Employer of Record (EOR) in France
Employer of Record (EOR) in France enables businesses to hire French professionals without setting up a local entity. France has a workforce of nearly 30 million people, making it one of Europe’s largest talent pools. With strengths in technology, finance, healthcare, luxury goods, and manufacturing, the country attracts global companies seeking skilled professionals. However, employment laws in France are among the strictest in Europe, with extensive employee protections, high social security contributions, and complex taxation. By partnering with an EOR in France, organizations can efficiently manage payroll, statutory benefits, contracts, and compliance while focusing on market expansion and talent acquisition.
About France
France is one of the largest economies in the European Union and a global hub for business, technology, culture, and innovation. Its capital, Paris, is home to multinational headquarters, while cities like Lyon, Toulouse, and Marseille are thriving centers for aerospace, pharmaceuticals, and manufacturing. The country is recognized for its skilled and diverse workforce, with a strong emphasis on education, research, and professional training.
French labor laws strongly protect employees, ensuring fair wages, job security, and extensive leave entitlements. At the same time, these regulations create complexities for foreign employers trying to establish operations. Employment contracts must comply with collective bargaining agreements, which vary by industry. The standard workweek, minimum wage, and statutory contributions are closely monitored by authorities.
For businesses seeking to expand in France, an Employer of Record (EOR) provides a compliant pathway to hire talent quickly. An EOR handles payroll, social contributions, contracts, benefits, and compliance, reducing the administrative burden for global companies. This makes France attractive for hiring in technology, finance, aerospace, and healthcare sectors while minimizing regulatory risks.
Employment Terms and Regulations
Types of Contracts
CDI (Contrat à Durée Indéterminée):
Permanent contract, most common form of employment
CDD (Contrat à Durée Déterminée):
Fixed-term contract, limited duration with strict regulations
Part-Time Contracts:
Based on agreed working hours, benefits provided proportionally
Apprenticeship/Internship Contracts:
For training and entry-level roles
Working Hours
Standard: 35 hours per week
Overtime: Permitted with limits, additional compensation required
Minimum Wage
€11.65 per hour (2025), approx. €1,766 per month
Probation Period
2–4 months for most employees, extendable depending on role and seniority
Taxation and Contributions
Income tax rates:
Progressive, 0% to 45%
Employee contributions:
Approx. 20–25% of gross salary
Employer contributions:
30–45% of gross salary (varies by sector and benefits)
EOR ensures correct deductions and filings with French authorities
Types of Leave
Annual Leave:
Minimum 25 paid days per year
Sick Leave:
Paid after 3 days, partially covered by social security, employer may top up
Maternity Leave:
16 weeks, extendable in certain cases
Paternity Leave:
28 days
Public Holidays:
11 national holidays annually
Employee Benefits
- Mandatory health insurance and pension contributions
- Paid vacation and sick leave
- Family allowances, unemployment insurance, and retirement benefits
- Optional benefits: meal vouchers, private healthcare, transportation subsidies
Termination Process
- Termination requires valid reason and formal procedure
- Notice period: 1–3 months depending on tenure and role
- Severance pay: Based on years of service and salary
- Employers must comply with collective bargaining agreements and labor codes
Employer Taxes
- Employer social security contributions: ~30–45% of gross salary
- Includes pension, health insurance, unemployment insurance, and workplace accident insurance
- EOR ensures accurate calculation and timely payment
EMPLOYER TAXES
~30–45% (Estimated)
FAQ's
How STM Manages Employment in India
Establishing an entity in every hiring location can be cost-prohibitive. STM simplifies the process by employing and paying your Indian talent on your behalf. We handle the intricate HR procedures and employment contracts in compliance with local laws. You can conveniently approve invoices through our platform. By partnering with an Employer of Record (EOR), you can efficiently and compliantly hire top talent globally.
Payment Processes for Indian Employees
We streamline payroll management for your Indian workforce. Employee hours, leaves, holidays, bonuses, and commissions are meticulously calculated. STM invoices you around the 15th of each month in your preferred currency, including US Dollars (USD), Euros (EUR), British Pounds (GBP), Canadian Dollars (CAD), or Singapore Dollars (SGD). This ensures your Indian employees receive their salaries promptly in Indian Rupees (INR). Simplify further by consolidating your global team’s salaries into a single payment.
Full-time Employees vs. Global Contractors
Contractors engage with multiple companies and are self-employed, while full-time employees focus solely on their employer and receive additional benefits like health insurance, equity, and time off. While hiring international contractors can be cost-effective, it comes with misclassification risks. Partnering with an EOR for contractor onboarding and payments ensures compliant and timely compensation.
Reliable Employee Support
Our platform offers accessible support for employees and employers with inquiries about benefits, visas, and global employment in India. Utilize the chat function to connect with our expert team. Additionally, every STM client is assigned a dedicated account manager, serving as the primary contact for global HR assistance.
