When employees in France fall ill, different rules apply for German companies compared to cases of illness in France. Continued wage payment during sickness in France relies on a combination of various benefits. Under certain conditions, the French social security system covers a portion of the lost earnings, while the employer is required to make additional payments depending on statutory, collective bargaining, or company-level regulations.
It is therefore crucial for German companies with employees in France to be thoroughly familiar with French regulations. In particular, the indemnités journalières (IJSS), the waiting period, and the applicable convention collective (collective bargaining agreement) play a significant role.
Continued payment of wages during sickness in France: Who pays & when?
The French system for continued wage payment during illness differs from the German model in one key respect: as a general rule, employees do not automatically receive their full salary from their employer during a standard illness. Instead, benefits from the French health insurance system (Assurance Maladie) are typically paid first.
These so-called indemnités journalières (IJSS) are intended to partially offset the loss of earnings during the period of incapacity for work. Under certain conditions, an additional payment from the employer may also apply. The amount and duration of such payments depend on factors including the employee’s length of service and the applicable collective bargaining agreement (convention collective).
For companies, this means that several factors must be taken into account in the event of an employee’s illness. In addition to the medical certificate confirming incapacity for work, it is essential to assess entitlements regarding the social security system (Sécurité Sociale) and any potential supplementary employer benefits.
Our Alaris lawyers specializing in contract, labor, and commercial law are well-versed in all key aspects of continued wage payment during illness in France. Contact us today!
Social Security sickness benefits
The French health insurance fund (Caisse Primaire d’Assurance Maladie – CPAM) pays the sick employee a state sickness benefit known as Indemnités Journalières de la Sécurité Sociale (IJSS).
- Amount and calculation: The IJSS generally amounts to 50% of the daily gross reference salary from the three months prior to the work stoppage.
- Maximum limits: For cases of illness commencing from July 2026 onwards, the maximum gross daily IJSS is €42.97.
- Duration: Basic coverage is provided for a maximum of 360 days within a three-year period (special rules apply to long-term chronic illnesses).
- Waiting period (Délai de carence): Sécurité Sociale payments begin only on the fourth day of incapacity for work; the first three days are not compensated by the state fund.
Supplementary continued payment of wages by the employer
If the period of absence exceeds the statutory waiting days, the employer is required—subject to certain conditions—to top up the state sickness benefit (known as indemnisation complémentaire).
- Conditions: Under the French Labor Code (Code du travail), this entitlement applies if the employee has been with the company for at least one year, has submitted the medical certificate on time, and is receiving benefits from the CPAM.
- Amount and duration: The law mandates a top-up to 90% of the usual gross salary for the first 30 days of illness. For the subsequent 30 days, the entitlement drops to 66.66%. These periods increase incrementally based on the length of service.
- Statutory employer waiting period: Under the Code du travail, the statutory employer supplement applies only from the 8th day of illness (a 7-day waiting period), unless a more favorable provision applies.
What role do collective bargaining agreements play in the continued payment of wages?
In France, the statutory provisions of the Code du travail (Labour Code) merely establish a minimum baseline. In practice, collective bargaining agreements (conventions collectives) can significantly expand upon statutory entitlements and are often decisive in determining the specific amount and duration of continued wage payments.
Virtually every French company is mandatorily subject to an industry-wide collective bargaining agreement, which is determined by the business’s primary activity.
Continued remuneration and waiting periods under the collective agreement
In the vast majority of cases, collective bargaining agreements deviate from statutory regulations in favor of employees. They often provide for significantly more comprehensive protective measures:
- Elimination of the waiting period: Many collective bargaining agreements (e.g., in the IT sector or wholesale trade) require the employer to top up wages starting from the very first day of illness, without any waiting period.
- 100% continued remuneration: Numerous industries mandate a top-up to 100% of net or gross salary from the onset of the illness.
- Shorter qualifying periods: The requirement for one year of continuous employment is often waived, meaning that even new employees are entitled to continued wage payments from their first day on the job.
For German employers, a careful review of the applicable collective bargaining agreement is essential. In practice, relying solely on statutory regulations quickly leads to errors in payroll accounting.
Reporting Sickness & Medical Certificates of Incapacity for Work in France
In the event of incapacity for work, French law prescribes a specific procedure. The doctor issues a three-part medical certificate (Arrêt de travail) to the employee.
- Obligations and deadlines: The employee must submit pages 1 and 2 to the relevant health insurance fund (CPAM) within 48 hours. Page 3 must reach the employer within the same timeframe.
