France’s Professional Future Law Reduces Secondment Obligations and Increases Penalties for Secondment Fraud

French law No. 2018-771 of September 5, 2018, which is a law “for the freedom to choose one’s professional future,” modified various subjects of interest to companies, including secondment and illegal work. Enforceable since September 7, 2018, unless specified otherwise, this legislation only applies to companies seconding employees in France. This Act reduces the employer’s obligations in order to make secondment easier and strengthens protections for secondees by increasing administrative penalties for noncompliance with such obligations.

Many Large Employers in France to Pay “Exceptional Purchasing Power Bonus”

In response to the yellow vests movement (mouvement des gilets jaunes), which calls for measures to increase purchasing power of France’s working class, a law adopted on December 24, 2018, which was then clarified in two government circulars (Circ. DSS/5B/2019/29, dated February 6, 2019) recently introduced an “exceptional purchasing power bonus.”

Macron Ordinances Allow Employers to Unilaterally Reduce the Duration of Current Mandates

The final version of the bill ratifying the Macron ordinances (Article 3 Ter) provides employers the option of unilaterally deciding, after having consulted the representative bodies concerned, to reduce the duration of current employee representative mandates if they expire between January 1, 2018, and December 31, 2019. The reduction cannot exceed one year.