First steps begin in plan to reform Code du Travail

France’s new government is set to move ahead this month with the first steps in its plan to reform labour laws, the Code du Travail, using edicts called ordonnances to cut delays.

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Prime Minister Edouard Philippe said they would introduce enabling legislation to the new parliament and MPs and senators would be asked to vote on the plan to “entrust the government” with the job of drafting edicts.

If passed, the first edicts will be issued “before the end of summer”.

The aim is to avoid the months of conflict and bitter debate in the parliament that ended with the last government forcing though its Loi Travail, by speaking directly to company heads, unions and labour representatives to get their views on change.

Mr Philippe said the edicts would contain “the fruits of these discussions” which would be “intense and complete” – but added that he was “determined” there would be change. The first meetings, held in May, showed the government’s priorities would be to:

  • Set a limit on retro­spective compensation claims by ex- employees after losing their jobs, except in the case of harassment or discrimination.
  • Allow companies to call a staff referendum over a deal agreed with a minority union.
  • Create a single system for representing staff across all business types and sizes, to stop problems where companies cannot hire or fire staff as it would change their staff representation needs (this varies with different rules for firms with 1 - 10 employees, 11 - 49 and again from 49 upwards).

The initial talks revealed a desire to move and the government said it was open for other matters to be brought in as a way to encourage compromise.

One issue bosses want but unions oppose is the compte pénibilité under which staff in stren­uous jobs can retire early. Firms see it as being too complex to administer.