France

Companies hiring in France generally choose between four models. You can use HQ payroll in limited cases, engage contractors for truly independent work, set up a local entity to employ directly, or use an Employer of Record (known as portage salarial). Each option differs in compliance, cost, and administrative effort. Many businesses use an EOR to hire in France without establishing a local entity. 

Setting up a local company in France is very time consuming and complicated. That is further complicated by the monthly activities – payroll needs to be calculated and run every month, taxes filed, benefits extended, change of rules and regulations followed.

Contractors work well when the relationship is project-based and the person serves multiple clients. If an individual gives their full and undivided attention to your company in France, employment is the right structure under French law, covering entitlements like paid holiday, sick leave, and social security. For project-based contractor engagements, Boundless’s Agent of Record (AOR) service handles classification, contracts, and payments compliantly in France.

HR compliance in France means your policies and procedures respect all applicable French employment laws and regulations. When you hire in France, this matters both to safeguard employee rights and to reduce employer risk. Compliance covers labour law, sick leave, annual leave (30 working days), the 35-hour working week, minimum wage (€12.02/hour), and social security. Following these is fundamental for running the business well.

As with every other country, there are certain costs associated with employing a worker in France that come on top of the gross salary you are offering. In France those are Social security, Work accident insurance, Forfait Social, and Transportation tax. To view the exact percentages and amounts given the salary you are planning to offer, you can use our handy calculator tool.

In France, EOR is often referred to as portage salarial. It means the provider is the legal employer of the individual for French government, tax, and employment purposes. It issues a compliant contract, runs payroll, files taxes, and manages statutory benefits such as 16 weeks’ maternity leave and 30 days’ paid leave. You manage the employee’s work and fund payroll. 

Boundless as the Employer of Record France (Portage Salarial) files all pertinent taxes and social security contributions as they relate to the compliant employment of an individual in France.

Boundless partners with employment lawyers and advisers in each country we operate in, including France. They ensure employment contracts and onboarding documents comply with the local jurisdiction. We hold detailed discussions on specific norms such as payroll, social protection, data protection, notice periods, and work-from-home regulations. When a sensitive issue arises, our internal team engages the relevant firm promptly.

The company remains responsible and informs employees of the day-to-day management of the people and teams that are employed through Boundless, including any disciplinary or performance issues.

Boundless ensures compliance with French-specific procedures, practices and labour laws while employing people and teams on behalf of the company.

Any employee locally employed through Portage Salarial receives the full rights and benefits set out in French employment law. They get a locally compliant contract, 16 weeks of statutory maternity leave, 28 days of paternity leave, 30 days of annual leave, illness benefits, and applicable tax credits. All France-based employees also access healthcare through the public system.

In France, both employers and employees have to pay taxes. For employers, these include Social security, work accident insurance, forfait social, and transportation tax and for employees, they include income tax, social security, supplemental pension, and Contribution d’Equilibre Général. To get a clear overview of both employee and employer taxes, use our salary breakdown calculator.