Termination of a fixed-term contract (CSD)
Verified 22 June 2020 - Directorate for Legal and Administrative Information (Prime Minister)
The fixed-term contract (fixed-term contract) is terminated either because it is coming to an end or because it is subject to an early termination. Termination of the CSD may result in compensation payments.
On the contract date
Contract Term
The CSD shall automatically terminate at the scheduled end of the employment contract.
If the contract is suspended (sick leave, maternity, etc.), the end date of the CSD is not postponed, except exception..
Warning
where the employee maintains his employment after the expiry of the CSD when no renewal agreement has been foreseen, the contract becomes CDI.. The employee shall retain the seniority acquired during the DDC. The duration of the DDC shall be deducted from the trial period, if any, provided for in the CDI.
Contract term carry forward
The term of the CDD initially fixed may be postponed when the CDD was concluded to replace an employee temporarily absent or whose contract was suspended.
Deferral is possible until the day after the day on which the person replaced returns to office.
Principle
The employee is entitled to a termination indemnity (said precarity premium) when the DDC is completed.
Warning
if the CSD is reclassified as a CDI (i.e. transformed into a CDI by the judge), the termination indemnity remains due.
Where the employee does not receive the allowance
Termination indemnity is not due in the following cases:
- Permanent employment at the end of the CSD (including when the CSD has been renewed)
- Refusal of a permanent offer to an employee for the same or a similar job, with at least equivalent remuneration
- Serious misconduct
- Major Force
- Usual CDD
- Contract assisted (single integration contract (CUI) - Employment skills course (PEC), professionalization contract, learning contract,) unless a collective agreement provides otherwise
- Contract for which the employer has undertaken to provide additional vocational training to the employee
- Contract with a young person during his school or university holidays
- Seasonal contract
Amount
Termination allowance shall be at least 10% the total gross remuneration paid during the contract.
However, this percentage may be limited to 6% by an extended branch collective agreement or agreement (or by agreement or agreement of undertaking or establishment). In this case, compensation must be offered to the employee, in particular in the form of privileged access to vocational training (training action, skills assessment).
Payment
The allowance shall be paid at the end of the contract together with the last salary. It must be on the payslip corresponding.
In the event of a renewal of the CSD, compensation shall be paid at the end of the last contract.
The employer must provide the employee with the following documents:
- Work Certificate
- Job Pole Certification
- Balance of any account
- In the case of participation schemes, profit sharing schemes and wage savings plans within the company, summary statement of all sums and securities saved
Early Break
The employee may terminate his employment contract during the test period for no particular reason.
Outside the trial period, the CDD may be terminated prior to the scheduled term only in the following cases ::
- Agreement between employer and employee
- Employee's request for a permanent contract (permanent contract). To avoid any difficulty, the employee may indicate in writing the breach of contract and provide proof of the intended hiring (e.g., a promise of employment or a contract of employment)
- Serious misconduct
- Major Force
- Unfitness recognized by the occupational doctor
Warning
if it is a protected employee, the breach of contract may take place only after authorization by the labor inspector.
Termination due to permanent hiring
If the employee breaks the DDC due to permanent employment, the employee must comply with a notice (unless the employer waives this).
The duration of the notice shall be calculated at the rate of 1 day per week, taking into account:
- The total duration of the CSD, including renewal, when it has a specific end date
- The duration of the period, when there is no specific term
The count shall be made in working days..
In both cases, the notice cannot exceed 2 weeks.
Breaking of mutual agreement
If the employer and the employee decide to break the CSD by mutual agreement, it is not mandatory to provide notice. If they decide to negotiate an advance notice, they can freely define the duration.
In certain cases of early termination of the CSD, allowances shall be paid to the employee or damages are due to the employer.
Compensation shall not be paid if the termination of the CSD occurs during the trial period.
At the initiative of the employer
Apart from authorized cases, if the employer breaks the CSD in advance, the employee is entitled to damages.
The amount shall be at least equal to the remuneration he would have received until the end of the contract.
At the initiative of the employee
Apart from authorized cases, if the employee breaks the CSD in advance, he must pay the employer damages corresponding to the injury suffered.
Please note
in the event of breach of contract on account of force majeure, the employee shall be entitled to compensation. The amount of the allowance shall be equal to the remuneration which he would have received until the end of the contract.
The employer must provide the employee with the following documents:
- Work Certificate
- Job Pole Certification
- Balance of any account
- In the case of participation schemes, profit sharing schemes and wage savings plans within the company, summary statement of all sums and securities saved
- Labor Code: Articles L1243-1 to L1243-4Early Break
- Labor Code: Articles L1243-5 to L1243-12Deadline Break
- Labor Code: Article L1234-19Work Certificate
- Labor Code: Article L1234-20Balance of any account
- Ministerial Response No. 9599 of 5 March 2013 on the requalification of the employment contract