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French Employment Contracts: stay informed on key aspects of contracts in France

FRANCE | EXPATS

BANKEAZ | Expats Team
8/28/2024 - 7 min read

Curious about how permanent and temporary or seasonal employment contracts differ in France?

Before you ink a deal, it's essential to grasp these nuances.

Discover more about these contract types in France to ensure you're making a well-informed decision.

#FrenchLabourLaw #WorkContracts

> Permanent contracts: CDI

The labor regulations in France outline permanent employment as an agreement with no end date, whether it's full-time or part-time, between an employer and an employee.

Referred to as "contrat à durée indéterminée" (CDI), these contracts offer stability, paid leave, and facilitate access to financial services like loans.

Both parties hold the right to terminate a permanent contract through various means such as dismissal, resignation, retirement, or mutual consent.

France also acknowledges different variations of permanent contracts within this category.

Let's explore these distinctions further.

- Temporary contracts

Temporary agreements, known as CDII, follow similar guidelines to permanent contracts but are specific to temporary employment.

These contracts are made between temporary employees and agencies representing other companies.

More information on temporary or seasonal work will be provided later.

- Learner contracts

Launched towards the end of 2020 by Adecco, a renowned staffing firm, the Learner contract enhances the temporary version in three main aspects:

• Training: Right from the commencement of the contract, temporary workers under Learner agreements participate in collaborative training initiatives. This enables them to attain a professional certification or qualification while gaining practical work experience;

• Commute: Learner contracts offer more lenient travel regulations, limiting the distance between home and work to 20-50 kilometers, as opposed to the 50-kilometer standard of CDII;

• Pay: Workers are ensured a minimum monthly wage in accordance with the company's guidelines, unlike the traditional CDI contract where the salary must meet or exceed the minimum wage.

- Part-time work contracts for employability purposes

In an effort to assist individuals facing challenges in securing employment or maintaining a job, the concept of  “contracts for employability purposes” (“contrat de travail à temps partagé aux fins d’employabilité” in French) was introduced in 2018.

These contracts aim to facilitate professional inclusion by enabling individuals to work full-time for different employers consecutively or engage in multiple part-time agreements with various employers.

Initially launched as a trial program until December 31, 2021, this initiative has now been prolonged until the conclusion of 2023.

This extension seeks to further support individuals in non-traditional employment arrangements.

- Work site contracts

Work site contracts are prevalent in sectors like construction and shipbuilding, where a firm recruits labor for a distinct project.

The employer holds the prerogative to discontinue the contract post-project completion.

Following this, the worker has the right to apply for a severance package and unemployment benefits.

This approach ensures the protection of both parties' rights and is common in industries with project-centric work.

- Inclusive work contracts for seniors

In France, a specific type of flexible contract is available for individuals aged 57 and above who are facing challenges in securing or retaining employment.

Similar to contracts designed to enhance employability, the primary objective remains focused on promoting professional integration.

This specialized open-ended agreement caters to the needs of mature individuals seeking sustainable work opportunities.

The aim is to support their active participation in the workforce and facilitate their ongoing career development.

> Fixed-term contracts

Fixed-term contracts, also known as CDD, are utilized for a specified duration of employment to address temporary situations or tasks.

These contracts allow companies to fill temporary roles or boost business activities without the commitment of hiring a permanent employee.

It's essential to outline specific situations in the contract.

Notably, using a fixed-term contract for a permanent position that is part of the company's regular activities is prohibited. In such cases, offering a permanent contract is required.

Various sub-types of fixed-term contracts exist to cater to different temporary needs:

• Fixed-term contracts for a specific purpose, largely used for recruiting engineers or executives for project-based assignments;

• "Professional player" fixed-term contracts, specifically for professional video game players employed by a company with ministerial approval, mainly for their paid participation in video game competitions;

• "Senior" fixed-term contracts, set up to help people aged 56 and over return to work. The person must have been registered as a job seeker for more than three months or have a personalized redeployment agreement (“convention de reclassement personnalisé,” or CRP) to qualify for this type of contract;

• Integration contracts, for unemployed people experiencing social and professional barriers — for example, young people under the age of 26, disabled workers, or beneficiaries of Active Solidarity Income (“revenu de solidarité active,” or RSA).

