UNIVERSITY OF LAGOS.

FACULTY OF BUSINESS ADMINISTATION

DEPARTMENT OF INDUSTRIAL RELATIONS AND
PERSONNEL MANAGEMENT

COURSE TITLE AND CODE:

COMPARATIVE INDUSTRIAL RELATIONS SYSTEMS AND THEORIES. (IRP 410)

LEVEL: 400L

GROUP 2

NAMES MATRIC NO

AWOLESI TOYIN. I 030206013

BABALOLA FOLURNSHO. K 030206014

BODUNRI IBILOLA. T 070206027

GODWIN MICHAEL. S 050206054

KEHINDE KAYODE. M 060206063

MATTI OLARENWAJU 060206064

MOJEKWU DORIS 060206068

ODESOLA OREOLUWA 060206076

1
OMIDIJI TOLUWALOPE 070206060

OMISORE. J. AYOOLA 050206090

OPITOKE ESTHER OSHORENOYA 070206063

OYEWOLE OLUWASENI 060206113

PAUL GOVERNMENT 060206115

SULE MUSHOOD BOLANLE 070206068

WLEGBENU OMOLOLA. D 060206130

2
TABLE OF CONTENTS. PAGES
1.0 Introduction of comparative methods 5
1.1Meaning of comparative industrial relations 6
1.2 Relevance of comparative industrial relations 7

Chapter 1
2.0 History on Russia and Political System 8
2.1 Trade Unions in Russia 10
2.2 Collective Bargaining 13
2.3 Employers’ Association 14
2.4 Industrial conflict in Russia after the collapse
Of Communism 15
2.5Workers Participation in Decision Making 16
2.6 Globalization on Industrial Relations Multinationals
Corporations in Russia 17

Chapter 2
3.0 History on Taiwan 19
3.1. Trade unions in Taiwan and Political structure 20
3.2 Collective Bargaining and Dispute Resolution in Taiwan 22
3.3 Employers Association 23
3.3.1 Statutory Requirement in Taiwan 24
3.3.2 Other Labour Regulations 24
3.3.3 Working hours 24
3.4 Effect of Globalization in Taiwan 25

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Chapter 3
4.0 Comparative analysis of Industrial Relations in Russia and Taiwan. 27
4.1 Difference in Practice of Trade Union 27
4.2 Similarities in their Trade union 28
4.3 Difference in Taiwan and Russia`s collective bargaining 28
4.4 Similarities in their Collective Bargaining 29
4.5 Differences in Employers Association 29
4.6 Similarities in Employers Association 29
4.7 differences in Industrial Conflict and Strikes 30
4.8 Similarities in Industrial Conflict and Strikes 30
4.9 Similarities in Workers Participation 30

Chapter 4
5.0 History of Venezuela 31
5.1 Political environment 34
5.2 Photo Gallery 35
5.3 Trade union Composition in Venezuela 35
5.4 Employers Association 37
5.5Industrial Conflict 39
5.6 Workers Participation in Decision Making 39
5.7 Industrial Relation in MNC 39
5.8Impact of Globalization in Venezuela 40

Chapter 5
6.0 Overview of Cameroon 42
6.1 Land & Resources 48
6.1.1 History of Cameroon 50
6.2Trade union Composition in Venezuela 51
6.3 Collective Bargaining 51

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6.4 Role of State 52
6.5 Industrial Conflict 52
6.6 Impact of Globalization in Venezuela 53

7.0Comparism (Venezuela and Cameroon) 55-57

Introduction on Comparative Methods.

In all sciences, be it social or pure; the comparative approach is an approach in
looking at a phenomenon. Although, the meaning of the term “comparative
approach’’ can not be found in any dictionary but one can have an idea of the two
words. Comparative means to compare while method means procedure. From the
definition above, comparative method is said to mean the procedures for
comparing. Comparative method can be found in various studies or disciplines like
sociology, philosophy and also in industrial relations.

According to Stumthal (1958), he defined comparative investigation as research

dealing with the same, similar or related phenomenal in different countries.

Bean (1974) also defined comparative industrial relations as a systematic method

of investigation relating two or more countries which have analytical rather
descriptive implications.

Comparative industrial relation is the study of industrial relations in two or more

countries where the similarities and differences between them are analysed. The
study of industrial relations provides the basis for comparison across regions,
sectors, countries and more importantly from a macro-perspective. The tools for
comparisons are trade unions, employers associations, collective bargaining, role
of the state, workers participation in decision making, industrial conflict and

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strikes, industrial relations in multinationals corporations, industrial relations in
developing countries and the effect of globalisation. The study of industrial
relations in one country can not be transplanted into another country. Even the
industrial relations of a company in one country can not be transplanted into the
branch of the same company in another country. For example Unilever Nigeria can
not transplant its industrial relations practices into Unilever Ghana.
But comparative industrial relations make it possible to assess whether there are
any features of industrial relations system in other countries that should be
imported and applied.

Comparative industrial relations is a global or societal review, analysis and

interpretation of all work related relationship. It reviews on the basis of work life
associations. Comparative industrial relations is the most exciting area of study in
industrial relations.

Relevance of Comparative Industrial Relations.

1. It is an aid to practitioners in utiliusing ideas, approaches and techniques.
2. It can lead to greater understanding of the factors which determines
industrial relations phenomenal because it can lead to questions regarding
the reasons for the observed similarities and differences.
3. It gives insight to a wider social and economic aspect of society which
influences industrial relations policies.
4. It provides insight into major issues and theories which explains the
different national patterns of industrial that is peculiar issues that makes a
country different from others.
5. Comparative analysis across countries provides understanding of various
factors such as legal institutional framework, technology, economic and
industrialisation strategies, central functions, role of the state amongst

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 others as determining the type of industrial relations adopted by different
countries,

Relevance of Comparative Industrial Relations to Human Resource Managers.

1. It helps to provide more knowledge and experience to use. It can bring about
policy alteration or deviation.
2. It enables management of a firm to know whether a system borrowed from
elsewhere is practicable or not within their own framework.
3. It can provide a new method of production for a firm; this could be achieved
through suggestions from other quarters.

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2.0 HISTORY ON RUSSIA
Russia was founded in the 12th century from more than two centuries of Mongol
domination with its capital city named Moscow. During the 19 th century, more
territorial acquisitions were achieved in Europe and Asia and consequent to that,
was the revolution of 1905 after the defeat of Russia by the Japanese war of 1904
to 1905. The brutal or fierce rule of Losif Stalin (1928-1953) strengthened
communist rule in Russia which in advertently increased their dominance of the
Soviet Union economy and society stagnated in the proceeding decades. By 1991,
the USSR was splintered into Russia and 14 other Independent Republics.
Russia has the largest city in the world with an estimated population of
141,927,297 million people. Russia covers a total 17,075,400 square kilometers.
The official language is Russia and ethnic groups’ ranges among Tatars,
Ukrainians, Bashkirs, Churash, Chechen and Armenians. The Current President is
Dmitriy Anatolyevich Midvale and the Prime Minister Vladimir Putin. Russian
federation is in Northern Eurasia. It is a federal, semi-presidential democratic
republic comprising 83 federal subjects. Russia shares borders with Norway,
Finland, Estonia, Latvia, Lithuania and Poland (both via Kaliningrad oblast)
Belarus, Ukraine, Georgia, Azerbaijan, Kazakhstan, China, Mongolia and North
Korea.

The vibrancy of the Russian economy is a pointer to the relevance of industrial

relations practice and analysis.

Russian has a large reserve of Mckel in the world’s national resources. It is blessed
with crude oil, natural gas, mineral resources and energy resources.
Russia extends across the whole of northern Asia and 40% of Europe, spanning
eleven time zones and incorporating a wide range of environment and land
reforms.

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Russia established worldwide power and influence from times of Russian Empire
to being the largest and leading constitutionally socialist state and a recognized
super power that played a decisive role in the allied victory in World War II.
Russian Federation was founded following the dissolution of the Soviet Union in
1991.

Russia has the world’s eight largest economy by nominal GDP or the sixth largest
by purchasing power parity with the eight largest nominal military budgets with
the possession of world’s largest stockpile of weapon of mass destruction.

