Employee placed at the disposal of a foreign subsidiary

Verified 16 August 2022 - Directorate for Legal and Administrative Information (Prime Minister)

In a group with an international dimension, an employee can be made available to a foreign subsidiary. Its status may be that of posted employee (subject to French social protection) or that of expatriate employee (subject to the social protection system of the host country). The contract between the employee and the company of origin in France may or may not be upheld. In all cases, the company of origin must repatriate the employee at the end of the assignment.

Any employee employed by a group with an international presence may be placed at the disposal of a subsidiary abroad.

Warning  

However, a mobility clause intra-group (i.e. a clause in the employment contract which provides in advance for the possibility of transferring an employee to a group business) may not be imposed on him. The same applies to an intra-group clause which provides for a transfer beyond the geographical area specified in the employment contract: the employee's agreement is required.

No employee can be sanctioned, licensee or discriminated against for refusing, on account of his sexual orientation, a geographical transfer to a country where homosexuality is a crime or a crime.

Several formulas are possible:

  • Making available to the employee at the subsidiary with the maintenance of the contractual link (i.e. the obligations and commitments laid down in the employment contract) with the company of origin by agreeable to his initial employment contract
  • Conclusion of an employment contract between the employee and the subsidiary. In this case, the initial employment contract shall be suspended. In addition, an amendment to the initial contract specifies in particular the conditions for the employee's return.
  • Termination of the initial employment contract (by amicable termination or resignation) and conclusion of a new contract between the employee and the subsidiary

If the employee placed at the disposal of a foreign subsidiary concludes an employment contract with that subsidiary, local law shall apply to that contract. However, it may be chosen, subject to conditions, to subject the contract to other legislation.

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If the initial employment contract is maintained

The employee's company of origin must repatriate him (i.e. bring him back to France) and offer him a new job equivalent to the one he had before his departure.

In the case of dismissal for personal reasons by the foreign subsidiary

The company of origin in France must repatriate the employee regardless of his fault (simple, heavy, grave) and must offer him a reclassification. The offer of reclassification must be serious, precise and compatible with the previous functions he had before his departure.

In the event of termination of the initial employment contract by the company of origin

If the company of origin does not intend to keep the employee and has a justification, it must put in place the dismissal procedure.

In principle, the ground for dismissal must be different from that invoked by the subsidiary, unless the employee's failure to act damages the reputation of the company of origin. For example, the employee made available as part of his assignment disparaged his original employer.

Who can help me?

Find who can answer your questions in your region

  • To find out more about the country before leaving France

    Foreigners Embassy or Consulate in France

  • For information on international employment

    International pôle emploi

  • To learn about social protection internationally

    Center for European and International Social Security Liaison (Cleiss)

    General information on social security abroad and assistance in the application of individuals

    By telephone

    +33 (0) 1 45 26 33 41

    Hotline:

    • mondays and wednesdays: 9am to 12.30pm
    • tuesday and thursday: 1:30 p.m. to 4:15 p.m.
    • Wednesday from 9 am to 12:30 pm.

    By E-mail

    Access to contact form

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