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Cape Verde - Compensation & Benefit Legislation


CAPITAL

Praia

 

CLIMATE

Temperate climate; warm, dry summer with meager and very erratic precipitation.

 

LANGUAGES

Portuguese and Crioulo (a blend of Portuguese and West African words).

 

LEGAL SYSTEM

Cape Verdi’s legal system is derived from the legal system of Portugal.

 

CURRENCY

Cape Verdean Escudo (1 USD = 124.360 CVE as of April 15, 2002).

 

CAPE VERDE - COST-OF-LIVING

ERI's Relocation Assessor is a recommended source for cost-of-living data.

 

CAPE VERDE - EMBASSY/CONSULATES

U. S. Embassy at Praia

Rua Abilio Macedo 81

Praia, Cape Verdi

C.P. 201

Praia, Cape Verde

Telephone: [238] 61-56-16

Fax: [238] 61-13-55

 

Embassy of the Republic of Cape Verde at Washington D.C.

3415 Massachusetts Avenue N.W.

Washington D.C. 20007

Telephone: (202) 965-6820

Fax: (202) 965-1207

 

CAPE VERDE - HOLIDAYS

 

CAPE VERDE - MINIMUM AGE

The legal minimum age for employment is 14 years. The law prohibits children under the age of 16 from working at night, more than 7 hours per day, or in establishments where toxic products are produced.

 

(Section 6.d. Acceptable Conditions of Work, Cape Verdi – Report of Human Rights Practices, 2001, U.S. Department of State.)

 

CAPE VERDE - MINIMUM REMUNERATION

There are no established minimum wage rates in the private sector.

 

Large urban private employers link their minimum wages to those paid to civil servants. For an entry-level worker, this wage is 11,193 Cape Verdean escudos) per month (approximately $120).

 

(Section 6.e. Acceptable Conditions of Work, Cape Verdi – Report of Human Rights Practices, 2001, U.S. Department of State.)

 

CAPE VERDE - REMUNERATION

ERI's Geographic and Salary Assessors are recommended sources for international remuneration covering 189 countries.

 

CAPE VERDE - REPORT OF HUMAN RIGHTS PRACTICES (2001, U.S. DEPARTMENT OF STATE)

Section 6 Worker Rights

 

a. The Right of Association

 

The Constitution provides that workers are legally free to form and join unions without government authorization or restriction. There are two umbrella union associations: The Council of Free Labor Unions, composed of 11 unions with approximately 14,000 members; and the National Union of Cape Verde Workers, formed by the former ruling party but operating independently, composed of 14 unions with approximately 16,000 members. The Government does not interfere with the activities of these organizations, but the National Union of Cape Verde Workers claims that it received less than its share of funds for unions. Both unions suffer from a shortage of funds. There are no prohibitions against forming or joining unions.

 

The Constitution provides union members with the right to strike, and the Government generally respects this right. However, in July and August 1999, the workers of the shipping company Arca Verde made two attempts to strike. The Government invoked a civil request, under which it has the power, in an emergency or if a strike threatens coverage of basic needs, to name a list of minimum services that a union must continue to provide during any strike. Because of the Government's "civil request," the crew and workers of four of the five ships in the fleet were required to continue working. According to the National Union of Cape Verde Workers, the Government's decision violated the law, since there was no emergency. The union claimed that, under such circumstances, the "minimum services list" that it presented to the Government would have ensured the continuation of essential services of public interest. The union presented the case to the International Confederation of Free Trade Unions, which in 1999 filed a complaint against the Government with the International Labor Organization (ILO). The complaint remained unresolved at year's end.

 

In its 2000 report, the ILO Committee on Freedom of Association (CFA) noted that the Government amended legislation in 1999 so that organizations of workers may enjoy the right to peaceful demonstration without unreasonable restrictions, in particular with regard to time. The CFA also reported that the Government began to take measures to amend its legislation so that in the event of disagreement between the parties on the minimum services to be provided during strikes, this difference of opinion is resolved by an independent body. However, at year's end, the Government had not created an independent body to resolve such differences.