Russia is a permanent member of the United Nations Security Council and a

member of 98,920 council of Europe, Asia-Pacific Economic Cooperation and is
the leading member of the Commonwealth of Independent State. The Russian
nation has a long tradition of excellence in every aspect of the arts and sciences
and as well as a strong tradition in technology including such significant
achievement as the first human space of light.

RUSSIA’S POLITICAL SYSTEM

According to the Constitution, which was adopted in 1993 following the 1993
Russian Constitutional crisis, Russia is a federation which is fundamentally
structured as representations of democracy whose government is composed of
three branches.
Executive power is exercised by the government (The President is the
Commander in Chief of the Military).
Legislative power is vested in two chambers of the federal assembly (State Duma
and the Federation Council).
Judiciary comprises of the Constitutional Court, Supreme Court and the Supreme
Court of Arbitration.

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The government is regulated by a system of checks and balances defined by the
constitution of Russian Federation. The President is elected by popular vote for a
six-year term and eligible for a second term. But constitutionally barred from a
third term. Election was last held in 2008. Ministers are composed of premier and
his deputies, minister and selected other individuals. The National Legislature is
the Federal Assembly consisting of two chambers, 450 member state Duma and
176 member Federation council. Leading political parties in Russia include United
Russia, the Russian Communist Party, the Liberal Democratic Party of Russia and
Fair Russia.

2.1 TRADE UNIONS IN RUSSIA

According to the International Labour Organization, the primary role of trade
union is to protect the interest of its members at the expense of the employers.
Since Russia used is a socialist economy trying to move forward what is called a
communist ‘market’ economy, the role of her trade unions continue to change
from time to time.

Before the Bolshevik revolution of 1917 unions were not independent they were
made to be what is called ‘production unions’ that would manage compulsory
labour programmes, improve productivity and enforce labour disciplines.
In the present day Russia, the Federation of Independent Trade Unions of Russia
(FNPR) is the largest National Trade Union Center in Russia with a membership
estimated between 28 and 31.5 million. The FNPR is widely recognized as the
defector successor to the Soviet era trade unions system. Although the General
Confederation of Trade Unions as the umbrella organization of trade unions in the
former Soviet Republic, that is which is technically the equivalent of the former
system.

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 The FNPR was established in 1990, one year before the dissolution of USSR
(Union of Soviet Socialist Republics). After the break up, with the exception of
the military, the FNPR was one of the few national institutions to restrain its
power and function. The abilities included:
 Control over the disbursement of insurance and funds
 The right to contest and veto dismissal of workers
 Automatic deductions from workers wages.

FNPR continued to operate in a manner similar to Soviet as a union. Members of

the FNPR included both workers and management and often, labour unrest was
aimed at the government rather than employers in an effort to preserve the
command market economy as opposed to the free market economy. The FNPR
clearly professed support for a socially regulated market economy, trade union
independence and political democracy.
FNPR espouses government intervention in the economic process, if such
intervention is required for social reasons.

THE STRUCTURE OF TRADE UNION IN RUSSIAN FEDERATION

Federations of Independent Trade Union of Russia

Central Committee of Regional Federation

The Balance
LEGALunion
RUSSI

Regional branch committee

District Committee City Committee

Primary Organization Primary Organization Primary Organization

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That of social partnership within a framework of tripartism (Article 15.1)
- Voluntarism, the law specifying the minimum of obligations of trade
unions, leaving them to regulate their internal relations including conditions
of membership, form of government, formation of primary groups and
designation of its representation according to their constitution.
- Sources of funds and its use are determined by its own constitution
- Equality of rights of all trade unions under law
- Welfare Corporation: Although trade unions have lost many of their former
state functions, the law still defines their rights and responsibilities in
relation to labour and social issues within a capitalist framework.
- Existence of any other representative body of employees cannot be used to
impede the activity of the trade unions.

In 1998, Russia was hit by a severe financial crisis, and the FNPR was at odds
with Yeltsin calling for his resignation in an open letter. The union preferred
Yevgeny Primakov, the dismissed Prime Minister and the Otechestro coalition.
However, this support appears to have been relatively weak, as regional trade
unions had their own positions and interest, and it was Vladimir Putin who was
appointed Prime Minister and then Acting President, four months later.
In 2001, a new labour code was introduced in the State Duma and it was strongly
opposed by all but one of the trade unions.

The FNPR was granted observer status in the International Confederation of Free
Trade Unions (now the International Trade Union Confederation) in April 2000,
and was accepted as an affiliated member in November of the same year. Since the
affiliation, the FNPR has been active in supporting ITUC in the area, providing
facilities for an ITUC regional office. The key people in the FNPR are President
Mikhail Shmakov and International Secretary Eugene Sidorov

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2.3 COLLECTIVE BARGAINING IN RUSSIA
Collective bargaining refers to the process by which workers and their
representatives, one hand come together with the employer or its representatives
on the other hand for the purpose of determining and regulating terms and
conditions of employment. It is a form of industrial democracy which allows
workers in the determination of terms and conditions of employment. The core of
this part is to look at how collective bargaining has faired in Russia.
In Russia, the liberalization of the labor market, with the removal of a large part of
the statutory and administrative control of payment systems and of the terms and
conditions of work. The law on trade union specifies the right of trade unions to
conduct collective bargaining and conclude collective agreement in the name of
employees and in conformity with federal law.

In Russia, employers are required to conduct collective bargaining with trade

union bodies, if the latter initiative such bargaining. The implementation of
collective agreement, the trade union has the right to monitor the implementation
should the employer violate the terms of the collective agreement. The trade
unions in Russia have the right to report these violations to the employer, who
must respond within a week, and failure will be at the Federal Law discretion.
In Russia, there are different levels of bargaining which are branch bargaining,
regional level bargaining, and local level bargaining.

Branch Level Bargaining: At this level of specific sector, the representative of

the trade unions meets with representative from relevant ministries or with
employer’s association representatives. Here, the trade union representatives try to
reach branch agreement on minimum standards for specific sector.

Regional Level Bargaining: At the regional level, trade unions try to bargain
with the regional employers’ representative or regional public authorities to

13
improve the general standards put forward in the general agreement and the branch
level agreements. The success of the trade union at this level depends heavily on
the strength of the trade unions regionally and how important the sectors for the
regional economy.

Local Level Bargaining: the ability to implement general standards at the local
level, enterprise depends on the strength of the local trade union. Sometimes
general agreements, branch level agreements or regional agreements are not being
obtained, as the local union is not being obtained. The local union is not strong
enough to force the employers to implement common policies. At other times,
local trade union is strong enough to greatly improve the standards and the
leverage to force the employers to implement higher standards.

Since the structure of the trade union representative in Russia gives considerable
decision power over economic resources to the local representatives, the quality of
the local representatives decides the effectiveness of trade unions locally and the
standard may differ widely between enterprises in the same sector.

2.4 EMPLOYERS’ ASSOCIATION IN RUSSIA FEDERATION

The law that allowed for the formation of employers’ association was passed by
the State Duma on October 30, 2002 and endorsed by the Federation Council on
November 13, 2002.
The summary of the law as stipulated from article 1 to 15 are:
Scope of Federal Law which shall apply to all employers’ association that conduct
their activities on the territory of the Russian Federation.

That employer shall have right to local self-governance with the objective of
representing their legitimate interest and protect rights of members.

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That employers’ association legal status shall be defined under the constitution of
Russian Federation, International Treaties and Agreements.
That member of employers’ association shall have equal right to participate in
formation of governing bodies as prescribed under the Russian charter of
employers’ association
- The obligation of members of employers association in Russia shall be
abide and comply with terms, conditions and requirements, provided by
those contracts and agreements.
- The employers’ association shall have the right to work out a coordinated
position of the employers’ association members regarding the regulation of
social-labour relationships.
It is quite evident that employers’ association in the Russian federal is distinctly
organized according to the democratic tenets of industrial and labour relations.

2.5 INDUSTRIAL CONFLICT IN RUSSIA AFTER THE COLLAPSE OF

COMMUNISM IN EARLY 1990
Industrial conflict can be defined as the inability of employers and workers to
reach an agreement on any issue connected with the object of employer or
employee relationship or interaction, whether or not this inability results in strikes
or lock outs or other form of protestations (Fon, 1971).
Conflict arising within the enterprise can be internal and external.
According to Simon Clarke on Russia (Journal of Communist studies, 1993). The
Russians independent unions are weak which was reflected in union leaders
playing secondary role in revolution.

