Chapter II: Assistance for employees on part-time work

Articles in this section · 6

Article L5122-1

French Labour CodeIn force

Updated 6 Nov 2023

I.-Employees are placed in a partial activity position, after express or implicit authorisation by the administrative authority, if they suffer a loss of pay attributable to :

-the temporary closure of their establishment or part of an establishment ;

-the reduction of the working hours in the establishment or part of the establishment below the legal working hours.

In the event of a collective reduction in working hours, employees may be placed in a partial activity position individually and alternately.

II - Employees receive an hourly allowance, paid by their employer, corresponding to a percentage of their previous remuneration set by decree by the Conseil d'Etat. The employer receives an allowance financed jointly by the State and the body managing the unemployment insurance scheme. An agreement between the State and this body sets out the terms and conditions for financing this allowance.

The employment contract of employees placed on partial activity is suspended during periods when they are not working.

III - The administrative authority may define specific commitments made by the employer in return for the allowance paid to him, taking into account the stipulations of the collective company agreement relating to partial activity, where such an agreement exists. A Conseil d'Etat decree sets out the terms and conditions under which these commitments are made.

IV - Claims for the allowance mentioned in II for which the employer has not submitted a request for payment to the administrative authority within a period of six months from the end of the period covered by the authorisation to use partial activity are time-barred in favour of the State and the unemployment insurance management body.

Employers who have put in place a system for organising working time over a reference period longer than the period mentioned in the first paragraph of this IV may regularise the claims for compensation corresponding to the period covered by the authorisation to use partial activity within a period of six months from the expiry of the period mentioned in the same first paragraph.

V.-The employers mentioned in Article L. 5424-1 may place their private-sector employees in a partial activity position, under the conditions laid down in this chapter, for whom they have joined the unemployment insurance scheme in application of Article L. 5424-2, provided that they are primarily engaged in an industrial or commercial activity, the income from which constitutes the majority of their resources.

These employers benefit from a partial activity allowance in accordance with the terms and conditions set out in this chapter.

VI - The employees mentioned in article L. 243-1-2 of the Social Security Code who are employed by a company which does not have an establishment in France may be placed in a partial activity position when the employer is subject, for these employees, to social contributions and contributions of legal or contractual origin and to insurance obligations against the risk of unemployment under French legislation.

These employers benefit from a partial activity allowance in accordance with the terms and conditions set out in this chapter.

Mariela Petrova

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Working with a corporate lawyer in France — Q&A

Any time a strategic decision changes how the company is owned, governed or contractually bound — incorporation, fundraising, M&A, restructuring, shareholder agreements, or major commercial contracts. Earlier engagement always costs less than later remediation.

A notary (notaire) is a public officer who authenticates specific deeds (mainly real-estate transfers and certain family-law acts). A corporate lawyer (avocat) advises on strategy, negotiates and drafts company documents, and represents you in disputes. The two roles complement rather than overlap.

Yes — most of our clients are foreign suppliers, investors or holding entities. We bridge the gap between French law and your home jurisdiction's expectations and deliver everything bilingually.

The SAS (Société par Actions Simplifiée) is the default choice for most international structures: flexible governance, single shareholder allowed, no minimum capital, and works cleanly with foreign holding entities. We assess SARL, SA, SCI on the merits when the situation calls for it.

Yes — communications with a French avocat are protected by the secret professionnel (Article 66-5 of the Law of 31 December 1971). This protection is broader than the common-law attorney-client privilege and applies to written and oral exchanges.

We work on fixed fees for clearly scoped engagements (incorporation, contract drafting, audits) and on monthly retainers for ongoing advisory. Hourly billing is the exception, not the default. You always know the cost before work starts.

Typical timeline is 2–3 weeks from KYC kick-off to RCS registration, assuming standard documentation. Holding-company structures, foreign-shareholder identification or in-kind contributions can extend this — we flag the gating items at the first meeting.

Absolutely. We routinely coordinate with your in-house counsel, expert-comptable or notaire — pragmatic collaboration is the norm, not the exception. We send them everything they need to do their part without duplicating work.

Mariela Petrova

Mariela Petrova

Avocate au Barreau de Paris

Toque #C2396

15+ Years In Corporate Practice

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Communications protected by professional secrecy — secret professionnel de l'avocat, Article 66-5 of the Law of 31 December 1971.

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