- Consequences of delays: If the employee fails to submit the certificate on time, the Social Security authorities (Sécurité Sociale) may reduce or withhold the payment of daily sickness allowances (IJSS). Furthermore, entitlement to the employer’s supplementary payment is forfeited for the period of the delay.
- Employer’s right of verification (Contre-visite médicale): Parties responsible for paying the employer’s supplement have the right to have the incapacity for work verified by an independent doctor of their choosing. If the employee refuses the examination or is not present during an unannounced check, the employer may cease paying the supplement for the remainder of the absence.
What rules apply in the event of an employee’s prolonged illness?
In the event of a prolonged illness, the employment relationship generally remains in effect, while the employee’s obligation to work is suspended due to incapacity for work. At the same time, social security benefits and-where applicable-supplementary employer benefits may continue to be provided.
However, as the illness persists, other employment-related issues become increasingly important. These include, in particular, the return to the workplace, potential workplace adjustments, and the question of whether the employee can continue to perform their previous duties.
Return to work after a prolonged illness & occupational medical examination
In the event of an absence exceeding 60 days due to a standard illness, French law mandates a compulsory return-to-work examination (visite de reprise).
- Role of the occupational physician: The examination is conducted by the responsible occupational physician (médecin du travail) and must take place no later than eight days after the employee’s return.
- Outcome: The occupational physician determines whether the employee is fully fit for work, requires workplace adjustments, or is permanently unfit for the position (inaptitude).
Illness & Termination: What Do Employers Need to Consider?
In France, dismissal based solely on health status is expressly prohibited and is considered unconstitutional discrimination. Dismissal during an illness is permissible only under very strict conditions:
- Operational disruption: Prolonged or repeated absence causes significant disruption to business operations.
- Necessity of replacement: The disruption necessitates permanently filling the position (not merely on an interim or fixed-term basis) by hiring a new employee.
- Medical unfitness (inaptitude): If the occupational physician officially determines that the employee is unfit to perform the job and an internal reassignment fails, the employment relationship may be terminated on this basis.
Illness, workplace accident & occupational disease: What are the differences?
When it comes to continued wage payment during illness in France, the underlying reason for the incapacity for work is the primary factor. A distinction must be made between a standard illness and a workplace accident (accident du travail) or an occupational disease (maladie professionnelle). This distinction has direct implications for how the case is handled under social security law.
In the case of a workplace accident, for instance, the standard three-day waiting period generally does not apply to daily allowances (IJ); instead, benefits commence the day after the accident. The employer is generally responsible for paying wages for the day of the accident itself.
Special rules regarding Assurance Maladie (health insurance) benefits also apply to recognized occupational diseases. Additionally, there may be entitlements to employer-provided benefits and other protections under labor law.
Correctly classifying the case of illness is therefore crucial for companies. An incorrect classification can affect both the level of benefits and the employer’s other obligations.
What do German companies with employees in France need to consider?
German parent companies employing staff in France—whether through a subsidiary or a registration as a foreign company without a permanent establishment (Firme étrangère sans établissement en France – FEAE)—face specific requirements:
- Avoid applying German rules: Practices such as the continued payment of wages for six weeks must not be applied in France.
- Integration with French payroll processing (Paie): The monthly electronic social security declaration (DSN – Déclaration Sociale Nominative) must immediately reflect any adjustments regarding work absences.
- Utilize the subrogation procedure: In practice, many employers make advance payments. They continue to pay the employee’s salary and have the daily social security allowances (IJSS) reimbursed directly by the CPAM (subrogation de salaire). This requires correct handling within the payroll system.
- Precise documentation: Records concerning deadlines for sick leave notifications, medical certificates, and communications with authorities must be meticulously archived to ensure compliance during URSSAF audits.
Ensuring legally compliant continued payment of wages during sickness in France
Continuing to pay wages during sickness-related absences in France requires a solid understanding of French labor and social security law. The interplay between the Sécurité Sociale (social security system), the Code du travail (Labor Code), and the relevant industry-wide collective bargaining agreement leaves no room for one-size-fits-all solutions. German companies employing staff in France must adapt their processes and employment contracts to local regulations.
As a Franco-German law firm based in Paris, Alaris Law assists German companies with all matters regarding French labor law. We review your employment contracts, identify the applicable collective bargaining agreement, and provide legally sound guidance on every aspect of wage continuation, occupational health, and personnel management in France. Contact us today!