The independent unions generally supported Yeltsin in 1991 but got little support
from the government. In analyzing patterns of industrial conflict in Russia, it will
be helpful to examine past nature of unions in Russia before the collapse of

15
communism which is evident in the stiff degree of autonomy which unions do not
enjoy. The unions had little status compared to proletarian parties until March
1992 law on collective agreement paved way for equal rights to all properly
constituted trades union. After the collapse of communism, the forms of industrial
protest in the Russian federation nosedived into a staggering low level which
became resolved peacefully in all ramifications as result of the 1993 law of
collective agreement. Various statistics is evident to show the increase in wage
survey from 60% to 70% and the wave of strikes also declined from 23% in 1993
to 19% in 2005.

2.6 WORKERS PARTICIPATION IN RUSSIA

In Russia, the socialist economy was practiced during the Soviet Era, but now they
are moving towards a socialist market economy. According to the theory of the
socialist market economy an enterprise continues to be a unit any body securing
the social reproduction of its labour collectively and serving the interests of
society as whole increased enterprise independence. The resurrection of
democracy in Russian various workplaces which replaced weak monitoring role of
the state are evidence that worker participation is inherent in the industrial
relations system in Russia.

In Russia, the 1983 law on labour collective established the elected labour
collective council as an advisory body with very limited powers. The law on state
enterprise (Association) of July 1987 strengthened the STN, which had power to
decide all production and social questions. Although, it simultaneously reaffirmed
the traditional principle of one man management. This is a form of which workers
participate in the work place.

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There is social partnership between workers and employers which was a means of
securing their institutional reproduction. In a nutshell, employee participation is
the process of whereby employees are involved in decision making processes,
rather than simply enacting an order. It is part of a process of empowerment in the
work place.

Employee participation is in part a response to the quality movement within

organizations. In Russia, individual employees are encouraged to take
responsibility for quality in terms of carrying out activities which meet the
requirement of their customers. Employee or workers participation in Russian
federation is hampered on the ideology of improving human resource development
in modern organizations.
To this end, the form of workers participation is place through labour collective
council, social partnership and collective bargaining.

2.7 GLOBALISATIONAL EFFECTS ON INDUSTRIAL RELATIONS IN

MULTI-NATIONAL CORPORATIONS IN RUSSIA
Due to globalization in the world, multinationals emerge through establishing
business across countries of the world. Also in the wake of foreign direct
investment, many countries embraced foreign investment and also encouraged
them through favorable legislation and labour practices.
Immediately after the break up of the Soviet Union, the Russian federation was
defined as a nation in transition to democracy, Russia was termed in the global
setting back them as a prodigal son coming back to the family of western nations.
The experience of Russia can provide a series of lessons of imperative importance
in considering the range of development paths that are open in the face of
globalization.

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The Russian case clearly supports the theme of the task force of the need for a
negotiated compromise between democracy and the market. The Russian case
strongly supports the need for social guarantees negotiated with government and
employers at the national level and the need to strengthen industrial relations
framework, especially tripartism, to link economic and social organization and
restore social organization and restore social stability and social integration. While
the institutional framework exists in Russia, the weak mass of trade unions as
independent framework exists in Russia.

It is clearly the case that globalization has destroyed the traditional soviet system
of national social policy and industrial relations, and has destroyed a lot of good
together with bad.
Russia has been particularly ill served by foreign experts and advisers in the fields,
who have proposed quiet inappropriate neo-liberal policy reforms which have
been of dubious success in the west but which have proved disastrous in the
Russian content.

On the aspects of globalization, only liberalization of product markets are the

growth of trade and is really relevant to Russia, where it has played an important
part in deepening the economic crisis, as booming exports of fuel and metals have
pushed up the exchange rate to the detriment of domestic industry and agriculture.
There has been little industrial restructuring or new investment, restructuring
deriving only from relatively smaller or greater rates of decline.

To this end, it is clear that specific national arrangement are being undermined by
growing international competition and the changed balanced of power between
capital and labour.

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3.0 HISTORY OF TAIWAN
Taiwan is mostly mountainous in the east with gently sloping in the west of
Taiwan is called PENGHY ISLAND.
Taiwan is known as Formos in an island located in the Western Pacific and East-
Asia with a tropic climate, annual typhoons and occasional earthquakes. It is
governed as Taiwan province under the Republic of China (ROC), along with the
Islands of Pescadores, Orchid, Green, Taiping and Pratas.
The Island of Quemoy and Matsu Island are administrated under a separate Fukien
province by the ROC government. Although Taipei city and Kaohsiung city are on
Taiwan Island, they are directly administered by the ROC government under the
municipal system.
Taipei city is the defected capital of ROC and the government of Taiwan province
is located in Jhongsing village, Nantou County.

POLITICAL STRUCTURE
The political status of Taiwan is complex because it is claimed by the People’s
Republic of China (PRC) established in 1949. The political status of Taiwan is a
sensitive issue due to the existence of two Chinese governments that both claim
sovereignty over all of China.

Since the 1970s, many nations switched diplomatic recognition of China from
Taipei to Beijing after the ROC lost its seat at the United Nations to the PRC. The
ROC government has governed Taiwan since 1945, whereas the PRS has never
had any jurisdiction over the island.

The capital of Taiwan is Taipei. Taiwan has a population 22,974,347(July 2009

estimate). It is located on the Eastern Asia, islands bordering the East China Sea,
Philippine Sea, South China Sea and Taiwan Strait, North of the Philippines, off
the Southeastern Coast of China.

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 The Chief of state is President Ma Ying-Jeou
Head of State: President of the Executive Yuan Liu Chao Shiuan.
Vice president - Vincent C. Siew

Government structure:
Five government Branches ate the executive Yuan, the legislative Yuan, the
judicial Yuan , the examination Yuan and the control Yuma

Provincial governments are Taiwan provincial government and Fuchien provincial

government

The major political parties are Democratic progressive party (DPP), Kuomintang
(KMT), New party (NP), People first party (PFP) and Taiwan Solidarity Union
(TSU)

3.1 TAIWAN’S TRADE UNION ASSOCIATION

Taiwan’s Confederation of Trade Unions (TCTC) was founded in 1997 and as at
year 2000, it had 280,000 members. The name of the President is LU Tien-Lin
whose office is located at Taipei, Taiwan.

Taiwan Confederation of Trade Unions is a National Trade Union Centre in

Taiwan. It was established in 1997 but did not receive official recognition from the
government until May 1, 2000. The TCTC has 21 affiliated unions, including
telecommunication, petroleum, tobacco, alcohol, railway, bus, and banking
industries and 9 Local Trade Union Federations. Local Unions in unrepresented
countries are also actively working towards the formation and plan to affiliate with
TCTC.

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To deal with the changing environment in Taiwan, TCTC has established several
committees. First, the organizing committee promotes the formation of Union
federations among industries or regions, and raises the union participation rate in
Taiwan.

Second, the Labour Law Polian Committee fights for reforms of the present
system of labour-regulations and prepares for future attacks on worker’s interest
by the government national pension Plan. TCTC has set up a committee on
privatization to critique and monitor the government’s privatization schemes. To
deal with the crisis of unemployment and plant closures, it established a committee
for unemployment and employment.

Under the globalise capitalist economy, the situation, conditions and struggles of
Taiwan’s workers are shared by the working class around the world. Therefore,
TCTC also tries to communicate and cooperate with the International Labour
Organization, participating in conferences, and international campaign through its
international department.

The Taiwanese’s labour movement has fought towards the creation of TCTC for
more than a decade Kuomintang’s Trade Union policy: From the state contract to
societal controls.

In view of the fact that labour management relationships are a major factor
in business operations, the Taiwan government has initiated a review of Taiwan’s
labour Union laws in recent years. In this review process, cultural social, and
environmental factors as well as and corporate structures, were taken into
consideration with the aim of better developing smooth labor-management
relationships.

21
According to the department of statistics, LCA, as of the end of 2007 there were
approximately 4,588 unions (including the Chinese National Federation of
industries) in Taiwan, with almost three million members. During this review
process, however, it was discovered that the structure of Unions in Taiwan is
different from the structure of Unions in western countries unlike traditional
western Unions; Unions in Taiwan do not mainly function to exercise collective
bargaining power.

