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Hiring Employees in France: A Comprehensive Guide
Hiring Employees in France: A Comprehensive Guide
Emmett Arthur avatar
Written by Emmett Arthur
Updated over a week ago

Table of Contents

  1. Introduction

  2. Key Considerations for Employing in France

  3. Benefits

  4. Employment Contracts

  5. Onboarding

  6. Leaves

  7. Payroll & Taxes

  8. Termination Process

  9. Invoice Schedule

  10. Get Started with Omnipresent


1. Introduction

Hiring employees in France can be complex due to strict labor laws and employer obligations. Omnipresent’s Employer of Record (EOR) service ensures compliance with payroll, benefits, and HR regulations for a seamless hiring experience.


2. Key Considerations for Employing in France

  • Currency: Euro (€)

  • Language: French

  • Employer Costs: High (40-45% of salary)

  • Termination Complexity: Very Hard

  • Onboarding Timeline: Approximately 22 calendar days

  • Payroll Frequency: Monthly


3. Benefits

Types of Benefits Offered

  • Mandatory Benefits: Public healthcare (Mutuelle), retirement & pension (AGIRC-ARRCO), disability insurance (Prévoyance), workers’ compensation.

  • Supplementary Benefits: Limited due to high employer costs and Collective Bargaining Agreements.

Healthcare

  • Mutuelle (Mandatory Private Health Insurance) covers inpatient/outpatient treatment, dental, and optical.

  • Employer-funded and taxable to employees. Dependents can be covered at the employee’s cost.

Retirement

  • State pension is supplemented by AGIRC-ARRCO (mandatory pay-as-you-go pension scheme via payroll deductions).

Death & Disability Insurance

  • Prévoyance provides death/disability benefits, including a 300% salary lump sum on death.

  • Employer-funded and taxable to employees.


4. Employment Contracts

Contract Types

  • Indefinite-term contracts (CDI)

  • Fixed-term contracts (CDD, max 18 months)

  • Portage Salarial (Umbrella Employment Model) for qualified professionals

  • Part-time contracts are not available under Omnipresent’s model.

Requirements

  • Written employment contracts are required.

  • Language: Bilingual (French & English, with the French version prevailing).

  • Signature Requirements: Simple electronic signature.

  • Backdating: Not permitted under Omnipresent’s policy.

Probation Period

  • Technicians & Supervisors: Max 3 months.

  • Executives (Cadre): Max 4 months.

  • Probation periods are mandatory unless exceptional circumstances apply.

Contract Customisation

  • Optional clauses for customization, such as additional vacation days.

  • Some elements cannot be customized due to compliance risks (e.g., restrictive covenants, overtime regulations).


5. Onboarding

Timeline

The onboarding process in France typically takes 22 calendar days, including:

  1. Platform Setup

  2. Right-to-Work Check

  3. Employment Contract Processing

  4. Benefits & Payroll Enrollment

Registration & Approvals

  • Employees must complete a medical check within 3 months of onboarding.

Immigration & Visas

  • Omnipresent can support visa sponsorship.

  • EU Citizens do not require a visa.

Right-to-Work Verification

  • Employers must verify work authorization before employment begins.

Employee Transfers from Another EOR

  • Transfers are highly restricted and must be reviewed on a case-by-case basis.


6. Leaves

Leave Entitlements

  • Annual Leave: Minimum 25 working days (excluding public holidays).

  • Paid Vacation Calculation: 10% of gross annual salary or regular pay (whichever is higher).

  • No statutory carryover, except for sick leave.

Maternity Leave

  • 16 to 46 weeks, depending on family size.

  • Social Security covers most maternity benefits.

Paternity Leave

  • 25 calendar days (32 days for multiple births/adoptions).

  • Mandatory 7-day leave.

  • Employer-funded.

Sick Leave

  • Requires a medical certificate within 48 hours.

  • 50% of basic daily wage covered after 3 unpaid days.

  • Up to 180 days per year.

Public Holidays (11 Days)

  • New Year’s Day, Easter Monday, Labor Day, Victory Day, Ascension Day, Whit Monday, Bastille Day, Assumption, All Saints’ Day, Armistice Day, Christmas Day.


7. Payroll & Taxes

Payroll Cycle

  • Frequency: Monthly

  • Cut-off Date: 6th of each month.

  • Payment Date: Last working day of the month.

Compensation

  • No mandatory bonuses or 13th-month salary.

  • Portage Salarial minimum wage (2023): €2,517.13/month.

Standard Work Schedule

  • 35 hours/week, Monday-Friday.

  • Maximum: 44 hours/week (12-week avg.), 48 hours/week (absolute max), 10 hours/day.

  • Time tracking is legally required.

Employer Costs

  • Estimated 40-45% of salary. Use the OmniCalculator for a detailed breakdown.


8. Termination Process

Legal Grounds for Termination

  • Must be based on a ‘real and serious’ cause:

    • Personal grounds (performance, misconduct, prolonged absence).

    • Economic grounds (financial hardship, restructuring).

Notice Period

  • Varies by tenure:

    • Less than 8 days: 24 hours

    • 8 days - 1 month: 48 hours

    • 1-3 months: 2 weeks - 1 month

    • Beyond 3 months: 1-3 months (varies by contract & role)

Severance Pay

  • Applies to employees with at least 8 months of service.

  • Minimum statutory severance:

    • ¼ month salary per year (first 10 years)

    • ⅓ month salary per year (after 10 years)

  • No severance for gross or intentional misconduct.


9. Invoice Schedule

Initial Fees

  • Setup Fees: Due upon signing Terms.

  • Deposit: Payable when the local employment contract is ready for signature.

  • First Salary Prepayment: Invoiced on the first day of employment.

Ongoing Monthly Payments

  • Labour costs invoiced monthly in arrears after payroll calculations.

  • Each invoice includes:

    • Monthly service fee

    • Deposit insurance (if applicable)

    • FX fee (if applicable)


10. Get Started with Omnipresent

We simplify international hiring, legal compliance, payroll, benefits, and more. Contact us to start your journey towards hassle-free global employment.


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