The Impact of Privatization on the Tole Tea Estate
Ottia, Mendi Louis (2025)
2025
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2025121938419
https://urn.fi/URN:NBN:fi:amk-2025121938419
Tiivistelmä
This thesis investigates the impact of privatization on the Tole Tea Estate in Cameroon, which was taken over by the South African consortium Brobon Finex PTY Limited (now Cameroon Tea Estate, CTE) from the state-owned Cameroon Development Corporation (CDC) in October 2002. The study's general objective was to assess the effect of this policy shift on production levels, worker welfare, and the local community. Employing a quantitative approach, data were collected from a sample of 80 participants using a structured questionnaire and analyzed with SPSS software. The findings reveal a paradoxical outcome: privatization achieved its primary goal of enhanced efficiency but at a significant social cost.
The results show a positive impact on production, with a substantial majority of respondents reporting an increase in tea production levels (93.8%) and improved product quality (82.5%). Conversely, the study highlights a severe negative impact on worker welfare and livelihood. An overwhelming 97.5% reported that employee welfare (including job security and working conditions) had been negatively affected, with 91.3% reporting job cuts and a negative change in their household financial well-being. Key grievances included a lack of wage increases (86.3% reported no improvement) and high dissatisfaction with benefits like healthcare and pensions (90.0% dissatisfied). The impact on the local Tole community was minimal and largely negative. While local suppliers benefited (95.0% agreed), a majority reported no creation of economic benefits (68.8% 'No') or job opportunities (66.3% 'No'). Crucially, social infrastructure (86.3% 'No') and health services (90.0% 'No') did not improve, and 80.0% reported that privatization led to environmental concerns. The findings suggest that the drive for corporate efficiency has significantly sacrificed employee well-being and corporate social responsibility. The thesis recommends urgent measures for the restitution of labor and welfare, compulsory community investment, and enhanced regulatory oversight to enforce social clauses in post-privatization monitoring.
The results show a positive impact on production, with a substantial majority of respondents reporting an increase in tea production levels (93.8%) and improved product quality (82.5%). Conversely, the study highlights a severe negative impact on worker welfare and livelihood. An overwhelming 97.5% reported that employee welfare (including job security and working conditions) had been negatively affected, with 91.3% reporting job cuts and a negative change in their household financial well-being. Key grievances included a lack of wage increases (86.3% reported no improvement) and high dissatisfaction with benefits like healthcare and pensions (90.0% dissatisfied). The impact on the local Tole community was minimal and largely negative. While local suppliers benefited (95.0% agreed), a majority reported no creation of economic benefits (68.8% 'No') or job opportunities (66.3% 'No'). Crucially, social infrastructure (86.3% 'No') and health services (90.0% 'No') did not improve, and 80.0% reported that privatization led to environmental concerns. The findings suggest that the drive for corporate efficiency has significantly sacrificed employee well-being and corporate social responsibility. The thesis recommends urgent measures for the restitution of labor and welfare, compulsory community investment, and enhanced regulatory oversight to enforce social clauses in post-privatization monitoring.