3.2 COLLECTIVE BARGAINING AND DISPUTE RESOLUTION IN

TAIWAN
Collective bargaining in Taiwan is conducted on a voluntary basis. Provisions in
“The Settlement of Labour Disputes Law” are usually applied to reconcile labour
disputes. A recent proposal to enhance effectiveness of labor dispute settlement
was approved by the Executive Yuan in September 2007. The proposal set forth
new legislations to regulate labor dispute behaviours and procedures. The proposal
also amended the existing “Labour Union Law” and the “Collective Agreement
Law” to ensure that the rights of labors bargaining power are fully secured and
protected. Due to regulatory restrictions on workers’ rights to organize, the small
scale of most private establishment, and the more generally limited effectiveness
of unions, collective bargaining is not regarded as an important channel for
negotiating employment terms and conditions in Taiwan.

SETTLEMENT AND MEDIATION PROCEEDINGS

 Advisory
 Conciliation
 Arbitration services

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LABOUR DISPUTES IN TAIWAN FALL INTO THE FOLLOWING
CATEGORIES
 Wages
 Labor contracts
 Occupational hazards
 Retirement
 Labor insurance
 Welfare benefits
 Management

Most disputes revolved around an issue of rights. Means to seek relief included
Civil Litigation and Alternative Dispute Resolution (ADR), both offered by local
authorities. The manufacturing industry was involved in the bulk of the disputes,
followed by the wholesale/retail industry other services industries, and the
restaurant/hotel industry.

Conciliation and mediation are effective methods for resolving labor disputes.
Dispute usually occurred when employers do not follow the legal requirements
with regards to the payment of retirement benefits, severance pay, or wages. Most
petition and protests that government encounters are a result of such disputes.

3.4 EMPLOYERS’ ASSOCIATION IN TAIWAN

There are many employers’ trade associations and industrial associations in
Taiwan. One of the most influential representatives of employers in Taiwan, apart
from the legislators who represent employers in various industries, is the Chinese
National Federation of Industries (CNFI)

CNFI serves as a forum for views and opinions on Taiwan’s industrial sector, with
the aim of upgrading and promoting economic development.

23
The CNFI is a nonprofit organization consisting of almost 150 members
associations in their respective manufacturing industry with each member
association representing its specific manufacturing area, all the associations
together represents more than 80,000 industrial companies in Taiwan. CNFI is an
influential body on the enactment and amending labor laws, as well as in
formulating government labor policies.

3.4.1 STATUTORY REQUIREMENT IN TAIWAN

The Labour Standard Law (LSL) as promulgated in 1984. LSL establishes
employers’ minimum obligations for employment terms and conditions. The LSL
has covered all industries since the end of 1998 and was amended in December
2002. Many companies use the LSL to set their internal policies for personal
matter.

3.4.2 OTHER LABOUR REGULATIONS (THE MINIMUM WAGES)

The government adjusted the minimum wages became effective July, 1, 2007 to
better reflect Taiwan’s general economic growth as well as increases in the
average consumer price index while also enhancing the living standard and
purchasing power of laborers, for full time workers, the minimum salary was
adjusted from NT$66 to NT$95 per hour.

3.4.3 WORKING HOURS

Employees have regular working time not in excess of 8hours per day and 84hours
within any 2-week period. With the consent of the relevant labor union, or if no
labor union exists for a business entity with the approval of the related labor
management conference participants, an employer may distribute paragraph of any
2 workdays within any 2 week period, to other workdays provided that no more
than 2 hours shall be distributed to each of the other workdays. The total number
of working hours, however, shall not exceed 48 hours per week.

24
3.5 EFFECT OF GLOBALISATION IN TAIWAN
Taiwan is a country with only limited natural resources. In 1960’s a lot of foreign
capital was attracted, and labour intensive industries were developed due to this
Taiwan developed a great deal economically.

During late 80’s, many of Taiwan’s labor intensive industries were moved to
Southeast Asia according to the southward policy, a worldwide trend then.

Local industries in Taiwan, on the other hand, were transformed into high value
added and capital and technology intensive industries. These upgrade industries
distinguished Taiwan from other Asian countries in terms of the world
specialization system.

Also, they allowed Taiwan to reach a higher level in technology. However, not all
people benefited from these structural changes. From the 50’s to the 80’s,
educational resources were mainly confined in the plain areas where the Han
people, the ethnic majority among the Chinese lived, while many indigenous areas
could not share those resources. At that time, Taiwan’s indigenous people were
not aware of the importance of education and skills. The Chanars in the 80’s did
bring any brighter chance for them.

Deprived of education and long discriminated by Han people, these unskilled

indigenous people still worked for poor wages. This has resulted in a gap of
average income between the indigenous and the other people, which has widened
over the years. Other problems faced by Taiwan due to its globalization centered
economic structures have been problems related to jobs or work, housing
problems, and losing of land rights by the indigenous people.

25
Foreign laborers soon substitutes for the Taiwanese indigenous people as the main
work force because of their low wage rate. Exploitation of these foreign labourers
is very rampant. The urban indigenous people, therefore, lost their regular jobs of
about 10 to 15 days per month and turned into temporary labourers working only 3
to 10days per month. In 1997, the number of foreign labourers in Taiwan (256,246
legal foreign workers), including the illegal ones, was greater than that of all
Taiwanese indigenous people (total 357, 582). Unemployment forced the
indigenous people, who worked in the urban areas, to move to slum areas, usually
new garbage dumps, where no water and electricity are supplied. The places where
the indigenous people are dwelling have now become targets for future bullet train
railways or golf courses.

Indigenous people staying in the mountains however are no better than those
living in the suburbs of cities. They do not have access to lands. All of the land
was possessed by the government. Only the plutocrats possess large pieces of
lands.

4.0 Comparative analysis of industrial relations in Russia and Taiwan.

Having examined the economic and political path in both countries, it is
imperative to comparatively analyse the industrial relations of each country using the
following tools: trade unions, collective bargaining, workers participation, employers
association, industrial conflict and strikes. The two countries will be for easy
discerning.

4.1 Differences in trade union practice

1. In Russia, trade unions declared themselves independent of the communist
party in the late 1980s. While in Taiwan, having been carved out of China
Republic continued to be kept under strict party control.

26
 2. Trade unions in Russia are said to possess more independence compared to
unions in Taiwan.

3. Russian trade unions represented themselves immediately after the collapse of

the Soviet Union and were duly recognised by the International Labour
Organisation as real trade union. Whereas in Taiwan, the possibility of having
real trade unions is still being checked by the suppression of workers activism.

4. Trade unions labour unrest in Russia was aimed at the government rather than
employers.

5. Trade unions in Russia sourced for funds and the use of it was determined by
its own constitution.

6. All trade unions in Russia were organized voluntarily and had equal rights
under the law. While the small scale of most private establishment in Taiwan
had restriction on workers rights to organize.

4.2 Similarities in their trade unions.

In Russian and Taiwan, trade unions were subject to severe structural constraints
which hindered them from being transformed into real trade unions.

4.3 Differences in Taiwan and Russia’s collective bargaining.

1. Collective bargaining in Taiwan was conducted on voluntary basis.

2. Employers in Russia are required to conduct collective bargaining with trade

union bodies as stated in the collective agreement.

27
 3. In most small scale private establishment in Taiwan, collective bargaining is no
regarded as an important tool for negotiating employment terms and
conditions. Whereas in Russia collective bargaining was the right of all trade
unions.

4. Collective bargaining in Russia took place at three different levels such as the
branch, regional and at the local level.

5. Russia labour laws gave trade unions the right to ensure that employers
implemented agreements reached at the end of each bargaining exercise and
failure to respond within a week will be at the Federal Law discretion.

4.4 Similarities in their collective bargaining.

1. Both made provision for the regulation of labour relation on the basis of
collective agreement negotiated between trade unions and employers.

2. In both countries, the centralised administrative regulation of the terms and

conditions of employment gave way to the regulation of employment relations
on the basis of the collective agreements negotiated between trade unions and
the employer.

