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France
France borders Belgium, Luxembourg and Germany to the northeast, Switzerland, Monaco and Italy to the east, Andorra and Spain to the south, as well as the Netherlands, Suriname and Brazil in the Americas. France is a unitary semi-presidential republic with its capital in Paris, the country’s largest city and main cultural and commercial center.
POPULATION
68.69 million inhabitants
CURRENCY
Euro (EUR)
GDP
$3.162 billion
MINIMUM MONTHLY WAGE:
1,823 EUR
TIME ZONE
UTC +1
Due to its numerous overseas departments and territories scattered across the planet, France possesses the second-largest Exclusive economic zone (EEZ) in the world.
France was one of the first countries to create an environment ministry, in 1971.
Although it is one of the most industrialized countries in the world.
The continuing unstable political situation in France and upcoming local elections
makes it difficult to anticipate future legislative changes in 2026.
International companies operating in France should therefore ensure regularly
check for new developments.
- Employment contract
-Permanent contract (CDI)
-Fixed-term contract (CDD)
- Temporary employment contract (CTT) A CTT is a temporary work contract, sometimes referred to as an interim contract, and it allows an employee to be hired and paid by a company offering temporary work in order to complete work for a client company. As with the CDD, this type of work must be carried out for a pre-defined period or for a period corresponding to the completion of a specific task.
- Independent contractors – are companies or self-employed workers that are linked to another contractor by a contract to perform a service or deliver goods but are still acting independently from their co-contractors.
- Self-employed – open to various areas of business, which are not considered as commercial activities (for example, lawyers, notaries, accountants, medical doctors, architects etc).
A normal five-day working week is 35 hours.
An individual working day may not exceed 10 hours. Hours worked beyond this quota are compulsory paid as overtime.
The employee who works more than 6 hours a day has the right to rest during the working day at least 20 minutes.
Any hour performed over the weekly working time of 35 hours should be paid at an increased rate (125% or 150%) and, above a certain threshold, should give rise to compensatory rest.
Social security contribution which is organized into four levels: diseases; French law provides for a basic minimum compensation and employee protection. Employee benefits in France include pensions for spouses. Eligible survivors include widows aged 55 or over or disabled (including a divorced wife who has not remarried). Unmarried surviving partners are unsuitable even if they had a civil partnership with the deceased.
Employees in France receive 2.5 days of paid holiday for every month they work. This equates to 30 working days of leave per year. This is prorated for employees having worked less than 12 months over the year.
There are some limitations to when employees can take their holiday: employees cannot use more than 24 working days at once.
The following paid public holidays are observed in France:
• Jan. 1: New Year’s Day
• Easter and Easter Monday (Western Church)
• May 1: International Labor Day
• May 8: Victory Day
• Ascension Day (the 40th day after Easter)
• Whitsun and Whit Monday (seventh Sunday after Easter)
• Jul. 14: Bastille Day
• Aug. 15: Assumption Day
• Nov. 1: All Saints’ Day
• Nov. 11: Armistice Day
• Dec. 25: Christmas Day
It is mandatory to take at least 8 weeks maternity leave in France. Women can take up to 16 weeks of leave (congé maternité), usually six weeks prior to the expected date of delivery and 10 weeks after. This time can increase to 26 weeks if a woman is having her third child.
The amount of the daily maternity, adoption or paternity leave allowance is equal to the average income over the last 3 months before maternity leave.
Maximum amount of basic daily salary
The salary taken into account cannot exceed the monthly social security ceiling in force on the last day of the month preceding the cessation (i.e. €4,05 per month in 2023).
Minimum amount and maximum amount of daily allowance
The amount cannot be less than €11.12 nor more than €104.02 per day.
Paternity leave
Fathers are entitled to time off and leave payments, but considerably less than their partners. In total, fathers can have up to 28 days paternity leave benefits, or 32 days if the family has twins.
In case of an inability to work, a sick leave note must be written by the doctor. The daily allowance is only payable from the 4th day of sick leave.
Paid per diem for sick leave is 50% of the basic daily wage.
The gross reference wage is limited to € 2,552.24 gross per month therefore, the daily allowance paid cannot exceed €41.95.
When the sick leave exceeds 3 months, the daily allowance may be reassessed (up to the maximum gross amount) in the event of a general increase in income.
