CHAPTER ONE

GENERAL INTRODUCTION

This chapter presents amongst other items, background to the study, statement of problem, research questions, research objectives, research methodology, literature review, theoretical frame work, justification for research, significance, delimitation of research, limitations, con- ceptual definition of key terms and lastly synopsis of chapters.

1.1 BACKGROUND TO THE STUDY

Labour law (also known as employment law) mediates the relationship between workers, employing entities, trade unions and the government. Labor law is legislation specifying re- sponsibilities and rights in employment, particularly the responsibilities of the employer and the rights of the employee Collective labor law relates to the tripartite relationship between employee, employer and union.1 Individual labor law concerns employees’ rights at work also through the contract for work. Employment standards are social norms (in some cases also technical standards) for the minimum socially acceptable conditions under which employees or contractors are allowed to work. The historical evolution of Labor Law in Cameroon con- cerns the development of labor law as a way of regulating and improving the life of people at work. The origin of labor law can be traced back to the remote past.2

Paid employment, in its present sophisticated time was simply non-existent in pre-colonial Cameroon.3 The absence of paid employment could be attributed to a varied of reasons. For instance, the existence of a labor relationship like paid employment presupposes the existence of an effective legal tender. It was rather impossible in the context of pre-colonial Cameroon to think of paid employment in the absence of an effective medium of exchange like   money.

Clearly, the non-availability of a legal tender was both here and elsewhere in pre-colonial Africa responsible for the absence of paid contract of service. Besides, it is obvious that the predominant forms of occupation during this period in history (farming and hunting) could not support the existence of paid employment.4 Naturally, in this type of basic economy each family had to rely on its members for labor. There was, in the circumstances, no question of specialization that could have led to the creation of a pool from which workers may be re- cruited. The law regulating the contract of employment in Cameroon is built upon a founda- tion of imported French and English laws the country’s dependent status as a colony of France and Britain respectfully made the importation of foreign law inevitable.5 The earliest enactment that received French Labour Law into the Former East Cameroon was the French Overseas Labour Code of 1952.6 The reception of this law (Law No 52/1322 of 15th Decem- ber, 1952) was however made without any specifications. It is assumed that what was re- ceived included both the express provisions of the 1052 law and French Judicial culture and procedure which are largely pre-administration and anti-workers. In Cameroon West of the “Mungo”, the laws regulating labor matters were those received from Nigeria which was un- der British colonial rule. Nigeria labor rules and regulations which got incorporated into the former West Cameroon were themselves based on English labor Law for her overseas territo- ry.

Subcontracting in Cameroon has its origins deeply rooted in the country’s historical, econom- ic, and social context. As per labor code’s definition a “subcontractor shall be a person who enters into a written contract with a contractor to carry out specified piece of work or supply specified services for an agreement price.7  The practice of subcontracting emerged as a   stra-tegic response to the evolving business landscape in Cameroon, driven by factors such as globalization, technological advancement, and the need for cost efficiency.8 Understanding  the original origin of subcontracting in Cameroon requires a comprehensive analysis of the historical development of the practice within the country.

Subcontracting in Cameroon can be traced back to the colonial era when the country was under the French and British rule. During this period, the colonial powers introduced subcon- tracting as a way to facilitate the exploitation of natural resources and the development of infrastructure in Cameroon. The legacy of this colonial practice of this influenced the devel- opment of subcontracting in Cameroon post-independence. Also, the social dynamics within the Cameroon also influenced the evolution of subcontracting practices. The availability of skilled labor, changing workforce demographics, and evolving labor regulations all contribut- ed to the adoption of subcontracting arrangements by businesses operating in Cameroon.