4.5 Differences in their employers’ association.

In Russia, the employers’ association was organized according to democratic
tenets of industrial and labour relations passed by State Duma of the Russia

28
 Federation. Whereas in Taiwan, employers association was organized along
international economic and industrial cooperation.

4.6 Similarities on employers’ association.

1. Both had laws established to ensure the formation of an employer association. It
also includes that they abide and comply with the terms and conditions of
employment.

2. Both had equal rights to participate in the formation of governing bodies and
labour policies as prescribed under the laws that allowed for their formation.

4.7 Differences in industrial conflict and strikes.

1. In Taiwan, the laws made provision for the settlement of conflict and this was
used to regulate labour dispute behaviours and procedures.

2. Industrial protests in Russia were at a staggering low level and were peacefully
resolved in all ramifications as a result of increase in wages as the statistics are
evidence to show the increase and the wave of strike also declined.

3. Taiwan had procedures that had to be followed in the settlement of dispute from
Advisory, to Conciliation and Mediation and Arbitration services.

4.8 Similarities between both countries industrial conflict and strijes.

The reasons for industrial conflict and strikes fall into wages, benefits, hours of work

29
and the rights of workers.

4.9 Similarities in workers participation.

1. Both countries encouraged workers participation. This was done through
collective bargaining, social partnership and labour collective council.

2. Individual employees were encouraged to participate in decision making and to

also take responsibility for the quality in terms of carrying out activities which
meet up the requirement of their customers.

5.0 HISTORY OF VENEZUELA.

Venezuela, a country on the northern coast of South America bordering the
Caribbean Sea. Venezuela’s landscapes range from the towering peaks of the
Andes Mountains in the north to tropical jungles in the south. In the middle of the
country are grassy plains and rugged highlands. Beautiful beaches fringe the coast,
and islands belonging to Venezuela lie offshore. The country’s capital and largest
city is Caracas.
A Spanish colony for more than 300 years, Venezuela became one of the first of
Spain’s South American colonies to declare its independence in the early 19th
century. Formerly known as the Republic of Venezuela, the country changed its
official name to the Bolivarian Republic of Venezuela in 1999. The name is in
reference to Simon Bólivar, the military leader who helped win independence for
Venezuela and other South American countries. Since becoming a sovereign
nation, Venezuela has undergone periodic episodes of civil conflict and
dictatorship, with the military exerting a strong influence over politics. Since the
late 1950s, democratically elected governments have ruled the nation.

30
POLITICAL PARTIES
The leading political parties in Venezuela are the Fifth Republic Movement Party
(Movimiento V República, MVR), led by President Hugo Chávez; the Democratic
Action Party (Accíon Democrática, AD); Movement Toward Socialism
(Movimiento al Socialismo, MAS); Project Venezuela (Proyecto Venezuela); and
Social Christian Party of Venezuela (Partido Social Cristiano de Venezuela,
COPEI).

Basic facts
Official name Bolivarian Republic of Venezuela
Capital Caracas
Area 916,445 sq km
Population 26,414,815 (2008 estimate)

Government
Form of government Federal Republic
Head of state President
Head of government President
National assembly 165 members
Legislature Unicameral legislature
Largest cities with population
Caracas 2,085,488 (2007 estimate)
Maraca Ibo 1,450,665 (2008 estimate)
Barquisimeto 1,085,483 (2008 estimate)
Highest court Supreme Tribunal of Justice

Valencia 829,926 (2008 estimate)

Cicudad Guyana 940,477 (2008 estimate)

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Ethnic group
Mestizo 67 percent
White 21 percent
Black 10 percent
Native America 2 percent

Languages
Spanish (official), English, Portuguese, Native America dialects

Religion
Roman Catholic 94 percent
Protestant 2 percent
Non-religion 2 percent

PHOTO GALLERY OF VENEZUELA

PRESIDENT: HUGO CHAVEZ

MAP OF VENEZUELA

FLAG OF VENEZUELA

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5.2 TRADE UNIONS IN VENEZUELA
Unions in Venezuela are extremely weak, this is due to the government opposition
of the Confederation of Venezuela Workers (CTV) as part of the political
opposition, and to the fact that it is not recognized as a partner in negotiations. On
the other hand new unions that are faithful to the regime, and whose goal is not so
much in improving wages and working conditions as providing political support
for Chavez’s “revolutionary” projects, have formed under the hospices of
National Union of Workers (UNT).

The CTV which is the main opposition in Venezuela has the largest size of
members leaving the three other unions with little membership base.

Political parties and unions have no place in President Chavez’s political concept
of “delegative democracy” because they will only disrupt direct communication
between the leader and the people and the will of the people will be falsified.
Organisation of employees only makes sense if and only if they are an integral part
of the revolutionary unity party. The Bolivarian Revolution in Venezuela, which is
working to change the political and economic structure of Venezuelan society in
favour of the poor majority, is also creating a mini-revolution in the nation’s
labour movement.
May 2003, the National Union of Workers (UNT) was formed in opposition to the
existing corrupt and bureaucratic Trade Union Federation, the confirmation of
Venezuela worker involvement and demand for workers control over production.
Although, the GV initially spoke against the aggressive neoliberal legislation
unordered in1989, by the mid- 1990 it abandoned all such criticism, even gone so
far as to sign on to Venezuela- IMF agreement. With increasing unemployment
made a unionization rate reduced by 50%. According to Jonah Gind who write a
two part article on union for Venezuela analysis (Published on October 28 and

33
January 2003) respectively. It was discovered that 14% of those employed in the
formal sector were organized into unions.

5.4 EMPLOYERS’ ASSOCIATION IN VENEZUELA.

Venezuela has three dominant Employers Association namely:
 Fedecamaras
 Consecomercio
 Fedenagas
Employers associations in Venezuela are not very powerful due to the fact that
workers have huge say in decision making. For example, A firm with a unionised
woke force must enter into collective agreements or contract with the union if
more than 50% of the members so request.

5.5 COLLECTIVE BARGAINING

Most collective bargaining agreement in Venezuela are negotiated at the plant
level although there is a trend towards industry -wide bargaining to set minimum
conditions for all plants in a given sector including the petroleum, steel, paper and
tobacco.
Collective agreements run from one to three years and may cover everything
from wages and fringe benefits to work-rules, grievance procedures and the
prerogative of unions officials
In Venezuela, collective bargaining has enlarged its scope and issues
negotiated between labour and capital now include functional flexibility measures
and industrial restructuring. But the labour market, where collective bargaining
takes place has shrunk dramatically. Collective bargaining in Venezuela has never
been a steady process, halted by social dialogue intents, by authoritarianism or by
autocratic economic process.

34
The government policies on freedom of association contained to be heavily
influenced by the political context, which has seen a deterioration of the
arrangement for dialogue between unions, employers and government, which has
impractical, been virtually the only actor involved in the devising labour policies
collective bargaining arrangements have been considerably weakened as a result,
largely owing to the interference by the CNE (National Electoral Council) in union
elections. This has undermined the union works and their involvement in national
social policies, despite the fact that for the first time an appeal court judge and the
Director General of the Ministry of Labour have questioned the CNE’s
interpretation role.
It is of important to lay emphasis on gender issues as it related to collective
bargaining. Collective bargaining constitutes a major instrument for promoting
equal opportunity in the world of work. However, introducing gender issues
within collective bargaining process is still in the early stages Venezuela. The
main reason for this lag is the fact that women workers are less covered by
collective bargaining processes, because they are over- represented in the most
precarious sectors of labour force and the least regulated segment of the job
market, the lack of women among union leadership and on bargaining teams, the
lack of training of workers of both sexes to negotiate equal opportunity clauses
covering opportunities and treatment, and still low priority that unions assign to
these issues with their strategies.
As a result important progress has been made as reflected by advances in
maternity and paternity protection. In a climate in which collective bargaining
remains weak, such as that apparent in several Latin America Countries.

INSTANCES
Transnational companies violating workers right: the general secretary of Sintra
(Sindicato de trabajalones). The union at the Jan Yan Mining Company, which
belongs to the Chinese Company shading gold, was arrested on the 28 June 2003.

35
The union had called an indefinite strike at a gold minute in EL called on 9th June,
which was joined by more than 350 members belonging to the union, as a result of
the company’s failure to respond to various demands from SINTRA to guarantee
their rights.

