What is Portage Salarial in France?

While the Employer of Record (EOR) model is common in many countries, France has its own unique approach. Portage Salarial is the recognised and compliant alternative, allowing businesses to engage talent without setting up a local entity

For businesses looking to hire in France, balancing flexibility with strict labour regulations can be a challenge.

Navigating French employment law requires not only compliance but also a careful understanding of the unique legal landscape. This is where Portage Salarial becomes crucial—offering a compliant, flexible solution that allows companies to engage talent without the need to establish a local entity.

Unlike many other countries where the Employer of Record (EOR) model is widely accepted, the French legal system has not recognized EOR as compliant with local regulations. This makes Portage Salarial the most appropriate and legally sound alternative for hiring in France.

In this article, we’ll explore how Portage Salarial operates within the EOR framework and why it’s the best option for businesses expanding into France.

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What is Portage Salarial?

Portage Salarial is a flexible employment arrangement in France that enables businesses to hire top talent while remaining fully compliant with local labor laws. In this model, a freelancer becomes an employee of a portage company—like Omnipresent—while continuing to provide services to the client company. This allows businesses to avoid setting up a legal entity in France, reducing both administrative and legal burdens.

Here’s how the tripartite relationship works:

• The Portage Company: Acts as the legal employer, handling payroll, taxes, social contributions, and employee benefits.
• The Ported Employee: The freelancer or consultant providing services while benefiting from full employee rights, such as healthcare and paid leave.
• The Client Company: Engages the freelancer’s services through the portage company, ensuring compliance with French labor laws while avoiding administrative complexities.

This structure provides the flexibility businesses need while ensuring compliance with stringent French labour regulations.

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Why Portage Salarial is the best operating model for EOR in France

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France is known for its employee-friendly labour laws and strict regulatory environment, which makes traditional EOR models challenging to implement. Portage Salarial, however, is fully recognized and regulated by French law, making it the only compliant solution for businesses looking to hire in France without establishing a local presence.

Here's why Portage Salarial is the optimal solution for businesses:

Ensure legal compliance

Since EOR is not formally recognized in France, Portage Salarial provides the only compliant solution that meets all regulatory requirements.

Avoid legal risks with consulting models

Some providers offer non-compliant alternatives, such as consulting models, which expose businesses to legal risks like fines or worker reclassification. These models do not provide the same legal protection as Portage Salarial, which ensures full compliance with French labor laws by making the portage company the legal employer of the worker.

Benefit from employee protections

While maintaining their independence, freelancers under the Portage Salarial model receive full employment protections, such as healthcare, pensions, unemployment rights and paid leave. This setup ensures that businesses provide a compliant, legally sound working arrangement without sacrificing flexibility.

Simplify HR and payroll operations

Portage Salarial allows companies to delegate complex HR and payroll tasks to the portage company, which manages everything from social contributions to employee benefits. This enables businesses to focus on their core operations, knowing that all local employment obligations are being met seamlessly.

By using Portage Salarial as the operating model for EOR, businesses can hire in France with full confidence, avoiding legal complications and ensuring that both they and their freelancers remain fully protected under French law.

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How Omnipresent ensures compliance with Portage Salarial in France

At Omnipresent, compliance is at the heart of our operations. When hiring in France, it is crucial to follow the Portage Salarial legal framework to ensure that both businesses and freelancers are fully protected under French law. We’ve worked closely with legal experts to adapt our EOR services to align seamlessly with Portage Salarial, ensuring every step of the process complies with strict local regulations.

Here’s how Omnipresent guarantees full compliance through Portage Salarial:

Legally structured employment contracts

Freelancers engaged through Portage Salarial are employed directly by Omnipresent, receiving legally binding employment contracts that meet all French labour requirements. This includes compliance with minimum salary thresholds, contract durations, and full employment protections.

Comprehensive employee benefits

Freelancers enjoy the full range of employee benefits under the Portage Salarial model, including access to social security, health insurance, and pension contributions. Omnipresent ensures that all contributions are managed and processed according to French regulations, providing peace of mind to both the freelancer and the client company.

Managing assignment duration and alternatives

Under French law, Portage Salarial assignments are limited to a maximum of 36 months. Exceeding this limit can expose the client to risks, such as potential fines or worker reclassification. Omnipresent helps clients navigate these risks by closely monitoring assignment durations and offering alternatives like transitioning to a Virtual Employer (VE) model, allowing businesses to continue engaging talent without legal complications.

Transparent financial management

Freelancers working through Omnipresent have access to a dedicated Compte d’activité (activity account), which offers complete transparency on financial details such as management fees, professional expenses, and net remuneration. This transparency is a requirement under the Portage Salarial Collective Bargaining Agreement (CBA), ensuring accountability and compliance in every transaction.

Financial guarantees for additional protection

Portage Salarial companies are required by law to maintain financial guarantees to protect employees in the event of non-payment or insolvency. Omnipresent subscribes to a leading financial guarantee provider, ensuring that freelancers and clients are fully protected from financial risks.

By adhering to these strict compliance measures, Omnipresent ensures that businesses can operate in France with confidence, avoiding the risks associated with non-compliance.

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Benefits of Portage Salarial for businesses and talents

Portage Salarial offers several advantages for both businesses and freelancers, making it the ideal solution for companies operating in France through an EOR model.

For businesses

Simplified compliance

Omnipresent handles all compliance matters, including payroll, taxes, and employee benefits, ensuring that businesses avoid legal risks while meeting French regulatory requirements.

Reduced administrative burden

Managing HR, payroll, and employee benefits in France can be complex. Omnipresent’s Portage Salarial solution takes care of these tasks, allowing businesses to focus on their core operations.

Flexible access to talent

Companies can engage highly skilled talent for both short- and long-term projects without the need to commit to a traditional employment contract or establish a legal presence in France.

For employees

Employment benefits with flexibility

Freelancers working through the Portage Salarial model enjoy the freedom of independent work while benefiting from formal employment protections, such as healthcare, pension contributions, and unemployment benefits.

Focus on core work

Freelancers can focus on delivering their services, knowing that Omnipresent manages all administrative tasks, including payroll, taxes, and compliance.

Legal and employment security:

Portage Salarial ensures that freelancers are protected under French labor law, providing them with a secure legal employment relationship while maintaining their independence.