TL;DR, Hiring in France
- Fully-loaded employer cost: ~40–45% on top of gross, one of the highest in the EU
- URSSAF social charges cover health, pension, unemployment, family allowances
- 35-hour workweek; overtime above 35h triggers premiums
- CDI (permanent) is the default; fixed-term (CDD) is heavily restricted
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Statutory employer costs in France
In France, employer social charges paid to URSSAF, pension funds, and unemployment add roughly 40–45% on top of gross salary. The breakdown includes ~13% health and family insurance, ~8.55% basic pension, ~4.05% unemployment, plus AGIRC-ARRCO complementary pension, work accident insurance, training levy, and apprenticeship tax. Reductions (Fillon) cut the rate significantly for salaries near minimum wage.
| Contribution | Employer rate | Notes |
|---|---|---|
| Health, maternity, disability (URSSAF) | ~13.0% | Reduced to 7% below 2.5× SMIC |
| Basic pension (CNAV) | 8.55% | Capped at PASS (€46,368 in 2024) |
| AGIRC-ARRCO complementary pension | 4.72–12.95% | Tranche 1 vs Tranche 2 |
| Unemployment insurance | 4.05% | Capped at 4× PASS |
| Family allowances (CAF) | 3.45–5.25% | Reduced rate below 3.5× SMIC |
| Work accident (AT/MP) | 0.7–3.0% | Sector-dependent |
Mandatory employee benefits
Beyond statutory contributions, France law requires the following benefits the employer must fund.
- Paid leave
- 5 weeks (25 working days) statutory annual leave, accrued at 2.5 days/month.
- 13th month
- Not statutory but common in many sector collective agreements (conventions collectives).
- Mutuelle (health top-up)
- Employer must fund at least 50% of complementary health insurance.
Termination, notice and severance
Probation
2–4 months for CDI depending on role (employee, technician, executive); renewable once.
Notice period
1–3 months depending on seniority and role; defined by collective agreement.
Severance
Statutory: 0.25 month/year for first 10 years, 0.33 month/year after. Collective agreements often more generous.
Common compliance pitfalls
- Collective bargaining agreement (CCN) almost always overrides Labour Code minimums, check the applicable CCN by SIRET code.
- Dismissal must follow strict procedure (convocation, entretien préalable, motivation) or it's void.
- Working time, 35h is the legal week; anything above triggers majoration or RTT days.
Frequently asked questions
Sources
Statutory rates and rules verified against the following authorities. We update this page when rates change.