COCA COLA avoided collective bargaining with its workforce: the workers at
Femsa de Venezuela, the distribution company for coca cola in much of Latin
America, have waited two years but still failed to obtain a collective agreement.
Reacting to the stalled negotiations and the company’s stonewalling, on the 2nd of
October 2003 the workers held a 24 hour strike to call for the speeding up on the
negotiations on the agreement.

5.6 INDUSTRIAL CONFLICT AND DISPUTE SETTLEMENT

PROCEDURE IN VENEZUELA
Few years back, the General Secretary had criticized the repression of the striking
workers by the National Guard, who attacked them with machetes, ten yards and
rubber bullets, in breach of the constitution of the LIT, which guarantee the right
to strike. The strike lasted 60 days. When the employees had returned to work the
company sacked 10 workers, which prompted ministry of labour to assume
responsibility for arbitration of the dispute between the company and its workers.
November 2001 the “enabling law” of the federation was set to expire , just before
its expiration, Chavez presented the 49 laws and passed them by decree. These
laws allowed the President to restructure the oil industry, forced banks to dedicate
a portion of their loans to micro-credits and agriculture, made large fishing
companies fish further from the shore, so small scale fishers could fish closer, and
threatened large landowners with land redistribution, among many other things.
The outcry against these laws was immediate. The first to protest was
Fedecamaras, the country’s largest and most important chamber of commerce,
which unites most of Venezuela’s big businesses. Their main complaint that was

36
that these laws were anti-business, undermined private property rights, and was
passed without consulting them or anyone outside of government circles.
Venezuela’s main union federation, the Confederation of Venezuelan Workers
(CTV) quickly joined the fray. Ironically, their main argument against the laws
was that they were harmful to Venezuela’s business community and therefore
harmful to Venezuelan workers. A more likely explanation for the CTV’s support
of the employer federation, however, was that the CTV had just gone through a
pitched battle with the government over who would control the organization. A
month earlier the Chavez government had forced the CTV leadership to submit
itself to a grassroots vote, which the federation’s old established leadership won
amid the government’s claims of fraud, resulting in the government’s non-
recognition of that leadership to this day.

The result of this vehement CTV and Fedecamaras opposition to the government
was that the two organizations decided to call for a “general strike” on December
10, 2001. The strike met with moderate success, but the media and the private
sector’s lockout of their employees for a day gave the “strike” a heightened visible
effect.
5.7 WORKERS PARTICIPATION IN DECISION-MAKING
The rate of workers participation in decision making Venezuela is not very
impressive, though the current government of Hugo Chavez has tasked the
workers to take the bull by the horn and be more involved in the running of their
organisations. Though the “co-management” policy which allows equal
participation from both the employers and employees in decision making has only
been implemented by one organisation “ALCASA”. The report is cited in the
report the company released to their website
Venezuelan aluminum reducer Alcasa, a subsidiary of state heavy industry holding
CVG, will implement its co-management plan from Friday (Feb.11) with the
objective of recovering and re-launching the company through the participation of

37
its workers in the management process. Under the co-management process,
workers will participate in the plant's direction, which will imply a revision of the
labour conditions, including the question of wages and other benefits as well as
their families and living conditions. Carlos Lanz, the new president of Alcasa, said
the process of co-management will be a success despite the difficult economic and
operating situation the company is going through. He noted that the transformation
will be made with the workers' participation without affecting labour conditions or
the workers' recent advances. Alcasa is 92%-owned by CVG, with the other 8%
belonging to US aluminum giant Alcoa

5.8 INDUSTRIAL RELATIONS IN MULTI-NATIONAL CORPORATIONS

MNC has a very large presence in Venezuela, of which they are dominant in the
oil and gas industry of the country.
Between 1974 and 1976 the country’s oil industry, which had been controlled by
several transnational corporations, such as Exxon, Mobil, Shell, and Chevron, was
gradually nationalized. Also, and more importantly, the oil price shocks provoked
by OPEC in the 1970s caused the price of oil to quadruple in very little time,
which in turn led to a quadrupling of state revenues over the period of just two
years. It was this sudden rush of income which would eventually turn the country
upside-down.

5.9 IMPACT OF GLOBALIZATION IN VENEZUELA

While Venezuela enjoyed significant rates of growth in the period 2004-2007, the
largest figures clearly demonstrate that the country`s economy has now definitely
been hit by the effects of the world crisis. In the second quarter of 2009, GDPfell
by 2.4%. The figure for the first quarter was minimal growth of 0.5%

38
Since the second quarter of 2009, Venezuela GDP FELL BY 2.4%. Part of the
reason for this is the lack of private investment in industry and manufacturing.
According to the central bank of Venezuela, private economic activity dropped by
4% in the second quarter of this year. A recent study revealed that the Venezuelan
bourgeoisie has closed 4,000 large or medium sized enterprises during the last ten
years.
One should also add to this the huge fall in state income from oil production. In
the second quarter of 2008 the state earned US$28.597 million from oil production
compared to only US$13.576 million in the same period of 2009.
This represents a drop of 51.9%. This is particularly bad in a country where
income from oil exports account for 30% of GDP and for 50% of the state budget.
World markets prices of other raw materials that Venezuela exports, such as
aluminium and iron has fallen.
Together with other Latin – American countries, Venezuela has also been hit by
the effects of the overall fall in FDI (Foreign Direct Investment). Already in 2008,
in the period between January- October, FDI fell by 18% compared to the same
period in 2007. All these factors have contributed to worsening the situation the
Venezuelan economy find itself in.
Whatever the immediate prospects are, any possible slight recovery of oil income
cannot make up for the serious problems that the Venezuelan economy is facing;
such as the strike of capital, sabotage, speculation and hoarding, on the part of the
bourgeoisie. To the normal effects of the economic cycle, in Venezuela we need to
add three other factors which are affecting the economy. One is the fact that there
is a revolution unfolding and the ruling class does not feel confident to invest. The
second is the conscious campaign of economic sabotage on the part of the
oligarchy. And finally, the fact that all the attempts on the part of the reformists to
regulate the market economy only serve to create further economic dislocation

39
 6.0 CAMEROON
Cameroon, Republic in Western Africa, bounded on the north by Lake Chad; on
the east by Chad and the Central African Republic; on the south by the Republic
of the Congo, Gabon, and Equatorial Guinea; and on the west by the Bight of
Biafra (an arm of the Atlantic Ocean) and Nigeria. The country is shaped like an
elongated triangle, and forms a bridge between West Africa and Central Africa.
The country has a total area of 475,442 sq km (183,569 sq mi). Yaoundé is the
capital, and Douala is the largest city.

LAND AND

40
RESOURCES
Geography of Cameroon

475,442 sq km
Area
183,569 sq mi

402 km
Coastline
250 sq mi

Cameroon Mountain
Highest point
4,095 m/13,435 ft

Cameroon has four distinct topographical regions. In the south is a coastal plain, a

region of dense equatorial rain forests. In the center is the Adamawa Plateau, a
region with elevations reaching about 1,370 m (about 4,500 ft) above sea level.
This is a transitional area where forest gives way in the north to savannah country.
In the far north the savannah gradually slopes into the marshland surrounding
Lake Chad. In the west is an area of high, forested mountains of volcanic origin.
Located here is Cameroon Mountain (4,095 m/13,435 ft), the highest peak in
Western Africa and an active volcano. The country’s most fertile soils are found in
this region. Among the principal streams, the Sanaga and Nyong rivers flow
generally west to the Atlantic Ocean, and the Mbéré and Logone rivers flow north
from the central plateau into Lake Chad. A network of rivers in the Chad Basin,
including the Benue River, links the country with the vast Niger River system to
the east and north.

A. Climate
Cameroon has a tropical climate, humid in the south but increasingly dry to
the north. On the coast the average annual rainfall is about 4,060 mm (about

41
160 in). On the exposed slopes of Cameroon Mountain and the other peaks of
the west, rainfall is almost constant and in places can reach 10,000 mm (400
in) a year. In the semiarid northwest annual rainfall averages about 380 mm
(about 15 in). A dry season in the north lasts from October to April. The
average temperature in the south is 25°C (77°F), on the plateau it is 21°C
(70°F), and in the north it is 32°C (90°F).

