Rivermate | Cameroon landscape
Rivermate | Cameroon

Agreements in Cameroon

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Learn about employment contracts and agreements in Cameroon

Updated on April 27, 2025

Establishing compliant employment relationships in Cameroon requires a thorough understanding of the local labor law framework. Employment agreements serve as the foundational document outlining the terms and conditions of employment, protecting both the employer and the employee. Navigating these requirements is crucial for businesses operating or expanding into the country to ensure legal compliance and foster positive working relationships.

Cameroon's labor legislation governs the formation, content, and termination of employment contracts. Adhering to these regulations is not just a legal necessity but also a key factor in successful workforce management. Understanding the nuances of contract types, mandatory clauses, and termination procedures is essential for any employer engaging staff in the country.

Types of Employment Agreements

Cameroon recognizes different types of employment contracts, primarily distinguished by their duration. The two main types are the indefinite-term contract and the fixed-term contract. The choice of contract type depends on the nature and expected duration of the work.

Contract Type Description Key Characteristics
Indefinite Term Contract without a specified end date. This is the standard form of employment contract. Presumed unless otherwise specified and justified; termination requires specific grounds and procedures.
Fixed Term Contract with a defined start and end date. Used for specific, temporary tasks or projects. Must be in writing; duration typically limited (e.g., maximum 2 years, renewable once for certain employees); specific conditions apply for renewal and conversion to indefinite term.

Fixed-term contracts are generally permitted for tasks that are temporary by nature. There are limitations on their duration and renewal, designed to prevent the indefinite use of fixed-term contracts for permanent positions. Exceeding these limits or improper use can lead to the contract being reclassified as an indefinite-term contract.

Essential Contract Clauses

Cameroonian labor law mandates the inclusion of specific information in all written employment contracts to ensure clarity and protect the rights of both parties. While oral contracts are recognized for certain types of work, written contracts are highly recommended and often required, especially for fixed-term agreements and for employees earning above a certain threshold.

Mandatory clauses typically include:

  • Identification of the parties (employer and employee).
  • Place of employment.
  • Nature of employment (job title, description of duties).
  • Date of commencement of employment.
  • Duration of the contract (for fixed-term contracts).
  • Remuneration (salary, wages, and any benefits).
  • Working hours.
  • Paid leave entitlement.
  • Reference to the applicable collective bargaining agreement, if any.
  • Probationary period duration, if applicable.

Failure to include mandatory terms or provide a written contract where required can have legal consequences for the employer.

Probationary Periods

Employment contracts in Cameroon may include a probationary period at the beginning of the employment relationship. This period allows both the employer to assess the employee's suitability for the role and the employee to evaluate the working conditions and the job itself.

  • Duration: The maximum duration of a probationary period is typically set by law or collective bargaining agreements. For standard employees, it is often limited to a few months (e.g., 3 months), potentially renewable once for the same duration, but not exceeding a total maximum (e.g., 6 months). For managerial or highly skilled employees, longer periods may be permitted.
  • Termination: During the probationary period, either party can terminate the contract with relatively short notice, as specified by law or the contract itself. The notice period is usually shorter than that required for termination after the probation period.
  • Purpose: The probationary period must genuinely be used for assessment. Extending it beyond the legal maximum or using it improperly can invalidate the probationary clause.

Confidentiality and Non-Compete Clauses

Confidentiality and non-compete clauses are common in employment contracts, particularly for roles involving sensitive information or specialized knowledge.

  • Confidentiality: Clauses requiring employees to maintain the confidentiality of company information during and after employment are generally enforceable, provided they are reasonable in scope and duration.
  • Non-Compete: Non-compete clauses, which restrict an employee's ability to work for a competitor or start a competing business after leaving the company, are subject to stricter scrutiny. For a non-compete clause to be enforceable in Cameroon, it must typically meet several criteria:
    • Be in writing.
    • Be limited in duration (e.g., maximum 1-2 years after termination).
    • Be limited geographically (e.g., specific region or territory).
    • Be limited in scope (e.g., specific activities or industries).
    • Be justified by the legitimate interests of the employer (e.g., protecting trade secrets, client base).
    • Often, there is a requirement for the employer to pay compensation to the employee during the non-compete period.

The enforceability of such clauses is ultimately determined by the courts based on the specific circumstances and the principle of not unduly restricting an individual's ability to earn a living.

Contract Modification and Termination

Any modification to an existing employment contract must generally be agreed upon by both the employer and the employee. Significant changes to essential terms, such as salary, duties, or working hours, should be documented in writing as an addendum to the original contract. Unilateral changes by the employer may be considered a breach of contract.

Termination of an employment contract in Cameroon is strictly regulated, particularly for indefinite-term contracts. Termination can occur for various reasons, but specific procedures and grounds must be followed:

  • Mutual Agreement: The contract can be terminated by written agreement between both parties.
  • Fixed-Term Expiry: A fixed-term contract automatically terminates upon reaching its specified end date.
  • Termination for Cause: An employer can terminate an indefinite-term contract for serious misconduct or other valid reasons related to the employee's conduct or performance. This requires following a disciplinary procedure, including providing notice and an opportunity for the employee to be heard.
  • Termination for Economic Reasons: Redundancies or layoffs due to economic difficulties require specific procedures, including consultation with employee representatives and administrative authorization in certain cases.
  • Resignation: An employee can terminate the contract by providing notice according to the terms of the contract or labor law.
  • Termination by Employer (without cause/redundancy): While termination without cause is possible, it typically requires providing statutory notice and paying severance pay to the employee, calculated based on length of service.

Failure to follow the correct termination procedures can result in the termination being deemed unfair or unlawful, leading to potential claims for damages and other remedies by the employee. Specific notice periods apply depending on the employee's seniority and category.

Martijn
Daan
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