Chapter II: Introduction of profit-sharing.

The purpose of profit-sharing is to involve employees collectively in the company’s results or performance. It is random in nature and results from a calculation formula linked to these results or performances. It is optional.

Any company which satisfies the employer’s obligations in terms of staff representation may institute, by agreement or by unilateral decision of the employer, in accordance with the procedures set out respectively in I and II of article L. 3312-5, a collective profit-sharing scheme for employees. An employee of an employers’ group may benefit from the profit-sharing scheme set up in each of the group’s member companies to which he or…

In companies employing at least one employee and less than two hundred and fifty employees, the following may benefit from the provisions of this Title: 1° The managers of these companies ; 2° The chairmen, general managers, managing directors or members of the management board in the case of legal entities; 3° The spouse or partner under a civil solidarity pact of the head of the company if they have…

The sums allocated to the beneficiaries in application of the profit-sharing agreement or in respect of the profit-sharing supplement mentioned in article L. 3314-10 are excluded from the basis of assessment for the contributions defined in articles L. 131-6 and L. 242-1 of the Social Security Code and articles L. 731-14, L. 731-15 and L. 741-10 of the Rural and Maritime Fishing Code. These sums may not replace any remuneration…

I.-Incentive agreements are concluded for a period of between one and five years, using one of the following methods: 1° By collective labour agreement ; 2° By agreement between the employer and the representatives of representative trade union organisations in the company; 3° By agreement reached within the social and economic committee; 4° Following ratification, by a two-thirds majority of the workforce, of a draft agreement proposed by the employer….

In undertakings or groups which have a profit-sharing agreement and which work together with other undertakings on a specific and coordinated activity, an agreement may be concluded to provide for all or some of the employees to benefit from a project-based profit-sharing scheme. This project profit-sharing agreement is negotiated under the conditions provided for in this chapter if it only involves all or some of the employees of the same…

Any company may apply a profit-sharing scheme concluded at branch level, provided that the branch agreement has been approved pursuant to article L. 3345-4. Companies wishing to apply the approved branch agreement shall conclude an agreement to this effect under the conditions provided for in I of article L. 3312-5. Companies with fewer than fifty employees may opt to apply this scheme by means of a unilateral document signed by…