Paid employment (Employment law) in its present sophisticated term was simply non- existent in pre-colonial Cameroon. The absence of paid employment was largely due to the absence of legal tender during the pre-colonial era, making it impossible for labor to be sold.9 Clearly, the non-availability of legal tender both in Cameroon as elsewhere in pre-colonial Africa thus, responsible for the absence of paid contract service. The preoccupation of indi- viduals during this colonial era was farming and hunting, as such could not support the exist- ence paid employment.10 Naturally in this type of basic economy, each family had to rely on its members for labor. Thus in this circumstance there was no need for specialization (sub- contractors are contractors who are specialized in a specific area of work).11  In this case,   the practice of labor employment was dependent on African dignitaries, who needed large scale labor to depend on their family members for it. This practice was possible because pre- colonial families were extensive (wives, children, could grandchildren and nephews) could easily adapt to provide service in the farm or construction of homes.12Also, during the pre- colonial era, the most prominent source of large scale commercial labor was that provided by slaves.13 Slave labor was so important and widespread during this period. Slavery as defined in the Slavery Convention of 1926 is the status or condition of a person over whom any or all the powers attaching to the right of ownership are exercised, and slave is a person in such status.14

Also, during the colonial era, Cameroon workers were unprotected by any legal frame work governing labor relations and without unions, essentially were defenseless against abuses by the administrator and private employer.15 Self-employment in service trade and cash-  cropping for export tend to be more remurative for Cameroonians than employment on Euro- pean plantations, until after World War 2. After the war, unions controlled by rival French labor federation emerged and gathered strength between the war and independence. During this period the first comprehensive legal structure governing labor relations (the 1952 Labour Code) was created.16

With the creation of the Labor code, employment matters were better defined and regulated, thus Section 1(1) of the Labor code establishes that the Labor code shall govern labor rela- tions between wage-earners and employers as well as between employers and apprentices under their supervision.17  With the definition of a worker is as per the labor code “ in this law, ‘worker’ shall mean any person , irrespective of sex or nationality, who has undertaken to place his services in return for remuneration under the direction and control of another person, whether an individual or a public or private corporation, considered as the “employ- er”.18 With harshness of the definition of who a worker is, many individuals are shying from employment relationship and turning to other areas of employment, like; apprenticeship and subcontracting (our area of focus).19 It is worth note that there exist huge differences between the employer and employee and contractor and subcontractor relationship. A subcontractor differs from a worker, as per the labor code’s definition a “subcontractor shall be a person who enters into a written contract with a contractor to carry out specified piece of work or supply specified services for an agreement price.20 One of the major differences between this two is the duration of time, a company may hire employees to work for a long period of time while they may hire subcontractors for specific, temporary jobs.21 It is important to under- stand the difference between this two so you can make the best decision for your carrier or company. 22

Subcontracting is a practice of assigning, or outsourcing, part of the obligations and tasks under a contract to another party known as a subcontractor. Likewise, in some cases sub- contracting is associated with ‘job-work’ where a ‘parent’ firm provides the necessary raw materials to small firms which return these materials after turning them into the required form (as per the technical specification), at a pre-determined rate.23 In summary, is the act of em- ploying a firm or person outside one’s company to do (work) as part of a larger project. A sub-contract occur where a party to an agreement (contractor) arranges for another person(sub-contractor) to perform some or the contractor’s entire obligation under an agreement.24 However, the contractor: remains (contractually) liable if the sub-contractor fails to perform those obligations (unless the contract specifies otherwise).25 Also, sub-contracting is a con- tractual process where firms or individuals adheres to its responsibilities and duties on behalf of another.26 Nowadays, sub-contracting has gained worldwide recognition in various sectors especially the construction sector.27

In addition, subcontractors can work in just about any sector of the economy and perform any task.28 Only very few jobs with limited access do without a subcontractor. Such as top certain civil service or military roles.29 Talking about subcontracting in Cameroon, we talk about Subcontracting and Partnership Stock exchange (BSTP, Bourse de Sous-Traitance et de Par- tenariat du Cameroun) this are centers of technical information, promotion and linking be- tween donors, the suppliers and the subcontractors which aim at using the more optimal (the most complete, logical and efficient) productive capacity of the affiliated industries.30 It was created on May 8, 2013 by the Cameroonian government.31 The main aim of this organiza- tion is to provide local manufacturing companies with tools and services that will improve their performance and practices allow them access to industrial markets.

