Employment law in Cape Verde

Employment Law in Cape Verde is governed by a combination of the Labor Code (Código do Trabalho), Constitutional Law, and international labor standards that the country adheres to. Cape Verde is a member of the International Labour Organization (ILO), and as such, its labor laws reflect international standards regarding workers' rights, protections, and obligations. The Cape Verdean legal system focuses on promoting fair working conditions, protecting workers' rights, and ensuring a balance between employers and employees.

Here’s an overview of the key aspects of employment law in Cape Verde:

Key Legislation and Framework

Labor Code (Código do Trabalho):

The Labor Code is the primary piece of legislation governing employment law in Cape Verde. It provides comprehensive regulation for employment contracts, working hours, wages, leave entitlements, dismissal procedures, and other important labor-related issues. The Labor Code was last revised to ensure alignment with international labor standards and improve worker protections.

Constitution of Cape Verde:

The Constitution of Cape Verde guarantees fundamental rights, including the right to work, fair wages, and social security. It lays the groundwork for labor protections, including the right to organize and the right to collective bargaining.

Social Security System:

The Social Security Law provides coverage for workers in Cape Verde, including healthcare, pensions, unemployment benefits, and accident insurance. Employees and employers both contribute to the social security system.

International Conventions:

As a member of the International Labour Organization (ILO), Cape Verde adheres to several ILO conventions related to labor standards, including those covering the right to organize, collective bargaining, and working conditions.

Key Employment Rights and Protections

1. Employment Contracts

Written Contracts: The Labor Code requires employment contracts to be in writing, especially for permanent and fixed-term employees. The contract should clearly outline the terms and conditions of employment, including job duties, salary, working hours, and other important terms.

Types of Employment Contracts:

Indefinite-Term Contracts: These are permanent contracts with no predetermined end date. Most employment relationships in Cape Verde are governed by indefinite-term contracts.

Fixed-Term Contracts: Fixed-term contracts are used for temporary work, such as seasonal or project-based jobs. These contracts should not be renewed indefinitely, and after a certain number of renewals, they may be deemed as indefinite-term contracts.

Probationary Period: Employees may be subject to a probationary period (up to 90 days) during which either the employer or employee can terminate the contract with minimal notice.

2. Wages and Salary

Minimum Wage: Cape Verde has a national minimum wage established by the government, which is periodically reviewed. As of recent years, the minimum wage in Cape Verde is approximately 13,000 CVE per month (around €120), but this can vary based on the sector and geographic region.

Salary Payment: Employers are required to pay employees regularly, typically on a monthly basis. Payment can be made by check, bank transfer, or cash.

Overtime: Employees who work beyond their regular hours are entitled to overtime pay. The overtime rate is generally higher than the standard hourly rate, often at 1.5x or 2x the normal rate, depending on the time worked (e.g., nights, weekends, or holidays).

3. Working Hours

Standard Working Hours: The standard working week in Cape Verde is typically 40 hours. This is commonly divided into 8 hours per day for 5 days a week.

Rest Periods: Employees are entitled to at least 11 consecutive hours of rest between workdays, and they should also receive one day off per week, usually Sunday, depending on the sector.

Flexible Working: The Labor Code allows for flexibility in working arrangements, such as part-time work or telecommuting, if agreed upon by the employer and the employee.

4. Leave Entitlements

Annual Paid Leave: Employees in Cape Verde are entitled to a minimum of 22 working days of paid annual leave after completing one year of service.

Sick Leave: Employees who fall ill are entitled to paid sick leave. The first 3 days of sick leave are generally paid by the employer, and after that, the Social Security System covers the employee's sick leave compensation.

Maternity Leave: Female employees are entitled to 90 days of maternity leave (often divided into 30 days before childbirth and 60 days after). Maternity benefits are typically paid by the National Social Security Institute (INPS), at a rate of 100% of the employee's salary.

Paternity Leave: Fathers are entitled to 5 days of paid paternity leave around the time of the birth of their child.

Public Holidays: Cape Verde observes several public holidays, such as New Year’s Day, Labour Day, Independence Day, Christmas, etc. Employees are entitled to these holidays off, and if they work, they are usually compensated with additional pay.

5. Termination of Employment

Notice Period: Both the employer and employee are required to give a notice period if they wish to terminate the employment relationship. The notice period varies according to the employee's length of service:

Less than 1 year: 15 days’ notice

1 to 5 years: 30 days’ notice

More than 5 years: 60 days’ notice

Dismissal: Employers can dismiss employees for a variety of reasons, including misconduct, poor performance, or redundancy. However, employees are protected from unjust dismissal and can challenge a termination if they believe it was unfair.

Severance Pay: Employees who are terminated unfairly or through redundancy may be entitled to severance pay, which is usually calculated based on the employee's length of service and salary.

Redundancy: Employees who are made redundant (e.g., due to economic reasons) are entitled to compensation and notice as stipulated by the Labor Code.

6. Discrimination and Equal Treatment

Non-Discrimination: Cape Verde’s labor law prohibits discrimination based on race, gender, age, disability, religion, or sexual orientation. Equal treatment is a fundamental principle, meaning that employees in similar roles should receive equal pay and benefits, regardless of their background.

Equal Pay for Equal Work: The principle of equal pay for equal work is enshrined in Cape Verdean law, ensuring that male and female employees receive the same remuneration for performing the same tasks.

7. Health and Safety

Workplace Safety: Employers are required to provide a safe and healthy working environment. This includes complying with workplace safety standards, offering protective equipment where necessary, and providing appropriate training to employees on safety procedures.

Occupational Health: Employees who experience occupational accidents or diseases are entitled to compensation under the Social Security System. The National Social Security Institute (INPS) handles such cases.

Workplace Inspections: The General Inspectorate of Labor (IGT) is responsible for monitoring compliance with labor laws, including workplace safety regulations.

Dispute Resolution

Labor Court: Disputes between employers and employees, such as unfair dismissal, wage claims, or contract disputes, can be taken to the Labor Court (Tribunal do Trabalho). The court resolves employment-related disputes and enforces workers' rights.

Mediation and Arbitration: Many disputes are resolved through mediation or arbitration before being brought to court. The Labor Code encourages alternative dispute resolution methods to avoid lengthy litigation.

Trade Unions: Employees have the right to join trade unions, which represent workers in negotiations over wages, working conditions, and other labor-related matters. Trade unions also help in advocating for workers' rights and resolving disputes.

Conclusion

Employment law in Cape Verde provides a strong legal framework for protecting workers' rights and ensuring fair treatment in the workplace. The Labor Code, along with other legislation, regulates key aspects of employment, including contracts, wages, working hours, leave entitlements, termination, and health and safety. Employees in Cape Verde are entitled to protections against unfair treatment and discrimination, with mechanisms in place for dispute resolution through labor courts and mediation. The legal framework aims to create a fair and balanced working environment for both employers and employees in Cape Verde.

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