The main effect of a suspension of a contract of employment in Cameroon is that it brings a halt in the job, hence the worker/employee no longer carries out the task allocated to him and the employer does not have to remunerate the employee. Nevertheless, there are situations in which the employee benefits from an indemnity. These situations are as follows;
- Indemnity covered by the National Social Insurance Fund: This fund covers two types of indemnity to wit;
- Suspension of the contract of employment in Cameroon as a result of industrial accidents and occupational diseases, and
- Suspension of the contract of employment in Cameroon as a result of maternity leave.
- Indemnity covered by the employer: The indemnity covered by the employer covers the situation of a technical lay-off. Section 2 of Arret No. 001/CAB/MTPS of 14/2/95 states that the indemnity for technical lay-offs correspond to a percentage of the monthly salary received by the employer at the moment of suspension of the contract of employment according to the following rate;
- 50% of the average wage for the 1st month.
- 40% of the average wage for the 2nd month.
- 35% of the average wage for the 3rd month.
- 30% of the average wage for the 4th month.
- 25% of the average wage for the 5th month.
- 20% of the average wage for the 6th month.