Cameroon

A. Hiring employees (onboarding)

1. Mandatory employer requirements 

What are the requirements that must be met when hiring a person in your country?

When an individual is recruited in Cameroon, the employer faces obligations that must be respected. In general, it is required to:

• Establish internal regulations and communicate them to the employee
• Have the individual undergo a pre-employment medical examination
• Register the individual at the National Social Insurance Fund
• General principle regarding the administrative requirements

In accordance with the Cameroon Labor Code in its articles 23 and 24, the employment contract is not subject to any particular contractual formality. Indeed, the employment contract is subject to the principle of consensualism.

• Exceptions regarding the administrative requirements

However, there are some contracts for which it is recommended that the employer provide a written contract to the employee. A written contract is required in case of :

• A fixed-term employment contract lasting more than three months that requires the worker to relocate outside of their usual residence. (Article 27 Al 2)
• The written form and a work visa are required for the employment contracts of foreign nationals. (Article 26 Al 5)

This written document must explicitly mention and in accordance with the company's internal regulations, the working hours, the terms and conditions relating to the salary and its payment, and possibly the sanctions that may be applied in the event of misconduct.

Is it necessary to set up a legal entity in your country to hire someone?

As for the existence of an obligation to set up a legal entity before an individual can be recruited, Cameroon's labour legislation does not explicitly provide one. However, in accordance with Article 24 of the Cameroonian Labor Code, any contract that has been concluded to be executed in Cameroon is subject to the application of the law. Thus, given that in practice and in accordance with the prevailing tax principles, for an entity to validly recruit an individual, it must be duly constituted

2. Probation periods

Are trials periods allowed in contracts?

Yes, the trial period is allowed in contracts.

In accordance with article 28 of the Cameroon Labor Code, the probationary recruitment is provided for as the process by which the employer wishing to conclude a definitive contract decides to assess the future employee for a probationary period.

Is the trial period fixed by law or dependent on the chosen parties up to the maximum duration?

The probation period is fixed by article 28 (2) of the Cameroon Labor Code.

The law requires that this commitment be stipulated in writing, and that it can only cover a maximum period of six (6) months, except for executives, for whom the said period can be extended up to eight (8) months. These deadlines vary according to the socio-professional categories, and can only be renewed once according to the following table:

Impact on dismissal

It should be noted that according to article 43 of the Cameroon Labor Code, the termination of the probationary contract is not subject to notice. In the event of termination, the person concerned cannot claim severance pay unless there is a specific provision provided for in a collective agreement relating to the sector of work in question.

Also, Order No. 017/MTPS/SG/CJ dated May 26 specifying the maximum duration and terms of probationary employment provides in article 3 (c) that the duration of the trial period, including renewal, is taken into account for the determination of the worker's rights and benefits attached to seniority in the company. Given that the notice period is determined on the basis of seniority within the company, this means that the time spent within the company is ongoing from the time of the trial appointment, which implies an extension of the period in view of the addition caused by the trial period.

Are measures necessary to continue working after the end of the trial period?

Regarding the continuation of work under a probationary contract, Order No. 017/MTPS/SG/CJ dated May 26 specifying the maximum duration and terms of probationary employment provides in article 3 that the renewal of this period must be stipulated in writing. Thus, in the absence of the said stipulation, the probation is deemed to be conclusive and the worker is considered to be definitively hired.

3. Hiring checks

Medical examination

Is there a legal obligation to have a medical check when hired?

In accordance with the provisions of article 100 (1) of the Cameroonian labour law, the employer must have the employee undergo a medical examination prior to the start of his duties, or at the latest before the expiry of the probation period following hiring.

Can the contract be terminated due to medical results?

The law in force on labour and social security law does not explicitly mention the fate of an individual who, following his medical examination, is declared to be suffering from an illness that makes him or her incapable of his or her job.

Can medical checks, reference checks and/or education checks be done prior to hiring?

Yes reference checks and education checks are conducted prior to hiring.

Criminal background checks

No verification other than those carried out as part of the prior medical examination is covered by the legislation in force in Cameroon. But it is indeed recommended by the practice to check out the criminal background of the individual.

Reference and training checks

The law does not provide any details on the verification of the individual's references, nor with regard to the verification of his or her training. However, practice informs in this regard that it is to the employer's advantage to inquire about the professional and academic qualifications supposedly acquired by the individual in question.

4. Diversity and inclusion

Is there a specific diversity quota to be respected when hiring?

As Cameroon's current labour law stands, it is established by Article 2 of the Cameroon Labor Code that Labor rights are recognized for every citizen as a fundamental right; additionally, work is a national duty for every adult and able-bodied citizen.

Therefore, in principle, there is no quota to be adhered to when recruiting employees, knowing that the law grants access to work to every individual and that working constitutes an acquired right for all without gender discrimination.

