Does removing SIM card from iPhone 5c also remove passcode lock on phone?

Trying to restore iphone through iTunes because the slide to unlock doesn't work now and the phone has a password so I can't unlock it. So I was hoping that removing the SIM card would remove the passcode

No it won't but here's what you can do:

Boot it into recovery mode:

Make sure iTunes is open first.
Turn off the iPhone.
Hold down the home button and plug it into the computer
iTunes should say that there's an iPhone in recovery mode and must be restored. Click OK or Restore (or whatever it says to restore)

No removing the SIM will not remove slide to unlock.

Nope. The SIM is related to the carrier. The passcode is related to the phone.

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