There is no standard simple method for calculating severance pay under French employment law and the number of variables involved is considerable.In the first instance it will be necessary to establish whether or not the employee is a ‘cadre’ or another type of salaried employee.
Then, for example, the collective bargaining agreement to which the entity and the employee are subject will have to be consulted.
Once the above points have been dealt with, the grounds for dismissal will have to be examined in that the severance pay linked to dismissal for the different levels of misconduct may be very different indeed from the amount of severance pay flowing from a dismissal made on economic grounds.
Only at this stage do criteria relating to the individual come into play, for example number of years service, age upon dismissal etc and these factors may bring about a further difference in the amount payable upon severance.
That said, we would be pleased to assist you in calculating the close approximate amount in Euros of severance pay for one or more employees and to do so we shall simply need photocopies of each individual employees’ pay slip for the past six months (i.e. the pay slip itself not a financial summary of payments made) sent by facsimile to our Employment Law Department (confidential direct fax line + 33 3 20 54 09 09).
The foregoing is by no means intended to be exhaustive and for specific information relating to taking on employees in France, please click here