Call Us + 33 1 84 88 31 00

Article R1234-4 of the French Labour Code

The salary to be taken into consideration for the calculation of the redundancy payment is, according to the formula that is most advantageous for the employee:
1° Either the monthly average of the last twelve months preceding the redundancy, or where the employee’s length of service is less than twelve months, the monthly average of the remuneration for all the months preceding the redundancy;
2° Or one third of the last three months. In this case, any annual or exceptional bonus or gratuity paid to the employee during this period is taken into account only up to the limit of an amount calculated accordingly.

Original in French 🇫🇷
Article R1234-4

Le salaire à prendre en considération pour le calcul de l’indemnité de licenciement est, selon la formule la plus avantageuse pour le salarié :
1° Soit la moyenne mensuelle des douze derniers mois précédant le licenciement, ou lorsque la durée de service du salarié est inférieure à douze mois, la moyenne mensuelle de la rémunération de l’ensemble des mois précédant le licenciement ;
2° Soit le tiers des trois derniers mois. Dans ce cas, toute prime ou gratification de caractère annuel ou exceptionnel, versée au salarié pendant cette période, n’est prise en compte que dans la limite d’un montant calculé à due proportion.

Need help with this article? Get help from a French lawyer

Our French business lawyers are here to help.
We offer a FREE evaluation of your case.
Call us at +33 (0) 1 84 88 31 00 or send us an email.

Useful links

You have a question in French Business Law?

Our French business lawyers are here to help.
We offer a FREE evaluation of your case.
Call +33 (0) 1 84 88 31 00 or send us an email.

All information exchanged through this website will be communicated to lawyers registered with a French Bar and will remain confidential.