> Interim contracts

Interim employment agreements serve as a solution for short-term organizational requirements, much like temporary contracts.

Temporary staffing agencies handle the recruitment and payment of individuals under interim contracts on behalf of client companies.

These agencies facilitate the hiring process for a specific duration, establishing interim positions.

Each interim role involves the execution of provisional agreements between the agency and client, along with a contract between the agency and the temporary worker detailing job specifics, compensation, working hours, and holiday benefits.

> Part-time contracts

Part-time workers typically have a reduced weekly work commitment compared to full-time employees, falling short of the company's standard full-time hours.

This setup can be applicable to a variety of contract types, be it permanent, temporary, or interim.

It is crucial to have this arrangement formally documented, clearly specifying the terms and conditions involved:

• The employee’s qualifications;

• Details about the salary;

• Minimum working hours;

• Cases where working hours may be modified;

• How any possible modifications will be made;

• The framework and terms for any possible overtime hours (beyond the hours of the part-time contract).

Part-time workers enjoy the flexibility to engage with multiple employers, as long as they adhere to legal constraints on hours worked.

They might occasionally be required to put in extra hours within specified limits, usually accompanied by additional pay.

It is crucial to ensure that the total hours worked remain within legal boundaries. Any additional hours worked beyond the regular schedule should be compensated correctly.

> Work-study contracts

Work-study opportunities are tailored for individuals aged 16 to 25, with some flexibility in age criteria.

They’re used as part of work-study training, providing a practical approach to skill development alongside academic pursuits.

Participants alternate between structured training sessions and practical application of their knowledge in real-world work environments.

Completion of these programs not only equips individuals with valuable work experience but also leads to the attainment of recognized qualifications like diplomas or certificates.

In France, a variety of work-study contracts are available to support a wide range of career paths and industries:

- Apprenticeship contracts

An apprenticeship contract, either permanent or temporary, allows people aged 16-25 and/or job seekers over 45 to learn a new profession.

The apprentice learns on the job as well as attending theory-based classes.

At the end of the training, apprentices earn a diploma or certification registered with the National Directory of Professional Certifications (“Répertoire national des certifications professionnelles,” or RNCP), ranging from a vocational qualification to Masters level or higher.

- Professional training contracts

A professional training contract is another type of temporary or permanent work-study contract.

t’s valid for a period of six to 12 months and is available to young people aged 16-25, job seekers, and people aged 26 and up who are receiving benefits and want to earn a recognized professional qualification.

- Single integration contracts

For people who are struggling to find work, single integration contracts (“contrat unique d’insertion,” or CUI) can help.

Employees on this type of contract benefit from training and/or professional support, and employers receive state financial assistance.

Here, there’s a distinction between employment support contracts (“contrats d’accompagnement dans l’emploi,” or CUI-CAE), which apply to the nonprofit sector, and employment initiative contracts (“contrats initiative emploi,” or CUI-CIE), aimed at the private sector.

> Specific work contracts

Finally, depending on your age and qualification, you may be offered other types of specific work contract, such as:

• Seasonal work contracts which, as the name suggests, are for seasonal work. This applies to work that takes place at the same time each year, such as in agriculture or tourism;

• Educational commitment contracts (“contrat d’engagement éducatif,” or CEE), are aimed at people who occasionally lead or supervise minors in group-based care, such as at leisure centers and summer camps. This type of contract has specific conditions for the working hours, breaks, and amount of pay, which are different from the ones set by standard labor laws;

• Intermittent employment contracts, which always involve alternating periods of work and time off, and which can be used either for permanent or temporary business needs. These contracts are mainly used in sectors with unique schedules, for example, in the performing arts, schools, seasonal businesses, or tourism;

• Harvesting contracts, which are a specific type of seasonal employment contract. These contracts are for employees who have been recruited to work during the harvest — for example, picking grapes or carrying sacks and baskets — or to maintain and clean equipment.
  
  

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