Labor System in São Tomé and Príncipe
Labor Regime in São Tomé and Príncipe
The labor law in STP establishes a comprehensive legal framework covering employment conditions, ensuring fair remuneration, workplace safety, hygiene, and health standards. It includes specific protections for vulnerable groups, such as minors, women, and disabled individuals, aligning with international conventions like those of the International Labour Organization (ILO). The law mandates equitable treatment and sets guidelines to prevent exploitation, though enforcement can be limited by resource constraints in this small economy with a population of approximately 232,000.
Types and Forms of Hiring
Employment contracts in STP offer flexibility, with options for oral or written agreements unless otherwise specified by law. Oral contracts can be proven by any legal means, but written contracts are required for specific terms or conditions.
Mandatory Mentions in the Employment Contract: The contract must include identification of the employer and worker with their professional category, place of work, amount of basic remuneration plus any regular periodic payments, daily and weekly working hours (normally eight hours per day and forty hours per week), duration of annual leave, agreed benefits in kind with their value, rules for accommodation allocation and return obligations upon termination, any other specific conditions, place and date of conclusion, and signatures of the employer (or accredited representative) and worker.
Duration: Contracts may include a suspensive condition (e.g., pending a specific event) and either a suspensive or resolutive term, with the latter requiring written form. Fixed-term contracts automatically renew unless both parties expressly decline, providing stability for workers.
Trial Period: A trial period is mandatory unless waived in writing, lasting 30 days by default. This can be extended by mutual written agreement up to 180 days for roles requiring high technical complexity or responsibility, allowing employers to assess suitability.
Hiring of Minors: Minors can be employed only if they are at least 15 years old, have completed compulsory education, and possess the physical and mental capabilities suited to the job. This protects young workers while permitting early workforce entry under strict conditions.
Working Hours
The standard working period is eight hours per day and forty hours per week, providing a balanced schedule. Overtime is regulated, though specific rates or limits are not detailed in the provided data, suggesting flexibility subject to negotiation or additional regulations.
Absence:
An absence occurs when a worker is not at the workplace during scheduled hours, resulting in loss of remuneration for the period and a deduction from seniority if unjustified. This incentivizes attendance while allowing for documented exceptions.
Licenses:
The labor legislation provides for specific leaves, including leave without remuneration, granted upon written request and employer approval, with each party retaining a copy. The employer cannot refuse if the worker needs to travel abroad for personal medical treatment, or that of a spouse or children, supported by a medical declaration from a panel of three doctors. This leave entails total loss of remuneration and a seniority discount for career and retirement purposes.
Pregnancy and Maternity Leave:
orkers are entitled to 14 weeks of maternity leave, with eight weeks mandatory post-birth and the remainder flexible before or after, supporting maternal health and recovery.
Protection of Motherhood and Fatherhood:
oth mothers and fathers receive societal and state protection for their irreplaceable role in child-rearing, particularly education. Maternity protections extend to paternity or substitutes if the mother cannot utilize them. Pregnant, postpartum, or breastfeeding workers are restricted from activities involving shocks, mechanical movements, manual load movement exceeding 10 kg (especially back-lumbar risks), noise, non-ionizing radiation, extreme temperatures, or physical/mental fatigue, safeguarding fetal and maternal health.
Termination of Employment Contract
Causes for Termination: Employment contracts can end through mutual agreement, expiry, dismissal for just cause, dismissal for economic reasons, or employee termination.
Just Cause for Dismissal by Employer: Includes breaching working hours or unauthorized absence more than six times a month or 36 times a year, illegal disobedience to orders, violating worker rights, repeated conflicts, damaging company assets causing interruptions or losses, false absence justifications, physical violence or crimes against company personnel, non-compliance with judicial/administrative decisions, repeated safety violations, theft/fraud harming finances or prestige, and negligent duty performance despite warnings.
Economic Dismissal: Compensation equals one month's remuneration per year or fraction of seniority, with a minimum of three months, doubled for workers over 50, cushioning economic impacts.
Safety, Hygiene, and Health Protection
The labor law mandates measures to ensure worker safety, hygiene, and health across all activity sectors, fostering a conducive work environment. This includes regular inspections and standards, though implementation may vary due to limited infrastructure.
Hiring Foreigners
A prior opinion from the Ministry of Labor, via the Directorate of Labor, Employment, and Professional Training, is required for foreign work visas. This assesses contractual legality and whether national or resident citizens can perform the role, prioritizing local employment while allowing foreign expertise where needed.
Broader Context and Challenges
STP's labor system supports its investment climate, with the 2016 Investment Code and One-Stop Shop (GUE) facilitating business setups (1-5 days). The minimum wage, approximately STN 2,500/month, and social security contributions (20-25% of payroll) reflect efforts to ensure fair compensation. However, challenges include limited enforcement capacity, high emigration (draining skilled labor), and reliance on agriculture/tourism, where labor conditions may lag. The IMF's Extended Credit Facility (approved Dec 2024) aims to strengthen governance, potentially enhancing labor oversight.