French Employment Contracts: CDI, CDD, Trial Periods, and Termination

Employment relationships in France run on two contract types: the Contrat à Durée Indéterminée (CDI), an open-ended permanent contract that the Code du travail treats as the default, and the Contrat à Durée Déterminée (CDD), a fixed-term contract allowed only for specific temporary needs. Anyone hiring or being hired in France should understand which one applies, what the written document must contain, and how the relationship can be ended, because French employment contracts carry protections and procedural rules that cannot be waived by simply drafting around them.

The CDI Is the Default

Article L1221-2 of the Code du travail calls the open-ended contract the “normal and general form” of the employment relationship.1Légifrance. Code du Travail Article L1221-2 A CDI has no end date. If someone is hired without a fixed term specified in writing, the law automatically classifies the relationship as a CDI with full protections.

Because permanent status is the default, a full-time CDI does not technically require a written document under national law. If nothing is put on paper, a permanent contract is presumed to exist. In practice, nearly every employer drafts one anyway to lock in the job title, duties, salary, and applicable collective agreement. Skipping the written version does not release the employer from any obligation; it only makes future disputes harder to manage.

The CDD Is a Regulated Exception

Article L1242-1 flatly prohibits using a CDD to fill a position tied to the company’s normal, permanent activity.2Code du Travail Numérique. Code du Travail L1242-1 The employer needs a specific qualifying reason, such as covering for an absent employee, handling a temporary spike in workload, or staffing a seasonal operation. The written contract must state that reason explicitly.

The CDD must be delivered to the employee in writing within two business days of the start date. Failing to provide a written contract, or failing to state a valid justification, exposes the employer to reclassification of the arrangement as a CDI by a labor court. That reclassification risk is what keeps the CDD from being used as disposable labor for ongoing work.

Renewals and Maximum Duration

A CDD can be renewed a maximum of two times, provided the original contract includes a renewal clause or the employer proposes an amendment before the initial term expires. The total duration, including renewals, generally cannot exceed 18 months. Certain situations allow different limits: contracts tied to an exceptional export order or the departure of an employee whose position is being eliminated can run up to 24 months, while contracts covering urgent safety work or bridging the gap until a permanent hire starts are capped at 9 months.3Service-Public.fr. Fixed-Term Contract (CDD)

Waiting Period Between CDDs

After a CDD ends, the employer cannot immediately fill the same position with another CDD. A mandatory waiting period (délai de carence) applies. If the completed contract lasted fewer than 14 calendar days, the waiting period equals half its duration. If it lasted 14 days or more, the waiting period equals one-third. Ignoring this rule results in reclassification as a CDI, plus potential liability of at least one month’s salary.3Service-Public.fr. Fixed-Term Contract (CDD)

The Precarity Bonus

When a CDD ends without converting into a permanent position, the employee receives a precarity bonus (prime de précarité) equal to at least 10% of the total gross pay earned over the life of the contract.4Service-Public.fr. Le Salarié Touche-t-il la Prime de Précarité à la Fin d’un Contrat de Travail This makes CDDs meaningfully more expensive than CDIs for the same work, which is the point. The bonus is waived if the CDD converts to a CDI immediately, or in certain cases such as seasonal contracts.

What Every Contract Must Contain

Whether CDI or CDD, a written employment agreement in France should identify both parties (company legal name, employee details), state the job title and classification under the applicable collective agreement, and describe the duties in enough detail that both sides know what the role involves. Compensation terms belong in the document: base salary, any variable components, and how bonuses are calculated. The contract must also specify the workplace location, working hours, and which collective agreement covers the position.

Article L1221-3 requires employment contracts to be drafted in French. A foreign employee has the right to request a translation into their native language, but the French version controls. French courts have held that any document the employee needs to perform their work must be in French; obligations written only in a foreign language are not enforceable against the employee, even if the employee speaks that language fluently. This rule catches many multinational employers off guard when they try to use English-only employment documents in their Paris offices.

Trial Periods

Most CDIs include a trial period (période d’essai) that lets both sides evaluate the fit before the full protections of permanent employment lock in. Article L1221-19 caps the initial trial at two months for blue-collar workers and general employees, three months for technicians and supervisors, and four months for senior managers (cadres).5Légifrance. Code du Travail Article L1221-19 A single renewal is possible if the applicable collective agreement authorizes it and the contract mentions the option, but the total cannot exceed double the original cap.

Either party can end the relationship during the trial period without going through formal dismissal procedures. Notice still applies, and it scales with how long the employee has been on the job:6Service-Public.fr. Trial Period for an Employee

  • Fewer than 8 days of service: 24 hours’ notice
  • 8 days to 1 month: 48 hours’ notice
  • 1 to 3 months: 2 weeks’ notice
  • Beyond 3 months: 1 month’s notice

When the employee initiates the departure, notice is shorter: 24 hours if present fewer than 8 days, 48 hours otherwise.

Working Hours and the Right to Disconnect

The legal workweek in France is 35 hours. Any hour beyond that counts as overtime and triggers premium pay, typically set by the applicable collective agreement. Absolute daily and weekly ceilings also apply: no more than 10 hours in a single day (extendable to 12 in exceptional circumstances), no more than 48 hours in any single week, and no more than 44 hours averaged over any rolling 12-week period.7Service-Public.fr. Working Hours of a Full-Time Private Sector Employee Aged 18 or Over In truly extraordinary situations, the labor inspectorate can authorize up to 60 hours in a single week.