The French social security system is composed of various schemes providing a wide range of benefits.
The system includes:
- social security basic coverage
- sickness
- maternity
- disability
- death
- work-related accident benefits
- old age state pension
- unemployment benefits
- compulsory complementary retirement plans
The contributions are shared between employer and employee. The employer contribution is approximately 45% of gross salary. The employee contribution is approximately 20% to 23% of remuneration.
Some mandatory benefits are created after a certain length of service of the employee (most notably, right to a severance indemnity or to a notice period, right to participate in employee representatives’ elections, etc.).
- Medical insurance: As a rule, the insured person is responsible for supplementary health care, and the employer’s share may not be less than 50% of the insurance premium.
- Retirement benefit: State pension insurance in the French social security system is complex, with different plans applied to different classes of employees. For most employees in the private sector, it is divided into 2 categories, the mandatory general scheme, and the mandatory supplementary scheme.
- Disability benefit: For this benefit, a person must be younger than normal retirement age, have at least a 66.7% estimated loss of earning capacity in any occupation and have at least 12 months of pre-disability coverage and 600 hours of employment in the last 12 years. months.
- Work flexibility (remote / flexible working hours)
- Extra days off
- Stock options
- Wellbeing
- Gym membership
- Meal allowance
- Transportation allowance.
As an EU country that is part of the Schengen Area, France has a two-tier immigration system. EU/EFTA citizens do not need a French visa or permit. They will be required to show their valid passport or national ID. Non-EU/EFTA nationals need a type of D visa (long-stay visa) and a residence permit to be allowed to stay in France for longer than 3 months.
There are two types of French visa:
- Short-stay visa (uniform Schengen visa), for visits to France lasting 3 months or less.
- Long-stay visa, for stays in France for longer than 3 months.
Individual dismissal – In France a company needs a valid cause to terminate an employment contract and a notice period must be respected. No notice period needs to be provided in case of gross misconduct.
The length of notice depends on the employee’s seniority in the company:
- The notice period for seniority below 6 months is set by collective agreement or company practice.
- One-month notice for 6 months to 2 years of seniority.
- Two months’ notice for more than 2 years of seniority.
Collective agreements for managers generally set higher notice periods.
Dismissal on economic grounds – such dismissal must have a genuine and serious economic basis as a result of reorganization, employment reduction or a modification, refused by the employee, of an essential provision in the employment contract, as a result of economic difficulties or technological developments.
Within 15 days following dismissal notification, the employee may, by registered letter, ask the employer for details of the reasons set out in the dismissal letter.
Dismissal on personal grounds
- Disciplinary grounds – wrongful behavior by the employee
- Non-disciplinary grounds – employee’s inadequate performance or incompetence, an employee’s repeated absence or absence over a long period of time
Collective Dismissals – prior to making any economic dismissals, an employer is obliged to:
- consult with the employee representatives
- inform the Work Administration
- identify the employees to be dismissed
- look for alternative work for the employees (within the company)
- offer the employees a reclassification scheme to help them find alternative employment.
Termination of a fixed-term contract – any early termination of the contract, whether at the initiative of the employee or their employer, must be based on one of several statutorily defined reasons.
Resignation – employees on a permanent contract may terminate the contractual relationship with their employer without explaining their reasons.
The length of notice varies depending on the employee’s profession and seniority also employment contract may set the duration of the notice of resignation.
Termination of the trial period – the notice period is 24 hours if the employee has been with the company less than 8 days; otherwise, it is 48 hours.
Mutual termination of contract- the employer and employee may agree to terminate the fixed-term contract at any time. A document must be drawn up certifying that both parties have agreed to the early termination of the contract.
Severance pay is paid only to staff with at least 8 months of tenure.
All employees:
- 1/4 of monthly salary per year for less than 10 years of service,
- 1/3 of monthly salary above ten years of service.
- Collective agreements for managers generally set a higher severance pay at 20 years’ service, which is around 10 months of pay.
In France, the employment rate remains below the OECD average. Unemployment and inactivity rates are structurally high, due to a high share of low-skilled workers with weak employment prospects and low employment rates among both young and old people.
With our immigration support solution, we can ensure 100% compliance with the local legislation in terms of expatriates ‘s employment in France within a short period of time, in order to facilitate and speed up expansion of your business to the country.
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