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Article L1251-45 of the French Labour Code

Temporary work contractors may only operate after making a declaration to the administrative authority and obtaining a financial guarantee in accordance with article L. 1251-49. A prior declaration is also required when a temporary work contractor moves the registered office of its business or opens branches, agencies or sub-offices. Any temporary work agency ceasing its activities must declare this to the administrative authorities.

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Article L1251-46 of the French Labour Code

The temporary employment agency provides the statement of assignment contracts to the institution mentioned in Article L. 5312-1, in particular for the purpose of verifying employees’ entitlement to the replacement income provided for in Article L. 5421-2. This institution communicates the information to the administrative authority in order to carry out its control missions.

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Article L1251-47 of the French Labour Code

When a temporary employment agency operates without having made the declarations provided for in Article L. 1251-45 or without having obtained the financial guarantee provided for in Article L. 1251-49 , and there is a serious risk of harm to the temporary employee as a result, the court may order the closure of the business for a period not exceeding two months. The matter is referred to the court by…

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Article L1251-48 of the French Labour Code

A decree of the Conseil d’Etat shall determine : 1° The content and procedures for the declarations provided for in Article L. 1251-45 and the deadline for submitting them to the administrative authority; 2° The type of information that must be included in the statement of employment contracts provided for in Article L. 1251-46, as well as the frequency and procedures for its presentation.

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Article L1251-49 of the French Labour Code

The temporary employment contractor must at all times provide evidence of a financial guarantee ensuring payment in the event of default by the contractor: 1° Wages and related benefits ; 2° Compensation under this chapter; 3° Compulsory contributions due to social security bodies or social institutions; 4° Reimbursements which may, where applicable, be the responsibility of employers in respect of social security bodies and social institutions under the conditions set…

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Article L1251-50 of the French Labour Code

The financial guarantee may only result from a guarantee undertaking given by a mutual guarantee company, a collective guarantee body, an insurance company, a bank or a financial institution authorised to give guarantees. It is calculated as a percentage of the annual turnover of the company concerned. It may not be less than a minimum set annually by decree, taking account of average wage trends.

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Article L1251-52 of the French Labour Code

In the event that the temporary employment agency defaults and the surety is insufficient, the user company is substituted for the temporary employment agency for the payment of the sums still owed to the temporary employees and to the social security bodies or social institutions to which these employees belong, for the duration of the assignment carried out in the company.

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Article L1251-54 of the French Labour Code

To calculate the workforce of a temporary work agency, account is taken of : 1° The permanent employees of this company, determined in accordance with article L. 1111-2; 2° Temporary employees who have been linked to this company by assignment contracts for a total period of at least three months during the last calendar year.

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