This report covers new reporting/declaration obligations concerning the posting of workers on a temporary basis to France.
An employer established outside of France must submit online a “posting of worker’s declaration” to the Labor Inspectorate before the start of the worker’s activity in France (on the SIPSI website : www.sipsi.travail.gouv.fr).
The Labor Law n°2016-1088 of August 10, 20161 introduced new measures for the purposes of combating fraud relating to the secondment of employees in France; some of these measures are not yet fully applicable.
Employers will have to adjust their procedures and practices because the new rules impose additional reporting/declaration requirements in respect of the posting of workers in France and the form that must be submitted.
Specific information must be reported on the form regarding the assignment, the assignee, the foreign company, the host company, the name and contact details of the representative in France, the nature of the services performed, the compensation, the cost of travel, and the assignee’s meals and lodging expenses.
According to Article R1263-3 of the French Labor Code,2 additional information must be provided on the declaration: the employer must indicate on the form that the certificate of coverage was applied for and must indicate the name of the relevant social security administration. This new obligation is applicable from July 1, 2017. However, to date, the form on the SIPSI website is not updated on this point.
As noted above, from October 1, 2016, it is mandatory that the employer complete the declaration online on the French Labor Ministry website called SIPSI (www.sipsi.travail.gouv.fr).
The subcontractor must verify, before the start of the employee’s assignment, that the employer has submitted the declaration. The subcontractor must request a copy of the filed declaration.
If the employer did not submit the posting of worker’s declaration (requirement 1, mentioned above), the subcontractor must submit a secondary declaration within 48 hours following the beginning of the performance of the services. The declaration must be sent to the Labor Office related to the work location. A specific form 15592*01 is available on the French Labor Ministry website. From January 1, 2018, this secondary declaration will have to be submitted via the SIPSI website.3
The information indicated on the declaration is meant to aid the administration with respect to the employer’s compliance with French labor law. All fields must be completed in order to submit the declaration. It is possible to consult or modify a declaration that has already been submitted. However, it is not possible to delete it.
According to a decree of application dated May 3, 2017,4 a fee of EUR 40 per declaration (for each employee) is to be paid by the employer. The date of application of the fee is expected to be effective on January 1, 2018. The payment will be made through a specific website when the declaration is submitted by the employer on SIPSI. If the employer does not submit the declaration, the fee will be owed/paid by the subcontractor.
1 Loi n°2016-1088 relative au travail, à la modernisation du dialogue social et à la sécurisation des parcours professionnels.
2 Article R1263-3 of the Labor Code amended by the Decree n°2017-825 dated May 5, 2017 – article 8.
3 Article L 1262 - 4-1 of the Labor Code and Decree n°2017-825 dated May 5, 2017 – article 10.
4 Décret n° 2017-751 du 3 mai 2017 relatif à la contribution destinée à compenser les coûts de mise en place du système dématérialisé de déclaration et de contrôle des détachements de travailleurs (Decree n°2017-751 of May 3 2017 regarding the contribution to compensate for the costs of setting up the dematerialized system of declaration and control of workers' secondments).
* Please note the KPMG International member firm in the United States does not offer labor law or immigration services.
The information contained in this newsletter was submitted by FIDAL Direction Internationale in France.
© 2018 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
Flash Alert is an Global Mobility Services publication of KPMG LLPs Washington National Tax practice. The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.