B. Plants and Animals

Cameroon’s valuable rain forests contain a number of species of trees, including
oil palms, bamboo palms, mahogany, teak, ebony, and rubber. Wildlife is diverse
and abundant and includes monkeys, chimpanzees, gorillas, antelopes, lions, and
elephants, as well as numerous species of birds, squirrels, frogs, and snakes

C. Natural Resources

Cameroon has significant offshore petroleum reserves. The country’s economy is

also dependent on its agricultural and timber resources. Other important mineral
reserves in Cameroon include gold, bauxite, uranium, and limestone.
Hydroelectric power stations on Cameroon’s rivers, particularly the Sanaga,
provide enough electricity to meet almost all of the country’s needs.
People of Cameroon

Population 18,467,692 (2008 estimate)

39 persons per sq km
Population density
102 persons per sq mi (2008 estimate)
Urban population distribution 53 percent (2005 estimate)
Rural population distribution 47 percent (2005 estimate)
Largest cities, with population
Douala, 1,494,700 (2001)
Yaoundé, 1,616,000 (2003 estimate)

42
 Garoua, 160,000 (1992 estimate)

Official languages English, French

Roman Catholic, 26 percent

Chief religious affiliations
Indigenous beliefs, 24 percent
Muslim, 21 percent

Life expectancy 53.3 years (2008 estimate)

Infant mortality rate 65 deaths per 1,000 live births (2008 estimate)

Literacy rate 81.1 percent (2005 estimate)

The population of Cameroon (2008 estimate) is 18,467,692, giving the country an

overall population density of 39 persons per sq km (102 per sq mi). About half of
all Cameroonians live in urban areas. The other half of the population are farmers
who live in small towns or villages in southern and central Cameroon or semi
nomadic herders inhabiting the north.

Principal Cities

The capital of Cameroon is Yaoundé. Douala, on the Bight of Biafra, is the largest

city and the country’s chief port. Other principal towns include the northern river
port of Garoua, the northern market center of Maroua, the south-western industrial
city of Nkongsamba, and Bafoussam, in the western mountains.
About 24 percent of the population adheres to traditional religions, about 21
percent of the population are Muslims, and most of the remainder are Christians.
Muslims predominate in the north and Christians in the south. Cameroon contains
about 200 ethnic groups who speak as many different languages. In general,

43
Bantu-speaking peoples inhabit the south, and Sudanic-speaking peoples dominate
in the north. Among the more important ethnic groups are the Bamileke, a Bantu-
speaking people, and the Fulani, a Muslim people. French and English are both
official languages. French dominates, however; English is confined mainly to the
west.

C Education

In 2002–2003, virtually all primary school-aged children were enrolled in school,

but only 31 percent of appropriately aged children attended secondary school.
About 81 percent of adult Cameroonians are literate. Mission schools play an
important role in education and are partly subsidized by the government. Institutes
of higher education include the University of Yaoundé (founded in 1962), the
University of Dschang (1993), and the University of Douala (1977). In 2002–2003
a total of 81,318 students were enrolled in institutions of higher education.

D .ECONOMY

Economy of Cameroon

Gross domestic product (GDP

$18 billion (2006)
in U.S.$)
GDP per capita (U.S.$) $1,008.20 (2006)
1 Communaut* Financière Africaine (CFA) franc,
Monetary unit
consisting of 100 centimes

Number of workers 6,988,721 (2006)

44
Unemployment rate 7.5 percent (2001)

Cameroon’s traditionally agricultural economy began changing in the late 20th

century with the discovery and exploitation of offshore petroleum reserves.
Agricultural activities are still the main occupation of 61 percent of Cameroon’s
population and still contribute the largest share of the country’s gross domestic
product (GDP). In the early 21st century, however, petroleum surpassed
agricultural products in export earnings. In 1999 the national budget showed
revenues of $1.2 billion and expenditures of $1.4 billion.

GOVERNMEN
T
Cameroon is governed under a constitution promulgated in 1972 and
subsequently revised. Citizens of age 21 or higher are eligible to vote.

A.Executive and Legislature

The president of the republic is chief of state and commander of the armed forces
and is elected by universal suffrage. A 1995 amendment to the constitution
extended the president’s term from five years to seven and introduced a two-term
limit (effective starting with the 1997 election). However, in 2008 the legislature
abolished the two-term limit. The federal ministers, including the prime minister,
are appointed by the president and are not permitted to be members of the
legislature. The president also appoints the governors of the country’s ten
provinces. Legislative power in Cameroon is vested in the single-chamber
National Assembly, which consists of 180 members elected to five-year terms.

B.Judiciary

45
The judicial system of Cameroon is based largely on the French system, with a
mixture of elements from the British system. The highest judicial body is the
Supreme Court. Other courts are the appeals courts, regional courts, and
magistrates’ courts.

C.Political Parties

The leading political party in Cameroon is the Cameroon People’s Democratic

Movement (French initials RDPC), founded in 1966 as the National Cameroonian
Union and renamed in 1985. The main opposition parties are the Social
Democratic Front, the Cameroon Democratic Union, the Union of the Peoples of
Cameroon, and the National Union for Democracy and Progress.
Transportation difficulties and local resistance slowed German development of the
area, but they managed to cultivate large cacao, palm, and rubber plantations.
They also built roads and began the construction of a railroad and the port of
Douala on the Atlantic coast.
Anglo-French forces invaded the German colony in 1916. In 1919 one-fifth of the
territory, which was contiguous with eastern Nigeria, was assigned to Britain, and
the remaining four-fifths were assigned to France as mandates under the League of
Nations.

The British Cameroons consisted of the Northern and Southern Cameroons, which

were separated by a 72-km (45-mi) strip along the Benue River. The northern
territory, peopled by tribes of Sudanese origin, was always administered as a part
of Northern Nigeria. The Southern Cameroons, peopled by a variety of tribes, was
administered as part of the Nigerian federation but had a locally elected
legislature. The French Cameroons was administered as a separate territory.
Neither area, however, experienced much social or economic progress.

46
6.1 HISTORY OF CAMEROON
The coast of present-day Cameroon was explored late in the 15th century by the
Portuguese, who named the estuary to the south of Cameroon Mountain Rio das
Camerões (“river of prawns”). Merchants established trading stations along the coast in
the 17th century, buying slaves, ivory, and rubber. British traders and missionaries were
especially active in the area after 1845. The Germans and British began to explore inland
after 1860, and in 1884 the former established a protectorate over the Douala area; the
British, taken by surprise, offered no resistance to their claim.
.
Transportation difficulties and local resistance slowed German development of the
area, but they managed to cultivate large cacao, palm, and rubber plantations.
They also built roads and began the construction of a railroad and the port of
Douala on the Atlantic coast.
Anglo-French forces invaded the German colony in 1916. In 1919 one-fifth of the
territory, which was contiguous with eastern Nigeria, was assigned to Britain, and
the remaining four-fifths were assigned to France as mandates under the League of
Nations.

47
The British Cameroons consisted of the Northern and Southern Cameroons, which
were separated by a 72-km (45-mi) strip along the Benue River. The northern
territory, peopled by tribes of Sudanese origin, was always administered as a part
of Northern Nigeria. The Southern Cameroons, peopled by a variety of tribes, was
administered as part of the Nigerian federation but had a locally elected
legislature. The French Cameroons was administered as a separate territory.
Neither area, however, experienced much social or economic progress.
Independence
After World War II ended in 1945, the mandates were made trust territories of the
United Nations (UN). In the following years political ferment grew enormously in
the French territory, where more than 100 parties were formed between 1948 and
1960. The campaign for independence, intermittently violent, gained steady
momentum during the 1950s, until the French granted self-government in
December 1958; full independence was achieved on January 1, 1960. Ahmadou
Ahidjo, prime minister since 1958, became the first president. The new republic
was admitted to the UN in September 1960.
The following year the UN sponsored a plebiscite in the British Cameroons. As a
result, the Southern Cameroons joined the Republic of Cameroon to form the
Federal Republic of Cameroon in October 1961, while the Northern Cameroons
joined Nigeria.
When Cameroon became independent, President Ahidjo’s government was faced
with a rebellion incited by the Cameroonian People’s Union, a pro-Communist
party. By 1963, however, the revolt had been suppressed, and Ahidjo soon
established the authority of his regime. In 1966 the six major parties merged into
the National Cameroonian Union, which was declared the only legal party in the
country. In 1972 Ahidjo sponsored a national referendum that changed Cameroon
from a federal to a unitary state, called the United Republic of Cameroon.

