ABSTRACT

As far back as the 14th century, it was common for the overlords in England who had laborers in their farms to exploit the employees with very little reward to for their work, barely sufficient to cover up for their daily expenses, thus maintaining them in perpetual poverty and dependence. While Cameroon has established minimum wage rates to safeguard workers’ rights and ensure fair compensation, the current situation on the ground reveals significant challenges in the enforcement process. In Cameroon, the lack of enforcement of minimum wage rates is a significant issue that affects many workers, particularly those in the informal sector The main objective was to analyze the challenges for the enforcement of minimum wage rate in Cameroon The method of data collection adopted in this study was content analysis based on the logical deduction and analysis of documents. Data were derived from secondary sources such as books, official documents journal articles and other relevant articles on law. The main finding reveled that they are different categories of workers, such as apprentices, domestic workers, and workers in certain industries. The minimum wage rates are determined based on various factors, including the cost of living, the level of economic development, and the collective agreements between employers and workers’ representatives. But they still exist some challenges to the enforcement of minimum wage rate such as The Introduction of Powerless Staff Representatives, judicial shortcomings and economic and political challenges The long essay also argues that employers of labour in the private sector of Cameroon are so powerful that, they are able to abuse worker’s fundamental rights and get away with it. thus this long essay recommends that a review of the 1992 Labour Code to better handle any form of labour malpractices affecting employment in today’s era.

CHAPTER ONE

GENERAL INTRODUCTION

1.1. BACKGROUND TO THE STUDY

As far back as the 14th century, it was common for the overlords in England who had laborers in their farms to exploit the employees with very little reward to for their work, barely sufficient to cover up for their daily expenses, thus maintaining them in perpetual poverty and dependence. In other instances, it was the opposite. That is, most employers could not cope with the high prices employees tagged to their labor due to the enormous difference between the demand for labor which was so high, and the supply which was rather not sufficient. This exploitation of workers on the one hand, and high labor cost on the other hand in some cases gradually withered off with the development of wage policies, specifically the minimum (floor price) and the maximum (ceiling price) wage policy. Modern minimum wage laws trace their origin to the Ordinance of Labourers (1349), which was a decree by King Edward III that set a maximum wage for laborers in medieval England. King Edward III, who was a wealthy landowner, was dependent, like his lords, on serfs to work the land. In the autumn of 1348, the Black Plague reached England and decimated the population. The severe shortage of labour caused wages to soar and encouraged King Edward III to set a wage ceiling.[1] Subsequent amendments to the ordinance, such as the Statute of Laborers (1351), increased the penalties for paying a wage above the set rates. While the laws governing wages initially set a ceiling on compensation, they were eventually used to set a living wage. An amendment to the Statute of Labourers in 1389 effectively fixed wages to the price of food. As time passed, the Justice of the Peace, who was charged with setting the maximum wage, also began to set formal minimum wages. The practice was eventually formalized with the passage of the Act Fixing a Minimum Wage in 1604 by King James I for workers in the textile industry. By the early 19th century, the Statutes of Laborers was repealed as the increasingly capitalistic United Kingdom embraced laissez- policies which disfavored regulations of wages (whether maximum or minimum) The movement to set minimum wages had first as rational to stop the exploitation of workers in sweatshops, by employers who were thought to have unfair bargaining power over them and later, the supporters of this point argued that it increases the standard of living of workers, reduces poverty, reduces inequality, and boosts morale. In contrast, opponents of the minimum wage say it increases poverty and unemployment because some low-wage workers “will be unable to find work, and will be pushed into the circle of the unemployed” Over time, minimum wages came to be seen as a way to help lower-income families. Modern national laws enforcing compulsory union membership which prescribed minimum wages for their members were first passed in New Zealand and Australia in the 1890s. Although wage policies are now in effect in many jurisdictions, differences of opinion exist about the benefits and drawbacks of a minimum wage. Most countries including Cameroon had introduced the wage legislations (and minimum wage legislation) by the end of the 20th century[2]

Cameroon within this domain of employment laws, has laws, has effected series of labor law modifications and changes since independence, and amongst which include the Federal Labor Code of 1967 laid down by Law No. 67/LF of 12 June 1967, the Unitary Labor Code of 1974 laid down by Law No. 74/14 of 27 March 1974 and recently, the current labor code laid down by Law No. 92/007 of 14 August 1992.[3] As of the oldest code, the minimum wage stood at 28000 FCFA (Twenty-Eight Thousand francs), which was later increased in the latest code of 1992, following serious demands for wage increment and now stands at 36,270 FCFA (Thirty-two Thousand Two-hundred and Seventy francs) per month contrary to the demands from the representatives of the employees’ Association who wanted a minimum of 150, 000 FCFA Francs, and failed to secure even a seemingly agreeable amount of 60, 000 FCFA proposed by the representatives of the Employers’ Union.

