Thursday, July 21, 2016

FACTBOX-France-Main points of the Labour Law – Boursorama

 PARIS, July 20 (Reuters)  – The government pledged on Wednesday for  the third time its responsibility on the bill  disputed reforming the labor market, lack of  majority for the vote. According to the Department  of Labor, 127 decrees will be needed to implement  this text and the majority will be published in  December. This sets including the rule of company  agreements for the organization of work,  generalizes the rule of the majority agreement and  introduced the “right to switch off”  for employees users of digital tools. *  REORGANIZATION OF THE LABOUR CODE Each section of  the Code is reorganized into three parts: what  belongs to the law ( “peace”), social  negotiation and supplementary provisions in the  absence of collective agreement. “The  primacy of the company agreement on working time  becomes the common law principle,” said the  memorandum. This is particularly the case for  overtime pay, for which the text gives priority to  the company agreement on the branch agreement. The  legal duration of 35 hours is maintained, but the  scope of bargaining has expanded considerably. In  the absence of collective agreement on working  time, the current law will apply. Trade unions and  employers organizations will be involved as a  result of the rewriting of the Labour Code, as  part of the High Council of the social dialogue. *  COLLECTIVE BARGAINING AND REFERENDUM To be valid,  a company agreement or settlement to be signed by  unions that received at least 50% of the vote of  the employees in professional elections. This  provision will apply on 1 January 2017 the  duration of work, rest, leave and agreements  promoting employment, on 1 September 2019 for  other subjects. Otherwise, if the agreement is  signed by unions that received at least 30% of the  votes, they may request an employee consultation.  The agreement will be validated if it is approved  by a majority of votes cast. * ROLE OF  PROFESSIONAL BRANCHES The branches will make an  annual assessment of company agreements to check  their impact on working conditions and  competition. They can then make recommendations  that will be considered by the social partners.  The branch trading defines warranties for  employees in the same sector, occupation or form  of activity and aims to regulate competition  between companies in the industry. The social  partners will engage in each branch within two  years from the enactment of this law negotiation  to determine the topics on which company  agreements may not be less favorable than sectoral  agreements, where the law does not specify the  primacy of the former over the latter. The primacy  of sectoral agreements is maintained in six areas,  including minimum wages, classifications,  preventing hardship and equality between men and  women. The branches will set the trading method in  companies with no agreement on this and conclude  the applicable standard agreements for very small  businesses and SMEs. * RESTRUCTURING OF BRANCHES  PROFESSIONAL Labour Minister commit to December  31, 2016 the merger of branches whose scope is  only local or regional and have not concluded a  collective agreement or an amendment during the 15  years preceding the publication of the law. At the  end of a period of three years after enactment,  commit the merger of those with fewer than 5,000  employees or who have not concluded an agreement  for 10 years. * MANDATED AND EMPLOYEES UNION  ACTIVITIES In companies no union delegate (that is  to say de facto TPME-SME), an employee or several  employees will be instructed by one or more trade  unions to negotiate on all open topics to  collective bargaining, including the  “offensive agreements.” Franchise  networks of at least 300 employees, upon request  of at least a company network or a representative  union, put in place by negotiating a  representative body. Delegation hours Stewards are  increased by 20%. * MAXIMUM WORKING It will be  possible to exceed the maximum weekly working time  (44 hours) within the limit of 46 hours over 12  weeks in a row by company agreement, merely by  branch agreement. A company agreement,  establishment or branch can provide for a maximum  working week of 46 hours over 12 consecutive  weeks. Exceptionally, overtaking can be allowed  under conditions determined by decree. A  convention or a business or branch agreement may  provide for exceeding the daily maximum of ten  hours, provided they remain within the limits of  12 hours. * OVERTIME AND LABOUR ORGANIZATION Time  worked beyond 35 hours is an additional hour. A  company agreement, establishment or branch can set  the overtime pay at a rate not less than 10%. Such  an agreement may provide for the replacement of  all or part of the payment for these hours by a  “compensatory rest”. Failing  agreement, the