Minimum Wage Level to Increase
December 20, 2018
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The situation
Effective January 1, 2019, the monthly minimum wage in France will increase to EUR 1,525.50, up 1.8 percent from last year. This will result in the below minimum salary changes:
A closer look
- Existing employees. Employers of foreign nationals must increase the foreign national’s minimum salary to comply with the new rule. Immigration applications that do not meet the minimum salary will be refused.
- Initial and renewal applications. Employers of foreign nationals seeking to obtain or renew a permit on or after January 1, 2019 must increase the foreign national’s minimum salary to comply with the new rule. Immigration applications that do not meet the minimum salary will be refused.
- Pending applications. Employers of foreign nationals with pending work permit applications as of January 1, 2019 must increase the foreign national’s minimum salary to comply with the new rule. Immigration applications that do not meet the minimum salary will be refused.
Reminders on other requirements
- Benefits and allowances. As before, benefits and allowances may only be included in the minimum salary calculation if they are fixed, taxable, subject to social security and visible on the pay slip. Reimbursement of relocation expenses such as allowances for food / transportation / housing / per diem cannot be included. An economic adjustment or assignment premium may be included if paid by the home employer and visible on the pay slip.
- Currency. As before, employers are required to guarantee the salary in EUR regardless of payroll location and/or exchange rate fluctuations.
Background
The minimum wage was increased by one percent for 2018. The Talent Passport category was introduced in France as part of sweeping immigration law reforms in January 2017. Since the salary thresholds for some Talent Passport types are linked to the minimum wage, they are indexed at the same time and at the same limited percentage.
Looking ahead
Fragomen will report on upcoming minimum salary requirement changes as they occur.
Fragomen in France is Fragomen France AARPI., operating as an immigration consultancy/law firm in France. This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].
