Under the terms of a profit-sharing agreement, the portion of net management surpluses distributed among employees in application of article 33° of the aforementioned law of 19 July 1978 may be allocated in whole or in part to the constitution of the special profit-sharing reserve. In this case, the special profit-sharing reserve and the investment provision are set up before the end of the financial year.
A profit-sharing agreement concluded within a société coopérative de production may stipulate that the use of the special profit-sharing reserve in company shares, whatever the legal form of the company, is reserved for members employed in the company.
Employees are informed of the existence and content of the profit-sharing agreement by any means provided for in the agreement or, failing that, by posting.
Within six months of the end of each financial year, the employer submits a report to the social and economic committee or to any specialised committee set up by this committee. This report includes in particular: 1° The elements used to calculate the amount of the special employee profit-sharing reserve for the past financial year; 2° Precise information on the management and use of the sums allocated to this reserve.
When the Social and Economic Committee is called upon to meet to examine the report relating to the profit-sharing agreement, the issues thus examined are the subject of separate meetings or of a special mention on its agenda. The Committee may be assisted by the Chartered Accountant provided for in article L. 2325-35.
Where there is no social and economic committee, the report on the profit-sharing agreement is sent to each employee present in the company at the end of the six-month period following the end of the financial year.
The amount allocated to an employee under the profit-sharing agreement is recorded on a separate sheet from the pay slip. This sheet mentions : 1° The total amount of the special profit-sharing reserve for the past financial year; 2° The amount of rights allocated to the person concerned; 3° The deduction made in respect of the general social contribution and the contribution to the reimbursement of the social debt; 4°…
All employees are informed of the amounts and values they hold in respect of profit-sharing within six months of the end of each financial year.
When the profit-sharing agreement has been set up after employees likely to benefit from it have left the company, or when the calculation and distribution of the special profit-sharing reserve takes place after such a departure, the sheet and note provided for in Article D. 3323-16 are also sent to these beneficiaries to inform them of their rights.
The salaries to be used to calculate the amount of the special employee profit-sharing reserve referred to in Article L. 3324-1 are the income from employment as taken into account to determine the basis of assessment for contributions defined in Article L. 242-1 of the Social Security Code. When the profit-sharing agreement provides that the employees of an employers’ group made available to the company benefit from its provisions, the…
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182, rue de Rivoli
75001, Paris France
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is a Registered Trademark of
PETROFF LAW FIRM (SELARL LEGASTRAT)
182, rue de Rivoli
75001, Paris France
RCS Paris n°814433470
Paris Bar Registration n° (Toque) C2396
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