increase will be 25% for the  additional first eight hours, then 50%. If the  work is organized on a reference period than the  week, a company agreement may bring to one year,  three if a branch agreement allows. If no  collective agreement, the employer may distribute  working hours of up to nine weeks for companies  with fewer than 50 employees, four for others. *  PENALTY PAYMENTS, AND REST DAY PACKAGES A company  agreement, establishment or branch can arrange  periodic penalty payments, notice period and  compensation. Otherwise, penalties and  compensation shall be determined by the employer  after consultation with the works council or staff  delegates. The annual packages in hours or days  will be set up by a collective agreement of  business or establishment or, failing that, by an  agreement or a branch agreement. If no collective  agreement, individual agreement annual working  days may be concluded under certain conditions.  The social partners must commit before 1 October  2016 negotiations on the development of remote  working rules, the evaluation of the employees  workload package-days, taking account of the use  of digital tools and the possible splitting their  rest. * AGREEMENTS “OFFENSIVE” The  bill proposes to go beyond the maintenance of  agreements in employment, for modulating working  time and remuneration in companies in difficulty.  It will now be possible to conclude this type of  collective agreement for the “development of  employment” if the company wants, for  example, to conquer new markets. Its provisions  will replace “of right to contrary and  inconsistent clauses of the employment contract,  including in terms of pay and working  hours.” The text, however, that the  agreement “shall not have the effect of  reducing the monthly pay of the employee.”  An employee refusing the modification of its  contract under this agreement can be terminated  according to the individual redundancy procedure  without either get one, that is to say without  involve compulsory reclassification. The dismissal  of “specific pattern” will however be  entitled to an enhanced support funded by the  state. * ECONOMIC REDUNDANCIES The text  incorporates the motifs from the case law that  could justify redundancies: drop in orders or  sales, operating losses, deteriorating cash gross  operating surplus. These economic difficulties  must be registered for at least one quarter in  companies with fewer than 11 employees, two  consecutive quarters in those aged 11 to 49  employees, three in those 50 to 299 employees,  four for those 300 and older. Also considered as  grounds for redundancy of technological change, a  reorganization of the company “necessary to  safeguard its competitiveness” or the  cessation of its activity. The text does not  mention geographic scope for appreciation of the  difficulties. It will be determined by the present  law. “It relies on the wisdom of the Supreme  Court”, it is said a government source. *  ACCOUNT PERSONAL ACTIVITY (CPA) The text sets up a  first step of this device, designed to bring  together all employment rights, regardless of the  status of the holder, and follow him throughout  his career, even if unemployment, job change,  moving abroad, or for a person who asserts his  right to retire. It is extended to all young  people over 16 years and in particular to artists  authors and freelancers. In this first step, it  consists of personal training accounts (CPF) and  the prevention of hardship and new account  “citizen engagement”. This will  identify the activities of volunteer or  volunteers, giving in particular the right to earn  training hours in the 60 hours. For employees  without qualifications, the CPF will be fed at the  rate of 48 hours of training per year instead of  24 in the common law, with a ceiling of 400 hours.  The implementation of the CPA is scheduled for 1  January 2017 (one year later for the  self-employed). * WARRANTY YOUTH “youth  guarantee” which offers 16-25 non student  without financial support from their parents, no  job, no training an “accompanying  course” towards employment and independence,  will be a right universal from 1 January 2017. *  REPRESENTATION oF eMPLOYER ORGANISATIONS to  measure the employers audience, are taken into  account, each at 50%, the number of member  companies of employers’ organizations and  the number of salaried employees by the same  companies. The credits of the National Joint Fund,  fed by a fee of 0.016% of payroll and a state  grant, will be divided among these organizations  to 50% depending on the number of employees, 50%  according to the member companies. For mandates  within the fund, the distribution key will be  based 30% on the number of member companies and  70% on that of their employees. (Emmanuel Jarry,  edited by Yves Clarisse) 


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