Employee Leasing in France

• Employee leasing in France gives clients access not only to the French labor market but to the entire talent pool of the European Union.
• Expanding activity in France through employee leasing provides businesses with tremendous potential, thanks to the privileged position of France within the European Union.
• Having a local team of employees in France helps clients have a presence in the heart of Western Europe, allowing them to interact directly with some major markets, such as the German, Italian, Spanish, and Dutch ones.
• Employee leasing greatly facilitates the process of expanding into a new country by completely delegating the administrative and regulatory procedures related to the hiring process and employee management to FMC Group.

• We look for and pick the best candidates that will be the perfect fit for your company;
• We negotiate and conclude employment contracts;
• We provide professional accounting services according to European and international standards;
• We pay taxes and social security contributions in accordance with French law;
• We keep track of your employees’ entitlements and paid vacations;
• We implement private health insurance for your employees if needed;
• We maintain continuous and regular contact with you regarding the management of your employees.

• The French market on its own has over 67 million consumers, making it the second-largest market in Europe. Additionally, thanks to the unique environment of the European Union, expanding business activity in France provides unlimited access to the entire European consumer market, with its over 440 million individuals.
• The French economy is one of the strongest and most stable economies worldwide. It ranks seventh in the world and second in the European Union in terms of nominal GDP. This is mainly attributed to the strength of the French manufacturing sector, notably the industries of telecommunication, aerospace and defense, shipbuilding, pharmaceuticals, construction and civil engineering, chemicals, textiles, and automobile production. France is also known as the most popular tourist destination in the world. Before the COVID-19 pandemic, the country used to attract nearly 90 million visitors per year.
• France has a highly reliable infrastructure network. It has the largest road network in Europe, at over 1.1 million kilometers in length, and the second-largest high-speed rail network in the continent, with a total length of over 2,690 kilometers. France also has the second-busiest airport in Europe for both cargo and passengers: the Roissy Charles-de-Gaulle Airport in Paris.
• France is a rapidly-growing destination for innovation-driven industries and startups. For instance, more than 2,500 IT companies are established in the Sophia Antipolis Technology Park in southeastern France, with a total talent pool of more than 38,000 IT engineers.
• The French labor force is very productive and highly qualified. According to the OECD, France ranks sixth in the world for hourly labor productivity, at EUR 45.6 per hour compared with EUR 37.3 on average in the Eurozone. Moreover, around 35% of the French population has a higher education degree. The rate of university graduates is even higher among young French residents aged between 25 and 34, at 44%.
• Invest in France provides detailed information about the various investment opportunities available in France and the different measures that are in place to support foreign investors.

Minimum Wage and Payroll

• The national minimum wage in France is set at EUR 1,302.64 net per month. The minimum net hourly rate is EUR 8.58.
• The 13^th-month salary bonus is not mandatory in France but it is customary. It is generally paid at the end of the year.
• Salaries in France are paid by the last working day of each month.

Social Contributions and Taxes

Employer Contributions
Health, Maternity, Disability, and Death Insurance	13.00%
Pension	8.55%
Unemployment Insurance	4.05%
Family Benefits	2.45% – 5.25%
Autonomy Solidarity Contribution	0.30%
Wage Guarantee Insurance	0.15%
Total	29.50% – 31.30%
Employee Contributions
Social Security Surcharge	9.20%
Pension	6.90%
Social Security Debt Reimbursement Contribution	0.50%
Total	16.10%
Employee Income Tax
Up to EUR 10,225 per year	0.00%
From EUR 10,226 to EUR 26,070	11.00%
From EUR 26,071 to EUR 74,545	30.00%
From EUR 74,546 to EUR 160,336	41.00%
More than EUR 160,336	45.00%

 

Working Hours and Overtime

• The legal working limit in France is 35 hours per week and 10 hours per day.
• Overtime work is paid at a rate of 125% of the regular salary rate for the first eight hours every week, and at 150% for the remaining duration.

Vacation Days

• Employees in France are entitled to at least five weeks of paid leave per year.
• France celebrates 12 public holidays:
  • New Year’s Day: January 1^st;
  • Good Friday: Between April and May (moveable);
  • Easter Monday: Between April and May (moveable);
  • Labor Day: May 1^st;
  • Victory Day: May 8^th;
  • Ascension Day: Between May and June (moveable);
  • Pentecost Monday: Between May and June (moveable);
  • Bastille Day: July 14^th;
  • Assumption of Mary: August 15^th;
  • All Saints’ Day: November 1^st;
  • Armistice Day: November 11^th;
  • Christmas Holiday: December 25^th – 26^th.

Parental Leave and Sick Leave

• Expectant mothers are entitled to 16 weeks of maternity leave, including six weeks before delivery and 10 weeks after birth, covered fully by social security. Maternity leave can be extended to 34 weeks when expecting twins and 46 weeks when expecting triplets or more.
• New fathers are entitled to 35 days of paid leave after the birth of their child and 28 days if they adopt a child. Employers have to pay the first three days of paternity leave, while social security covers pay during the remaining duration.
• Employees can take up to six weeks of unpaid leave before adopting a child if they must travel to adopt the child.
• Employees in France are entitled to up to one year of unpaid parental leave after the birth of their child. During this period, they are eligible for a monthly allowance provided by social security. Parents are also entitled to between three and five days of leave to care for their child if they are ill. If the child suffers from severe illness, an accident, or a disability, parents can request a special family care leave of up to 310 days.
• Employees can take a sick leave for up to three consecutive years. Employees receive their full salary, covered by social security, during the first 90 days. Afterward, they become eligible for a monthly sickness allowance until they can return to work.
• Employees in France can take three days of paid leave if one of their immediate family members passes away.

Notice Period

• The notice period for resigning employees in France is set at one month for workers with less than two years of service, two months for employees with more than two years of service, and three months for executives.

Further Useful Information

• The French Ministry of Labor has put in place a dedicated website in French called “Digital Labor Code” that provides many useful tools for employers, including social contributions calculators, templates for various professional documents, and a summarized version of the French Labor Code.