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Article L3322-3 of the French Labour Code

When a company that has entered into a profit-sharing agreement employs at least fifty employees, the obligations set out in this section do not apply until the third financial year after the profit-sharing threshold is crossed, if the agreement is applied continuously during this period. At this date, a profit-sharing agreement may be concluded under the conditions of article L. 3324-2 on a basis of calculation and distribution that is…

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Article L3322-6 of the French Labour Code

Participation agreements are concluded in one of the following ways: 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 contract proposed by the employer. If there are one or more representative trade union…

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Article L3322-7 of the French Labour Code

By way of derogation from article L. 3322-6, a group agreement may be concluded between the companies of the same group or only some of them. This agreement is concluded in one of the following ways: 1° Between the representative of the companies concerned and the employee(s) belonging to one of the companies in the group mandated for this purpose by one or more representative trade union organisations; 2° Between…

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Article L3322-9 of the French Labour Code

Any company may apply a participation scheme concluded at branch level, provided that the branch agreement has been approved pursuant to article L. 3345-4. Undertakings wishing to apply the approved branch agreement shall conclude an agreement to this effect under the conditions provided for in Article L. 3322-6. Undertakings with fewer than fifty employees may opt to apply this scheme by means of a unilateral document signed by the employer,…

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Article L3323-1 of the French Labour Code

The profit-sharing agreement determines : 1° The conditions under which employees are informed of the application of the provisions of this Title ; 2° The nature and terms of management of the rights granted to employees over the sums constituting the special profit-sharing reserve provided for in Article L. 3324-1.

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Article L3323-2 of the French Labour Code

The profit-sharing agreement may provide for the allocation of sums constituting the special profit-sharing reserve: 1° To accounts opened in the name of the interested parties in application of an employee savings plan meeting the conditions set out in Title III ; 2° (repealed). These provisions apply to agreements concluded after 1st January 2007. All profit-sharing agreements in existence on the date of promulgation of Law no. 2010-1330 of 9…

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Article L3323-3 of the French Labour Code

Notwithstanding article L. 3323-2, profit-sharing agreements concluded within sociétés coopératives de production may provide for the entire special profit-sharing reserve to be invested in company shares or in blocked current accounts. The same agreements may stipulate that, in the event of the special profit-sharing reserve being used in blocked current accounts, members who are employed in the company are entitled, notwithstanding article L. 225-128 of the Commercial Code, to allocate…

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Article L3323-5 of the French Labour Code

If a profit-sharing agreement has not been signed within one year of the end of the financial year in respect of which the employees’ rights have arisen, this situation is recorded by the Labour Inspector. The sums allocated to employees are placed in a current account that the company must use for investments and, subject to the cases provided for by decree in application of article L. 3324-10, frozen for…

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