An insight into the mandatory seniority bonus in the import-export industry.
Some CBAs provide for mandatory bonus payments such as the CBA of the food industry. These can have different natures: seniority bonus to reward the employee’s loyalty, an annual bonus – independent of the company’s or employee’s performance, or a vacation bonus (CBA Syntec IT industry).
The French collective bargaining agreement applicable to companies with an import-export or international trade activity (Convention collective nationale de l’import-export et du commerce international) provides for a mandatory seniority bonus payment to certain staff with a seniority of at least two years.
Seniority bonus – import-export industry
The CBA applicable to import-export companies stipulates a seniority bonus for certain staff: so-called ’employés’ with a job classification E1-E8, ‘agents de maîtrise’ M9-M12, and ‘cadres’ up to a job classification C15.
The bonus depends on the seniority of the employee. It is payable to employees with two years of seniority.
| Seniority / Bonus in % | 2 yr. | 4 yr. | 6 yr. | 8 yr. | 10 yr. | 12 yr. | 14 yr. | 15 yr. | 17 yr. | 20 yr. |
|---|---|---|---|---|---|---|---|---|---|---|
| Job classification E1–E8 | 2 % | 4 % | 6 % | 8 % | 10 % | 12 % | 14 % | 15 % | 17 % | 20 % | Job classif. M9–M12, C13-C15 | 2 % | 4 % | 6 % | 8 % | 10 % | 12 % | 14 % | 15 % max. | 15 % max. | 15 % max. |
The seniority bonus is calculated based on the minimum salary of the CBA import-export & international trade, based on the employee’s job classification.
It must be mentioned separately on the French Payslip.
Example: Seniority bonus
Employee with 5 years of service, job classification M 9 (corresponding to a minimum salary of € 1971,00), contractual salary of € 2300 per month
Monthly salary :
| Basic Salary | 151,67 | € 15,16 | € 2300,00 |
|---|---|---|---|
| Seniority Bonus | € 1971,00 | 4 % | € 78,84 |
| Total monthly salary | € 2378,84 |
Bonus payments are mandatory in many industries. With up to 20% of the minimum salary, the mandatory bonus in the import-export industry can have a significant financial impact on the company.
Your French payroll provider will advise on these particularities, so that you can plan ahead.