Group dismissal procedure.

The Employment Protection Plan (PSE)

In this article, we present a dismissal procedure of more than 10 people within 30 days in a company in France with more than 50 employees. Actually there is another procedure to respect for companies in France with less than 50 employees.

An employer who is considering this kind of dismissal procedure for economic reasons must establish and implement an Employment Protection Plan (PSE). This Plan as well as the procedure (see below) is mandatory in companies with at least 50 employees, when the proposed dismissal concerns at least 10 employees over a period of 30 days. Its purpose is to avoid dismissals or at least to limit the number of dismissals, as provided for in Article L 1233-61 of the French Labor Code.

The PSE includes a reclassification plan to facilitate the reclassification of employees whose dismissal could not be avoided, particularly that of older employees or with social or qualification characteristics making their professional reintegration particularly difficult. Article L 1233-62 of the French Labor Code details the measures provided for by the PSE, such as: internal or external reclassification actions, new business creations by the company, etc.

All modes of dismissal, including early retirement and conventional unique settlements in the process is taken into account. [Read more…]