1.2. STATEMENT OF THE RESEARCH PROBLEM

While Cameroon has established minimum wage rates to safeguard workers’ rights and ensure fair compensation, the current situation on the ground reveals significant challenges in the enforcement process. Compliance issues, insufficient monitoring mechanisms, and potential economic consequences undermine the intended benefits of minimum wage policies. The discrepancy between policy intentions and practical implementation raises concerns about the well-being of workers and the overall economic stability of the country.

In Cameroon, the lack of enforcement of minimum wage rates is a significant issue that affects many workers, particularly those in the informal sector. One example of this can be seen in the construction industry, where workers often face poor working conditions, long hours, and low pay. Despite the existence of minimum wage laws, which set a minimum hourly or monthly wage that employers are required to pay their workers, enforcement is often lacking. Many workers in Cameroon are paid below the minimum wage, sometimes as little as half or even a quarter of the legal minimum. This lack of enforcement is due to several factors, including[4] Limited monitoring and enforcement capacity exacerbate the challenges, contributing to a situation where workers may not receive the intended protection and fair compensation. This not only jeopardizes the welfare of employees but also has broader implications for the socio-economic landscape.

The consequences of inadequate enforcement of minimum wage rates include potential exploitation of workers, income inequality, and a weakened labor market. Additionally, businesses may face challenges in maintaining sustainable operations, leading to potential job losses and economic instability. These consequences not only affect individuals but also have cascading effects on the overall development of the country. To address these issues, there is a need for comprehensive reforms in the enforcement of minimum wage policies. This includes strengthening monitoring mechanisms, implementing stricter penalties for non-compliance, and fostering collaboration between relevant stakeholders. Additionally, policymakers should consider strategies to mitigate potential economic consequences, such as providing support to businesses that may be affected. By taking a holistic approach, Cameroon can create an environment where minimum wage policies are not only established on paper but effectively enforced for the benefit of both workers and the economy.

1.3. RESEARCH QUESTIONS

1.3.1. General research question

What are the challenges for the enforcement of minimum wage rates in Cameroon?

1.3.2. Specific research question

• What is the concept of minimum wage rate in law?
• Which laws enforce minimum wage rates in Cameroon?
• What are the challenges faced in enforcing minimum wage rate in Cameroon?
• What are the policy recommendations for the protection of workers’ rights to minimum wage in Cameroon?

1.4. OBJECTIVE OF THE STUDY

1.4.1. Main objective

this study is to evaluate the challenges for the enforcement of minimum wage rates in Cameroon

1.4.2. The specific objectives of the study include to:

• To identify the concept of minimum wage rate in law
• To identify the laws, enforcing minimum wage rates in Cameroon
• To identify the challenges faced in enforcing minimum wage rate in Cameroon
• To make policy recommendations for effective protection of workers’ rights to minimum wage rates in Cameroon.

[1] Modern minimum wage laws trace their origin to the Ordinance of Labourers (1349), which was a decree by King Edward III that set a maximum wage for laborers in medieval England. King Edward III, who was a wealthy landowner, was dependent, like his lords, on serfs to work the land. In the autumn of 1348, the Black Plague reached England and decimated the population. The severe shortage of labour caused wages to soar and encouraged King Edward III to set a wage ceiling. Subsequent amendments to the ordinance, such as the Statute of Laborers (1351), increased the penalties for paying a wage above the set rates.

[2] the Modern national laws enforcing compulsory union membership which prescribed minimum wages for their members were first passed in New Zealand and Australia in the 1890s

[3]See employment laws, has effected series of labor law modifications and changes since independence, and amongst which include the Federal Labor Code of 1967 laid down by Law No. 67/LF of 12 June 1967, the Unitary Labor Code of 1974 laid down by Law No. 74/14 of 27 March 1974 and recently, the current labor code laid down by Law No. 92/007 of 14 August 1992.

[4] Brown, C., Curtis G., & Andrew, K. The Effect of the Minimum Wage on Employment and Unemployment.  Journal of Economic Literature, (1982). p 487-528