Are there any specific pay equity requirements?

Article 61 of the Labor Code stipulates that under equal conditions of work and professional aptitude, wages are equal for all workers, regardless of their origin, gender, age, status, or religious belief.

5. Types of employment contracts

What types of employment contracts are possible in your jurisdiction for employee?

In principle, according to Article 25 of the Cameroonian Labor Code there are two main divisions in terms of contract typology. This is the Summa Divisio which opposes Fixed-Term Contracts and (CDI permanent contracts).

In the event that successive fixed-term contracts are not possible indefinitely?

As for the Fixed-Term Contract, its term is concluded for a period that may not exceed two (2) years, with a possibility of renewal only once for the same period and with the same company. Among these contracts in Cameroon, there are other types of contracts that are identified like fixed term contracts by assimilation as shown by this table:

Does the employment contract have to be concluded in writing?

As regards the rules governing the form of the contract, the legislation does not provide for an obligation as to the written form as stated by article 24 of the Cameroonian Labor Code. In this regard, the law provides that the existence of the contract must be established in the form required by the contracting parties, and proof may be provided by any means. However, in practice, the recommended form is the written one, for sufficient protection of the parties.

6. Specific rules for executives

For nationals

As far as executives are concerned, there is no specific status assigned to them from the point of view of labour law legislation. Indeed, the categories of work range from the first category to the twelfth, grouping together for the most part all the categories covered by labor law in Cameroon.

For Foreigners

However, there are still specific formalities governed by Article 27 of the Cameroonian Labor Code regarding foreign nationals hired as executives, as they are required to obtain a work visa from the Minister in charge of labor before the commencement of the execution of their employment contract.

7. Language requirements

Cameroon is a bilingual country. Thus, two official languages must be taken into account when it comes to language requirements: English and French. As for the choice of language, the employer should simply ensure that the chosen language is understood, spoken, and accepted by the employee.

8. Equal pay

Apart from Article 61 (2) of the Labor Code, previously mentioned, which addresses equality in salary treatment, no other specific details are highlighted regarding this matter.

9. Remote work

As for remote work, Cameroonian legislation does not explicitly provide for its application. However, this practice is not prohibited, which explains why, in common practice, companies can include it in an employment contract when recruiting a worker.

B. Termination of employees (Offboarding)

1. Kinds of dismissal

Among the types of contracts, as mentioned above, a distinction is made between fixed-term contracts and open-ended contracts.

When a dismissal occurs, the applicable regime differs according to the type of contract and the purpose of the dismissal.

• In the case of dismissal under a fixed-term contract and for assimilated fixed term contracts, it can only be terminated in the event of gross misconduct, force majeure or a written agreement between the parties. Any termination of the fixed-term employment contract Apart from these cases, the party who initiated the termination is exposed to the payment of the severance pay and the payment of damages for unfair dismissal.
• As regards dismissal within the framework of a permanent contract, the reason for the termination is imperative. The employer must justify a real and serious cause for dismissal. It can be a dismissal for misconduct (whether the misconduct is slight, serious or serious); dismissal without fault; a dismissal for economic reasons. For each of these cases, the employer is liable to pay compensation in lieu of notice in the event of non-compliance with the notice period; the payment of the severance pay; the payment of the unpaid leave allowance; and possibly the payment of damages.

2. Dismissal motivation

Does the dismissal have to be justified?

In accordance with the legislation in force in Cameroon's labour law, article 34 (1), in the event of termination of the employment contract, such termination is subject to notice which must be given by the party who initiates the termination and must be notified in writing to the other party with an indication of the termination. Thus, if the termination occurs due to the employer's actions, the employer must inform the employee in writing, justifying a real and serious cause, knowing that the reason for the dismissal may result from misconduct or without fault.

Is it necessary to have a substantiated case to proceed with a valid dismissal or is it a posteriori verification of the validity of the dismissal?

Cameroonian case law is consistent in providing that the existence and accuracy of the reason allows the judge to look for the real cause of the dismissal, to verify that the cause mentioned does not in fact hide the real reason which would have nothing to do with the worker or the functioning of the company.

What are the consequences if a dismissal is not motivated or poorly motivated?

The absence of motivation or insufficient motivation during the occurrence of a dismissal can lead to the  pay damages and interests.

3. Notice period

Length of the notice period.

In accordance with the legislation in force in Cameroon on labour law, the notice period is calculated according to the employee's seniority and according to the professional category to which he or she belongs. This is done on the basis of the following table:

It is useful to consider that collective agreements can freely determine more favorable terms depending on the category of employees concerned.

Does the duration vary according to seniority, level of remuneration or age?

The duration vary according to seniority and the socio-professional categories.

If the employer can waive the notice period with the payment of a notice indemnity, which elements of the remuneration must be taken into account?

