Do’s & Don’ts | This month: Reducing headcounts: the RCC guidebook
The Macron labor law reform created a new way to implement downsizing on a voluntary basis. The so called “rupture conventionnelle collective” (collective mutually agreed terminations) allows employers and employees to circumvent the heavy administrative process that accompanies traditional economic layoffs.
This new system clearly comes with advantages but must be carefully carried out in order to not jeopardize the entire operation.
Here are some do’s and don’ts to keep in mind before jumping in.
Do set out with the negotiation partners (trade unions) the maximum number of departures, as well as what category of employees is concerned.
Don’t mistake the RCC system for an easy way to downsize without limits.
Do make sure that you’ve evaluated the other options first: you won’t be able to change your mind and dismiss the employees instead
Don’t make the mistake of simply offering financial indemnification: the system requires additional offers in the form of outplacement, external job offers, support for starting a business, etc.
Do remember that this is a voluntary process and put in place a proper call for applications. Yes, people are going to apply to be terminated in this manner.
Do take into account many different criteria in selecting the beneficiaries. The factors cannot only be age and seniority.
Don’t mistake this for a standard economic layoff. This process is mutual and one of negotiation. The employer is not in a position to strong-arm anyone.
Don’t forget to include the works council (CSE) in the process.
Flichy Grangé Avocats will be able to assist you with every step necessary to ensure your company’s proper handling of this new process.
History
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Looking forward | Loi Pacte: making French business great again
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New Legislation | In brief: France aims for gender equality in the work place
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Do’s & Don’ts | This month: Reducing headcounts: the RCC guidebook
Published on : 10/07/2018 10 July Jul 07 2018NewsNewsletter / Do’s and Dont’sThe Macron labor law reform created a new way to implement downsizing on a vo...
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Liability of the parent company in redundancies due to faulty interference
Published on : 25/06/2018 25 June Jun 06 2018NewsEven when a co-employment situation cannot be characterized, it’s still possi...
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Upcoming reform in the employee savings: mesures to develop employee savings in small and medium-sized companies will be presented by the government mid-June. The draft law will then be submitted to parliament.
Published on : 15/06/2018 15 June Jun 06 2018NewsA bill to promote the growth of employee savings plans should be presented to...
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Mobile employees : the home-client commute is not paid as working time
Published on : 15/06/2018 15 June Jun 06 2018NewsIn 2015, the Court of Justice of the European Union considered that in the ab...