The base minimum wage in France is EUR 1,709.28 per month and may vary according to the Collective Labor Agreement of the company.
Mandatory benefits in France encompass Social Security, Worker Compensation Insurance, Unemployment insurance, Health insurance, Pension fund, and Salary guarantee fund.
Furthermore, employees in France receive private healthcare as an additional benefit.
Part-time employees are entitled to receive overtime payment, but those hired under the contract condition "day pass" do not qualify for overtime pay. Overtime is defined as hours worked outside of the standard work hours. Part-time employees can work a maximum of 1/10 of the weekly hours and will be compensated at 110% of the hourly rate.
Standard working hours in France consist of seven hours per day and 35 hours per week, with the standard workweek spanning from Monday to Friday.
Legally, employees in France do not have a right to additional bonuses. However, employers have the option to provide voluntary bonuses, which will be subject to taxation as part of the employee's salary.
Employers in France typically handle payroll on a monthly basis, and many companies follow this specific schedule:
Individual income tax in France is progressive, with rates ranging up to 45%. The income tax calculation takes into account various factors that can influence the overall tax rates, such as household status and the number of children. The tax brackets and rates are as follows:
In France, severance payments are obligatory in cases of dismissals, breach of contract, or terminations by mutual agreement. The amount of the severance payment is determined based on the employee's length of service and the terms specified in the collective bargaining agreement. It is customary for employers and employees to agree on severance payments that exceed the minimum required amount.
For employees with up to 10 years of seniority, the severance payment is set at 1/4th of the monthly salary per year, while those with 10 or more years of seniority are entitled to 1/3rd of the monthly salary per year.
The minimum notice period for termination is one day, but it will be extended depending on the duration of the employment:
Up to 8 days of employment: 24 hours notice
Between 8 to 30 days of employment: 48 hours notice
Between 30 to 90 days of employment: 14 days notice
90 or more days of employment: 30 days notice
Contracts in France must be in French and may also be bilingual. They must be in written form and duly signed by both parties. A contract should include essential details such as names, start date, employment duration, job description, termination conditions, and information about the collective bargaining agreement.
It is worth noting that backdating contracts is prohibited in France. Additionally, probation periods are mandatory, and their length is determined by the collective bargaining agreement and the employee's scope of work.