Prime to the first hiring, compensation prud’homales capped, freezing of tax thresholds, renewable twice CSD Manuel Valls announced, Tuesday, June 9, a “Small Business Act French” which should create tens of thousands of jobs in small and medium enterprises (SMEs). The aim of the plan is to “simplify”, “secure”, “creating this movement for hiring” in SMEs, especially the smallest, who are “the main source of employment in our country,” said the Prime Minister after a cabinet meeting at the Elysee restricted, presenting what he considers a “small business act to the French,” referring to a US law passed in 1950 to support SMEs. “By relying on these forces, has he continued, that we can boost growth and reduce unemployment”, which reached a new record high in late April by Pôle emploi (3,536,000 unemployed in metropolis).
• Capping compensation for unfair dismissal for SMEs
• Bonus of 4,000 euros for hiring a 1 employee
• Two possible renewals for CDD
• Posted workers: the customer more easily punished for fraud of its subcontractor
• Gel for three years of the effect of the tax threshold crossings up to 50 employees
• Learning
• Maintenance Agreements Employment
Industrial Tribunal: compensation for unfair dismissal will be capped for SMEs
ceilings for compensation to labor courts: this measure, expected, intended as Matignon reduce the feeling of “Russian roulette” employers sent before the tribunal for disputed dismissals. Ranges are created, depending on the seniority of the employee and company size. For less than 20 employees, they will go from 1 / 12th month salary per month of employment (under two years old), from February to June months’ salary (for 2 to 15 years of service ) and 2 to 12 months (15 years old). For more than 20 employees, it will be respectively 1 / 6th of the monthly wage per month of employment, 4-10 months and 4-20 months. However, the judge may depart from it “in the most serious cases,” said Manuel Valls. Also excluded from this device various dismissal aggravated cases (harassment, discrimination, pregnant women, work injury, occupational disease, employee protected right to strike, etc.) Finally, for large companies (more than 250 to 300 employees) The government is considering a higher scale or the absence scale, a matter referred to parliamentary discussions.
Prime 4,000 euros for hiring a first employee
France has 1.2 million sole proprietorships without employees. Finding that hiring a first employee often for business leaders a “not difficult”, the government decided to create a premium of 4,000 euros (2,000 euros paid the first year, 2,000 the second) for any job both permanent and fixed-term contracts of a minimum duration of 12 months. It applies to all companies that have not been employed for at least 1 year. The measure, which should, according to Emmanuel Macron, creating 60,000 to 80,000 jobs, applies from Tuesday for contracts signed in the next 12 months and will be validated by an order made “within weeks”.
CDD can be renewed twice instead of currently
On the employment contract, the government will not affect the permanent contracts (CDI) but it will loosen regulation of fixed-term contracts (CDD) and temporary contracts. They may be renewed twice, instead of a currently. The measure, demanded that the employers, will “of course without touching the maximum period of 18 months” prescribed by law for such contracts, said the Prime Minister, stating that the measure be included in an amendment to the bill Rebsamen under examination in Parliament.
Gel for three years of the effect of the tax threshold crossings up to 50 employees
The Indeed crossings tax thresholds up to 50 employees, which trigger additional taxes and social contributions for businesses, will be frozen for three years. This measure will affect all tax thresholds crossed until the end of 2018 and their effects will be neutralized for three years after the crossing, said the Prime Minister. In addition, all tax thresholds crossed the 9th or 10th employees will be raised at the 11th employee
Posted workers:. The client may be sanctioned more easily in case of fraud on its subcontractor
The government will allow financially more easily pursue the company whose subcontractor has committed fraud to posted workers. A payer may in particular be held jointly liable for fraud to social legislation committed by its subcontractor, eg lack of payment of social security contributions or non-compliance with the minimum wage.
Learning
The apprentice trial period is now complete after two months in the company, not two-month contract as at present, avoiding cases where the trial period s ‘ended when the apprentice was still training center.
Agreements maintaining employment
These business agreements, very little used, can accommodate the time work and wages, when a company goes wrong, in exchange for retention. They can now take five years instead of the current two, and being abandoned en route. Furthermore, an employee dismissed for refusing the agreement will be treated according to common law and therefore will no longer qualify for unemployment allowance of 100% of his salary for a year.
(With AFP)
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