 

The law provides that if an employer fires a worker without a "just cause" as defined by the law, such as for union activity, the employer must either reinstate the worker or provide financial compensation to the worker.

 

There was one legal strike and no illegal strikes during the year. In September a group of private guards went on a 1-day strike, following their employer's threat that they would be fired because of the Government's failure to pay the company for services provided. The strikers invaded the Ministry of Finance's Treasury Department and only left after the payment issue was settled. No action was taken against the strikers. Unlike in the previous year, the Government did not requisition workers to end a strike.

 

Unions are free to affiliate internationally and have ties with African and international trade union organizations.

 

b. The Right to Organize and Bargain Collectively

 

The Constitution provides for the right to organize, to operate without hindrance, and to sign collective work contracts; however, there has been very little collective bargaining. There are no signed collective bargaining agreements.

 

Workers and management in the small private sector, as well as in the public sector, normally reach agreement through negotiations. Although there are no collective labor contracts, workers succeeded in negotiating important issues such as salary increases. However, as the country's largest employer, the Government continued to play the dominant role in setting wages. It does not fix wages for the private sector, but salary levels for civil servants provide the basis for wage negotiations in the private sector.

 

The law bans antiunion discrimination by employers with fines for offenders. No cases were brought to court during the year.

 

Praia has a 30-acre export processing zone (EPZ), which houses two Portuguese companies and a Cape Verdean-Sengalese joint venture. There are no special laws or exemptions from regular labor laws for EPZ's.

 

c. Prohibition of Forced or Compulsory Labor

 

The law prohibits forced or compulsory labor, and there were no reports that such practices occurred.

 

The Government prohibits forced and bonded labor by children, and there were no reports that such practices occur.

 

d. Status of Child Labor Practices and Minimum Age for Employment

 

The legal minimum age for employment is 14 years. The law prohibits children under the age of 16 from working at night, more than 7 hours per day, or in establishments where toxic products are produced; however, the Government rarely enforces the law, and child labor occurs. In practice the Ministry of Justice and Labor enforces minimum age laws with limited success, and then only in the urban, formal sectors of the economy.

 

The Government prohibits forced and bonded labor by children, and there were no reports that such practices occur.

 

e. Acceptable Conditions of Work

 

There are no established minimum wage rates in the private sector. Large urban private employers link their minimum wages to those paid to civil servants. For an entry-level worker, this wage is approximately $120 (11,193 Cape Verdean escudos) per month. The majority of jobs pay wages insufficient to provide a worker and family with a decent standard of living; most workers also rely on second jobs, extended family help, and subsistence agriculture.

 

The maximum legal workweek for adults is 44 hours. While large employers generally respect these regulations, many domestic servants and agricultural laborers work longer hours.

 

The Director General of Labor conducts periodic inspections to enforce proper labor practices and imposes fines on private enterprises that are not in conformity with the law. However, the Government does not enforce labor laws systematically, and much of the labor force does not enjoy their protection. Few industries employ heavy or dangerous equipment, and work-related accidents are rare.

 

There is no legal provision for workers to remove themselves from unsafe working conditions without jeopardizing their continued employment.

 

f. Trafficking in Persons

 

The law does not prohibit trafficking in persons, and illegal trafficking in economic emigrants to various points in Europe is believed to be a thriving business. Visa and related fraud are involved in the trafficking of economic emigrants who are smuggled into Europe; however, there are no reports that these persons are trafficked into forced labor or debt bondage. The country is a transit point for traffickers, and trafficking has become a concern for local authorities. Several press reports noted that the police have arrested some persons, traffickers as well as victims. In 2000 such cases involved fewer than 30 persons. The Government was cooperating with European authorities, neighboring governments, and foreign embassies to deal with the problem.

 

CAPE VERDE - SOCIAL SECURITY

Social Security Office of International Programs:

 

http://www.ssa.gov/SSA_Home.html

 

CAPE VERDE - STANDARD WORKWEEK

The maximum legal workweek for adults is 44 hours.

 

(Section 6.e. Acceptable Conditions of Work, Cape Verdi – Report of Human Rights Practices, 2001, U.S. Department of State.)