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Hire and manage employees in France

As your Employer of Record (EOR) in France, we’d help you expand by hiring employees and running their payroll without establishing a local branch office or subsidiary.
Last updated:
November 13, 2024
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Quick facts

France, one of the largest economies in Europe, has a diverse economy driven by sectors like manufacturing, services, and tourism. The country is known for its strong labor protections, comprehensive social security system, and a highly regulated labor market. French labor laws provide extensive protections for employees, including strict rules on contracts, working hours, and severance.

Employment Contracts

Employment contracts in France must be written in French. Bilingual contracts are recommended for non-French speakers, but only the French version holds legal value. Most contracts are permanent (open-ended), though fixed-term contracts can be issued for specific tasks, with a maximum duration of 18 months. Fixed-term contracts can be renewed twice. Contracts should be signed within 48 hours of the employee starting work, and the total duration of fixed-term contracts cannot exceed 36 months.

Probation Period

For open-ended contracts, the probation period is 4 months, renewable once. For fixed-term contracts, the probation period is 2 weeks for contracts under 6 months and 1 month for contracts exceeding 6 months.

Working Hours

In France, the standard working week is 35 hours. Employees working beyond this are entitled to additional rest days known as RTT if their working hours exceed 35 per week. Overtime must be agreed upon between the parties and outlined in the employment contract.

Vacation Days

Employees in France are entitled to 25 vacation days per year based on a five-day workweek. For consultants or those working more than 35 hours a week, extra rest days (RTT) may be granted, reducing the number of days worked per year to 216 to 218 days.

Sick Leave

In case of illness, employees receive €50 per day in sick leave compensation unless the employer opts to maintain the employee’s salary. After 30 consecutive days of sick leave, compensation is paid between 40-80% of the salary through additional invoicing to cover social contributions.

Wages and Salary Payment

In France, salaries are typically paid at the end of the month. The minimum wage for a fixed-term contract (CDD) is €2,800 gross per month, which includes additional 10% indemnities for temporary work and 10% for days off, totaling €3,424 gross per month.

Public Holidays

France observes 11 public holidays, including:

  • January 1: New Year’s Day
  • Easter Monday: April 10
  • May 1: Labor Day
  • July 14: Bastille Day
  • November 1: All Saints' Day
  • December 25: Christmas Day

Employer Taxes

Employers in France are required to contribute approximately 50.45% of an employee’s gross salary towards social security, covering various mandatory benefits such as healthcare, retirement pensions, unemployment insurance, and workplace training.

Employee Taxes

Employees contribute around 22% of their gross salary to social security. These deductions cover healthcare, pensions, unemployment insurance, and other mandatory social programs.

Notice Period

For open-ended contracts, the notice period ranges between 2 to 3 months, depending on the commercial agreement. For fixed-term contracts, the notice period is typically 1 month to 3 months unless otherwise specified in the contract.

Termination and Severance Pay

Dismissals in France must be justified with objective reasons. Employers cannot terminate employees based on poor performance alone. Economic layoffs require significant justification, and the employer must prove severe financial difficulty to execute redundancies. Severance pay is calculated based on the employee’s length of service, and employers must pay for any unused vacation and adhere to the specified notice periods.

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