In the case Where the employee pays the allowance, its calculation is based on the monthly gross remuneration paid, including the bonuses and allowances that the employee would have received during the notice period identified above.

4. Severance pay

Is there a legal obligation to pay severance pay?

In the event of suspension of the employment contract, Cameroonian legislation provides in Article 37 of the Labor Code that the employer is required to pay the worker compensation.

If so, does this mean that it is a payment in addition to a notice period/compensation in lieu of notice?

Yes.

Please also specify how this severance pay is calculated.

As a matter of principle, this indemnity is awarded automatically as soon as it is established that the dismissal is subsequent to gross misconduct. But also, any worker who has completed at least two (2) years of service in the same company is entitled to a severance pay separate from that of the notice period.

In accordance with the legislation in force, the severance pay is equal for each year of presence in the company to a percentage of the average monthly salary of the last twelve (12) months preceding the dismissal. The applicable rates are set as follows:

• From the 1st to the 5th year: 20%
• From the 6th to the 10th year: 25%
• From the 11th to the 15th year: 30%
• From the 16th to the 20th year: 35%
• From the 21st year: 40%

It should be noted that when making the calculation, fractions of years must be taken into account within the limit of the month in arrears. Also, the elements of remuneration used as the basis for calculating the severance pay do not include compensation representing expenses or benefits in kind, unless otherwise provided for in the collective agreements governing each profession.

5. Dismissal formalities

• Convening a meeting with the employee to express the desire of the company to dismiss him
• Writing a formal dismissal letter to be signed by the employee
• Contact the Labour Inspectorate to obtain an amicable settlement between the employee and the company
• Providing the employee’s final settlement and all administrative documents such as work certificate.

6. Special dismissal protection

Are certain categories of employees protected against dismissal?

• Pregnant women
• Staff delegates

Also, staff delegates are protected under Article 130, which addresses the protection of staff delegates concerning dismissal. The condition for its effective implementation is the request and approval of authorization from the local labor inspector.

If so, is it a prohibition on the dismissal of employees or a specific procedure that must be followed upstream?

• As for pregnant women

With regard to special measures preventing dismissal, the applicable labour law legislation in Cameroon provides for special protection for any pregnant woman whose condition has been proven by means of a medical report. Indeed, in this case, the employer cannot terminate the employment contract of a pregnant woman due to pregnancy.

As for the consequences likely to follow the employer's stubbornness to terminate the contract of a pregnant woman due to pregnancy, it should be noted that any dismissal motivated by pregnancy is qualified as unfair and gives rise to the right to damages.

• As for staff delegates

Also, staff delegates are protected under Article 130, which addresses the protection of staff delegates concerning dismissal. The condition for its effective implementation is the request and approval of authorization from the local labor inspector.

Are additional allowances due?

In some cases, the good separation allowance may be due according to companies and national collective bargaining agreements.

7. Employees’ Legal means

Ways to contest a dismissal

It is a principle, according to article 131 of the Labor code that the occurrence of an individual or collective dispute arising in connection with the employment contract between workers and employers falls under the jurisdiction of the court’s ruling on social matters.

However, the action brought before the court is subject to the partial or total failure of the conciliation attempt previously conducted before the labor inspector.

The limitation period

As for the time limit for actions in social matters, it should be noted that as for the action for the payment of wages, the limitation period is (3) years, and that with regard to the statute of limitations, the indemnities related to the termination of the employment contract are assimilated to the salary. Consequently, any action brought to claim indemnities subsequent to the termination of the employment contract is subject to the limitation period of three (3) years starting from the day of contract termination.

8. Specific rules for executives

• Employee as executive

As mentioned above, there are no specific measures in place under Cameroonian legislation for the dismissal of executives or managers in the event of termination of their employment contract.

• Corporate officer as executive

The Uniform Act on commercial compagnies and the economic interest group provides specific rules where the dismissal of Corporate officers is concerned

9. Collective dismissals

In article 157 of the Cameroonian labour code, a collective labour dispute is taken as any conflict characterized by:

• The intervention of a collective of employees, whether or not organized in professional groups;
• The collective nature of the interest at stake

In this sense, unlike the procedure described in the case of individual disputes, the appropriate procedure for collective disputes takes place through prior conciliation and continues with arbitration proceedings in the event of total or partial failure to reach the conciliation.

As a result of this procedure, and in the event of failure, the legislation conceives of a strike or lockout as legitimate. The strike is taken as the collective refusal of the workers of a company to respect the normal working rules in order to obtain a favorable response from the employer to their demands. A lockout is the closure of an establishment by the employer to put pressure on workers who are striking or threatening to strike.

Get in touch

Soppo Priso Sandrine
Cameroon
ssoppopriso@deloitte.com | +237 6 911 495 86