Senior managers and certain autonomous professionals often work under a different system called the forfait jours, which tracks workload by days per year rather than hours per week. The legal maximum is 218 working days per year, though an employee can agree to work up to 235 or more. Because these employees are not clocking hours, the daily and weekly caps do not apply directly. Instead, the employer must ensure compliance with mandatory daily and weekly rest periods.

Article L2242-17 requires companies with 50 or more employees to negotiate annually on the right to disconnect from digital work tools, protecting rest periods, holidays, and personal life from the creep of after-hours emails and messages. If negotiations do not produce an agreement, the employer must unilaterally adopt a charter defining how the right to disconnect works in practice, including training for managers and staff on reasonable use of digital tools. The law deliberately avoids prescribing specific methods, leaving each company to decide whether that means blocking email servers after a certain hour, setting response-time expectations, or something else.

How the Contract Can End

French law provides three primary pathways out of a CDI, each with its own procedural requirements. Getting the procedure wrong is where employers burn the most money, because a labor court can award significant damages for a botched termination even when the underlying reason was legitimate.

Resignation

An employee can resign at any time. French law does not set a statutory notice period for resignations. Instead, the required notice is determined by the applicable collective agreement, the employment contract itself, or local custom. In practice, notice periods run from one to three months depending on the industry and the employee’s classification.8Service-Public.fr. Resignation of an Employee With a Permanent Contract (CDI)

Dismissal

An employer who wants to terminate a CDI must follow a rigid procedure. The process starts with a formal letter summoning the employee to a preliminary interview, sent by registered mail or hand-delivered against a signed receipt. At least five full working days must pass between the employee receiving the letter and the interview date. During the interview, the employer explains the reasons for the proposed dismissal and hears the employee’s response. The employee has the right to bring an adviser. After the interview, the employer must wait at least two additional working days before sending the dismissal letter, which must state the specific grounds.9Service-Public.fr. Procedure for Dismissal on Personal Grounds

Dismissal can be based on personal grounds (misconduct, poor performance, repeated absences) or economic grounds (financial difficulties, technological change, restructuring). Economic dismissals carry additional obligations, including consultation with employee representatives and, for larger layoffs, a formal social plan. Regardless of the basis, a dismissed employee with at least eight months of service is entitled to statutory severance pay calculated at one-quarter of a month’s salary per year of service for the first ten years, increasing to one-third of a month per year beyond that. The applicable collective agreement may set a higher formula.

Rupture Conventionnelle

The rupture conventionnelle lets employer and employee agree to part ways without the formality of a dismissal or the limitations of a resignation. It has become one of the most common exit routes in France because it preserves the employee’s eligibility for state unemployment benefits.

The process requires at least one face-to-face meeting between the parties. Once both sides sign the agreement, a 15-calendar-day withdrawal period begins during which either party can retract without explanation. The severance payment negotiated in the agreement cannot be lower than what the employee would have received under the statutory dismissal formula.10Service-Public.fr. Conventional Break-up of a Private Sector Employee

After the withdrawal period expires, the signed agreement is submitted to the regional labor authority (DREETS) for administrative approval. The DREETS has 15 working days to review the document and verify it meets legal requirements. If the authority does not respond within that window, the agreement is considered tacitly approved.11Ministère du Travail, de la Santé et des Solidarités. TéléRC – Accueil

Non-Compete Clauses

French law permits non-compete clauses in employment contracts, but courts will void any clause that fails to meet four requirements: it must protect a legitimate business interest, be limited in duration, be limited geographically, and include financial compensation paid to the employee after departure.12Cour d’Appel (French Ministry of Justice). What Compensation Is Associated With Non-Compete Obligations All four conditions must be satisfied simultaneously; drop any one and the entire clause falls.

The financial compensation requirement is what distinguishes France from many other countries. The employer must pay a monthly allowance throughout the restricted period, typically between one-third and one-half of the employee’s former monthly salary. Courts have struck down clauses with “derisory” compensation as effectively uncompensated. Most collective agreements cap the restriction at one to two years and limit the geographic scope to the surrounding region. The employer can waive the non-compete when the employee departs, but the waiver conditions are often defined in the collective agreement or the contract, and missing the deadline to waive can lock the employer into years of payments.

Total Cost of a French Hire

Both parties to an employment contract pay substantial social contributions on top of gross salary. The employer’s share averages roughly 45% of gross pay, covering health insurance, family benefits, retirement, unemployment insurance, and workplace accident coverage. The employee’s share runs approximately 22% to 25% of gross pay, funding retirement pensions, supplementary retirement, and a portion of health coverage. These rates vary by salary level because many contributions are assessed using ceilings, so the effective percentage decreases as earnings rise. For anyone budgeting a French hire, the employer should expect to pay close to 1.45 times the gross salary once all contributions are included.

Where Disputes Go

The Conseil de Prud’hommes is the specialized labor court that handles individual disputes between employees and employers. Every case begins with a mandatory conciliation phase, where a panel attempts to broker a settlement; each side can be heard separately and confidentially during this stage. If conciliation fails, the case moves to a judgment phase before a panel composed equally of employer and employee representatives.13Service-Public.fr. Conseil de Prud’hommes (CPH) – Déroulement d’une Affaire Since 2017, damages for unfair dismissal have been subject to a statutory scale that sets minimum and maximum awards based on the employee’s years of service and the size of the company. Proceedings can take well over a year, especially in busy jurisdictions like Paris, so the conciliation phase is worth taking seriously.