
intends to render his activity, with the attachment of the following may process them centrally or transfere them to be
documents: processed in Inhambane. They will then tell us where to
submit the rest of the processes.
These are the only documents required for the
communication of employment of expatriates under
a) Certified copy of the passport or DIRE of the foreign national;
the investment project regime. Therefore, other
b) Copy of the employment contract or the document that proves documents that are included in the template are not
applicable
the existence of a contractual link similar to the employment
contract between the license holder, or the concessionaire, or On b) employment contract between the license
the operator or subcontractor and the citizen of foreign holder (Sasol), or Sasol’s subcontractor means that
our subcontractors will use the same quota under the
nationality to be admitted, containing the following elements: investment project (the quota is for the project,
PSA). If they don’t have office in Mozambique, we
i. Identification of the parties; just have to give them an indemnity letter and they
ii. Agreed tasks or activities; can do the rest on their own in terms of chapter 2 of
this regulation.
iii. Duration of the employment contract;
Rather than this, we need to consider the general
iv. Remuneration and form of payment; immigration requirements such as police clearance..

v. Start and end date of the contract. No need for certificates of any type to be presented
by the employee
c) Certificate of discharge in favour of the holder, or the
concessionaire or the operator, issued by the entity that Sasol Petroleum Mozambique must get clearance
certificates from INSS and Tax Authority. These can
oversees the social security area; be obtained in one day.
d) Certificate of discharge in favour of the holder, or
In the discussion with MITSS on the 12th January,
concessionaire or the operator, issued by the entity that they mentioned that they already have a general
oversees the area of finance; opion from INP but they don’t agree with the
proposal to use the Area 1 and 4 of the Rovuma
e) Opinion of the entity that oversees the oil and mining sector, Basin, since the Decree 2/2014 applies only to those
which must decide whether or not to hire foreign worker; projects. MITSS sees no need to use that system
when we have one that applies to Sasol.
f) Proof of payment of the fee.
2. The opinion referred to in paragraph e) of the previous number, must
We can follow the normal process that we always
be issued within fifteen days of the submission of the application by the followed to request INP to provide
applicant, after which, if it has not been issued, the application is recommendations for each expatriate that we heire
considered rejected.
3. The agents or representatives of the titleholder, or the This for cases where the leader, for example the
concessionaire, or the operator or subcontractor, if they have not CEO is an expatriate and is going to be based in
signed a labour contract, must present the respective power of attorney, Mozambique. They must present the Board
resolution or other equivalent document that gave them a mandate. appointment letter in place of the employment
contract
ARTICLE 11
(Answer)
The compliance of the communication must be verified under the
MITSS confirmed on the 12th January that they can
terms established in article 7 of the present Regulation. issue the certificate (Atestado) from SIMIGRA on
the same day in which they receive the
ARTICLE 7 communication letter
(Answer)
The compliance of the communication must be verified at the moment
it is presented, and the respective certificate must be issued,
immediately, and be delivered to the communication bearer.
CHAPTER II
General conditions for hiring foreign nationals for the Oil and
Mining Sector

ARTICLE 3
(General conditions)
1. Employers must make the best efforts to create conditions for the It is also important to note what is established in the
integration of qualified Mozambican workers in jobs of greater technical Decree in terms of subcontractors. They have the
right to hire expatriates even if they don’t have an
complexity and in management and administration positions in the
office in Mozambique. They have the right to use
company. the quota. For example the 277 expatriates indicated
in the PoD are the total required for the whole Well
2. The hiring of citizens of foreign nationality may, for the purposes of Delivery (Sasol + subcontractors).
the provisions of the present Regulation, be made by the license holder,
the concessionaire, the operator or subcontractor, provided that this is If our subcontractor is nor registered in
Mozambique, all what we must do is to give them a
legally registered in Mozambique. letter of commitment. This is because the
Government will not be able to find them when they
3. In the event that the subcontractor or operator is not legally violate the laws of the country.
registered in the national territory, the owner or concessionaire must
issue a letter of commitment through which he assumes responsibility If they are registered or have offices in
Mozambique, all what they need is our confirmation
for the violation of Mozambican Labour Law committed by citizens of that they are subcontracted, and they will use the
foreign nationality at the service of the subcontractor or operator. PSA quota. The service contract is enough for this.

4. Citizens of foreign nationality can be hired, for the oil and mining
sector, through the quota regime, the short-term work regime, regime
within the scope of investment projects approved by the
Government and the work authorization regime.
5. The quota system presupposes the hiring of a certain percentage of Article 5 is a repetition of the Labour Law: 5% for
citizens of foreign nationality fixed according to the total number of large companies, 8% for medium large companies
Mozambican workers in the company, under the terms established in and 10% for small companies

article 5 of these Regulations.


6. The short-term work regime aims at hiring foreign nationals to carry For a project to be approved by the Council of
out occasional, unpredictable or occasional work, the duration of which Ministers (as per Decree 34/2009 – Investment
Regulation) it has to be of a minimum investment of
does not exceed 180 days per year, consecutive or interpolated, under
13,5 Billion Meticais. PSA Development is more
the terms of article 12 of these Regulations. than 60 billion Meticais (Section 1.2 of the PoD).
This is why it had to be approved by the Council of
7. The regime of investment projects approved by the Government Ministers. PSA PoD determines the number of
aims to hire foreign nationals taking into account the authorized number expatriates required (section 7.5 of the PoD). By
or the terms agreed between the Government and the concessionaire approving the PoD, the Government of Mozambique
for said contracting in a given project, under the terms of article 8 of the agreed with the numbers that are given in the PoD.
This is why we are following chapter IV, articles 8
present Regulation. to 11 of the Decree.
8. The work authorization regime aims at hiring foreign nationals with
the authorization of the Minister who oversees the area of Labour or This is used when a company has used all its quota
and still requires expatriates. In this case, the
the entity to which he delegates, taking into account their academic or Minister must deeply analyze and approve. This
professional qualifications, pursuant to article 13 of these Regulations. requires a lot more documents to be attached,
including academic qualifications of the expatriate
(confirmed by the Ministry of Education) to justify
the hiring.

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