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6.2 TRADE UNION COMPOSITION
Trade unions are allowed in Cameroon. The 1996 Constitution of Cameroon
guarantee the Freedom of Association and the right to strike and both rights are set
out in the 1992 Labour Code. It is illegal to form a Union that includes both Public
and Private Sector Workers.

For Unions to be registered, Labour Code provides they must get a Registration
Certificate from Union Registrar. If they don’t get the Certificate before workers
can form Trade Union and carry out Trade Union activities, the Labour Code has
made provision for prison sentence and fines for workers.

The Labour Code is not applicable to members of the Public Service, Judges,
Military, National Intelligence, Prison Administration and a auxiliary
Administrative Personnel. Public Servant may form Trade Union, but must have
prior approval of the Ministry for Territorial Administration and may not affiliate
internationally without obtaining prior authorization. The ILO has urged the
government to amend its Legislation to ensure that Public Service Workers can
form Union without government authorisation.
In 2007, the government indicated that it had introduced a bill to amend the
Labour Code before the National Assembly, under which the process of
registering trade union would be simplified.
It also indicated that the new procedure would imply an end to prison
Sentences and fines for failing to comply with registration provisions.
The law prohibits anti-union discrimination and allows fines to be any restitution
in the form of re-instatement or compensation to the wrongfully dismissed
workers.
Firms operations in export processing zones (EPZs) are exempt from certain
aspect of the labour code, but must comply with internationally recognized labour
standards. An official notice from the national office for industrial free zones

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contains a list of incentives. It also states that employers enjoy flexibility in hiring
and firing workers.

6.3 COLLECTIVE BARGAINING

The law provides for collective bargaining between workers and management as
well as between trade union federation and employers association but the legal
mechanism for applying collective agreements is ineffectual.
No formal collective bargaining negotiation between workers and management has
taken place since 1996. One of the major union confederations acknowledges that
social dialogue does not exist, but that the outcome of the negotiation are rarely
honoured. Some agreement with the government have been shelved or ignored by
the government after being negotiated. Hence, we can say collective bargaining is
almost non-existence.

6.4 ROLE OF THE STATE.

The government interferes in trade union activities in several ways.
The government has a reputation for favouring those workers’ organisations. It
sees as easier to control and has used union registration requirement as a means to
withhold recognition from trade union that it considers to be too independent.

An example is that the public service confederation has since its creation in year
2000 been one of the six trade union centres in Cameroon that have still not been
recognised.

Similarly when industrial dispute arise, the government chooses the union with
which it will negotiate.
The government sometimes demands that workers setting up a union produce job
description signed by the employer before a union can be registered. This

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impossible for workers in the informal economy and independent or self-employed
workers to form a union.
Only the most representative trade union centers, based on union election result,
may take part in the national social dialogue. Smaller independent unions are
excluded.

6.5 INDUSTRIAL CONFLICT AND STRIKE

The government of Cameroon also have ratified core ILO Convention.
In Cameroon, when an industrial conflict occurs either of rights or interest, the
unions are provided by law to collectively bargain with employers. If the
bargaining ends in deadlock, then compulsory arbitration must be sought for to
resolve the conflict. Ignoring the procedure can be sanctioned by immediate
dismissal and fines.
Certain sectors have to provide a minimum service, including transport and postal
services which do not fall within the ILO definition of essential services. Civil
servants do not have the right to strike.

In January 2006,there was mass dismissal for striking 163 people working on the
road connection Yaoundé in Cameroon and Moundou in Chad, the workers had
gone on strike to protest against their working condition and demand on
accommodation allowance.
Also their union leader i.e. spokesperson was arrested in Yaoundé on
May 22nd 2006.
The violation mentioned above depicts the situation and status of the
Cameroonian Government on strike. In Cameroon, strike is prohibited and great
sanction including imprisonment, sacks and killings are imposed on strikes.
Although the 1996 constitution and labour code of
Cameroon guarantees the Freedom of Association and the right to

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Strike as workers can only strike after mandatory arbitration. Ignoring the
procedure can be sanctioned by immediate dismissal and fines.

6.6 EFFECT OF GLOBALISATION

Although globalization has helped increase growth and wealth in recent years, it
has not done so for all continents and all countries. In the least developed countries
and on the African continent in particular, a worsening of existing imbalances has
impeded development and aggravated poverty. The marginalization of these
countries is reflected in their small share of world trade (barely 2 percent), output
(not much higher), and foreign investment (1 percent).

For countries like Cameroon, the situation is exacerbated by unsustainable external

debt and by unfulfilled promises of official assistance at a time when the country
cannot continue its reforms and development efforts without financial support.
Although the countries of the Organization for Economic Cooperation and
Development (OECD) have committed the equivalent of 0.7 percent of their GDP
to official development assistance, at present, average disbursements to countries
like Cameroon are a trickle.

Given these facts, we should examine the different facets of globalization and
assess its benefits and risks in light of the recent economic and financial crises that
have shaken various parts of the world and diverse economies, from the very rich
to the very poor. This approach should improve Cameroon’s chances of
successfully integrating with the world economy.

Despite a sometimes-unfavorable international environment, marked by climatic

constraints that have affected northern regions of the country, Cameroon has, on

52
the whole, recorded satisfactory rates of growth in recent years. The country
recorded growth of 5 percent or more in 1998, and averaged over 3 percent in the
last ten years; and the country is working to improve per capita GNP significantly
while controlling inflation. However, this performance has been achieved at the
price of costly structural reforms that have often negatively affected the most
vulnerable segments of society.

Moreover, Cameroon is still far from reaching its goal of an annual sustained
growth rate above 7 percent a year, which is essential if it is to achieve the quality
of life of other developing countries. It is not impossible for Cameroon to
accomplish this goal, but it can do so only by integrating with the world economy
and by accelerating reforms, with two fundamental objectives in mind:
i) creating the best possible conditions for private investment by
promoting greater openness in domestic and foreign trade; and
ii) making the economy more efficient by redefining the role of the state,
reforming the civil service so as to improve the business climate, and
introducing a transparent legal and regulatory framework that will
encourage private investment. Governments should focus on social
development, particularly health and education, to make up the large deficit
that the country has in this area.

The financial sector, an essential channel for implementing and ensuring the
success of these reforms, must be included in any reform program. The
consolidation, restructuring, and modernization of the banking sector and the
development of capital markets and financial institutions are both important.
However, past experience suggests that, to be successful, reforms must be adapted
to each country’s specific economic and social characteristics as well as to its
priorities and level of development.

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7.0Comparison between Cameroon and Venezuela

Trade Union
Similarities:
Unions are both allowed in both countries. Workers in both countries are allowed
to join unions.

Difference:
1) In Venezuela, no law prohibits anti-union discrimination while in
Cameroon, they law does.
2) The unions in Venezuela are very weak while unions in Cameroon are
strong.
3) The unions in Venezuela are not recognized as part of collective
bargaining while in Cameroon, these makes provision for unions to take
part in collective bargaining.
4) In Cameroon, both public servants and private employees must get
approval before formation of a trade union but in Venezuela, workers are
allowed to join unions freely.

Collective Bargaining
Similarities:
Collective bargaining has not been steady in both countries.

Differences:
1) In Venezuela, collective bargaining has been effective and dominant,
unlike Cameroon, no collective bargaining negotiations have taken place
since 1996.

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2) Social dialogue has been a major tool in dispute settlement in Venezuela
while reverse is the race in Cameroon because the major union cooperation
does not acknowledge US existence.
3) In Venezuela, collective bargaining run from 1 to 3 years after which,
all terms conditions of employment and all compensating any variables is
re-negotiated or reviewed while in Cameroon, there is no time limit on
collective agreement.
4) In Cameroon, unions are provided by law to collectively bargain with
employers while some companies in Venezuela avoid collective bargaining
with its work forces.

Industrial Conflict and Strike

Similarities
Workers are allowed to be involved in industrial action.

Differences
1) In Venezuela, civil servants are allowed to strike while in Cameroon, they
do not have the right to strike.

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