Aside from the BSTP, Cameroon is equally a member of some organization which adheres to subcontracting such as the United Nations Industrial Development Organization (UNIDO). UNIDO is at the origin of subcontracting and Partnership Exchange Program which  leverage(investing in the link) the linking of buyers (large contractors) and suppliers (SMEs/SMIs) for inclusive development.32 UNIDO is a mother to BTSP, as the later was set up with the help of UNIDO, European Union (EU), and Economic Partnership Agreements (PAPSAPE) by the Cameroonian government.33 UNIDO has been its main partner ever since the establishment  of the institution. Equally, the Cameroon Labour Code clearly brings out provision for sub- contracting in Cameroon this can be seen in its section 48-51.34 This is however, the center of this research. Also, the Public contract Code spells out condition or norms for subcontracting in public contracts in article 131-134.35

Internationally, due to the rapidly developing globalization of the economy, the ongoing Eu- ropean integration and intensification of the European market as well as the continued spe- cialization and rationalization of business processes, subcontracting has been witnessed rap- idly growing since the beginning of the 1990s particularly in the construction sector.36 In re- cent times, companies and organizations turn to allocate specialized or labor-intensive tasks  to subcontractors to operate more economically.37  In that regard, chains emerged consisting  of many different undertakings, concerned with single specialized task of one bigger project. The construction sector is however, one of the first economic sector through which subcon- tracting became a widespread phenomenon, raising concern of possible erosion of workers’ right at the lower end of a subcontracting chain. Furthermore, it became easier for clients and principal contractor to dispose of a possible liability for wages, taxes and social security con- tributions for an otherwise inevitable own workforce.

Also, labor market intermediaries in form of temporary work agencies have started to grow rapidly, acting as links in subcontracting-chains and providing workforce to their contrac- tors.38 In such web of different contractors, workers might find it difficult to identify the le- gally responsible counterpart for their claims.

In conclusion, the regulatory framework governing subcontracting in Cameroon has evolved over time to address issues related to labor rights, fair employment, and economic develop- ments. Government policies aimed at promoting local content, enhancing transparency, and protecting workers’ rights have shaped the landscape of subcontracting in Cameroon. Thus, the original origin of subcontracting in Cameroon is a complex interplay of historical, eco- nomic, social, and regulatory factors that have shaped the practice within the country. By understanding this dynamics, stakeholders can gain insights into how subcontracting has evolved over time and its implications for business and society in Cameroon

1.2 STATEMENT OF PROBLEM

In many countries labor protections and the application of labor law basically work on the basis of an employment relationship, in which one worker provides his/her labor for one em- ployer on the bilateral relationship. However, all around the world, different types of em- ployment relationship have evolved outside of traditional employment relationship. Amongst them, the ILO has noted the triangular employment relationship where the work or services  of the worker are provided to a third party (the user) (ILO, 2006).39 For example, the supply of labor by private employment agencies is the subject of the ILO Private Employment Agencies Convention, 1997 (No. 181) and its accompanying Recommendation (No. 188).40

The most significant question in triangular employment relationships is about the legality and legitimacy of actions for redress between the various parties involved in the process the con- tractor, subcontractor, and the worker).Without proper protection and laws regulating subcontracting practice in Cameroon, parties are left vulnerable and their basic rights are violated. Therefore, there is urgent need to ad- dress this problem of the effectiveness of the laws in protecting parties and suggests effective strategies that prioritize the well-being and rights of all parties involved.

1.3 RESEARCH QUESTIONS

The research question to be answered in this study is divided into general and specific re- search questions.

1.3.1 Main Research Question

What is the legal regime applicable to subcontracting contracts in the Cameroon Labour Law?

1.3.2 Specific research Questions

• What is the Nature of Subcontracting under the Cameroon Labour Law?
• What are the implications for the creation of conditions for employment subcontracts?
• How effective is the Cameroonian Labour Law in the protection of parties to subcon- tracting?
• What policy recommendation can be made to address the problems identified?

1.4 RESEARCH OBJECTIVES

The research questions have been to main objective. This objective is divided into two, the main objective and specific objectives.

1.4.1 Main Research Objective

To examine, the effectiveness of the protection of parties of subcontracting contracts under the Cameroonian Labor Law.

1.4.2 Specific Objectives

Specifically, this research seeks to:

• Understand the nature of subcontracting contracts under the Cameroon Labor

• Analyze the implications from the creation of subcontracting employment     relationship in
• Examine the effectiveness of the Cameroonian Labor Law in the protection of parties to subcontracting
• To make policy recommendations to redress the problems