France: Certain bonus payments exempt from tax, social security

Connecticut Enacts Paid Family and Medical Leave

Measures that allow employers in France to continue paying bonuses of up to €1,000 to eligible employees, exempt from tax and social security, feature in an amended social security law (French) that generally took effect on 27 Dec 2019. Eligible employees must earn less than three times the national minimum wage (SMIC) over a 12-month period and the bonus must be paid by 30 Jun 2020. Employers who pay this type of bonus must do so for all eligible employees at the time the payment is made, and they must also set up a profit-sharing scheme for employees.

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Amandine Marsella
by Amandine Marsella

Associate, Mercer Health

Fiona Webster
by Fiona Webster

Principal, Mercer’s Law & Policy Group

Stephanie Rosseau
by Stephanie Rosseau

Principal, Mercer’s Law & Policy Group

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