Learn about the legal processes for employee termination and severance in Saint Pierre and Miquelon
In Saint Pierre and Miquelon, a territorial collectivity of France, French metropolitan labor law is followed for most employment regulations, including the legal requirements for notice periods during employment termination.
French labor law outlines minimum notice periods based on employee seniority, applicable to both employer and employee terminations unless a more favorable provision exists in the employment contract or a collective bargaining agreement. These minimums are:
During an employee-initiated termination (resignation), the minimum notice period is:
The minimum notice periods can be extended through collective bargaining agreements or individual employment contracts, but cannot be shortened by the employer. In cases of serious misconduct by the employee, immediate dismissal without notice period may be permissible, following specific procedures outlined in the French Labor Code.
While the minimum notice periods provide a baseline, it's crucial to consult the specific terms of the employment contract and any applicable collective bargaining agreements. These documents might stipulate different notice period durations, potentially more favorable to either the employer or the employee.
Please note that this guide provides a general overview based on French labor law. Specific situations or regional variations might necessitate consulting a qualified legal professional for in-depth guidance.
Severance pay, also known as indemnité de licenciement, in Saint Pierre and Miquelon is regulated by French labor law.
An employee must meet certain criteria to be eligible for severance pay:
There are two main methods of calculating severance pay, and the employer must choose the one that is most favorable to the employee:
This calculation involves multiplying the monthly gross salary by 1/4 and the years of service, plus 1/10th per year of service after 10 years.
This calculation involves at least 1/5th of the monthly gross salary per year of service with a minimum of 1/3rd of the monthly gross salary, depending on applicable collective bargaining agreements.
The calculation of severance pay must exclude overtime pay, bonuses, benefits in kind, and end-of-contract payments. An optional contractual termination agreement may result in a higher severance pay than the legal minimum.
Certain types of employment may be exempt from severance pay entitlements:
This is a general overview of severance pay regulations in Saint Pierre Miquelon. For specific details or situations, it's advisable to consult the French Labor Code (Code du travail) and any applicable collective bargaining agreements.
Terminating an employee's employment contract in Saint Pierre and Miquelon requires adherence to a specific legal process. There are different types of termination, including termination by the employer (Licenciement), resignation by the employee (Démission), and agreed termination (Rupture Conventionnelle).
The termination process by the employer involves a preliminary notice, a pre-dismissal interview, and a notification of dismissal.
There are key procedural requirements to adhere to, such as respecting disciplinary procedures in cases of misconduct-related dismissals, including providing proof and allowing the employee to defend themselves. Also, seeking prior authorization from the labor inspector in specific cases, such as the dismissal of a protected employee.
There are special cases such as collective redundancies where stricter rules apply, often involving consultation with employee representatives and the development of social plans. It's important to note that the termination process might vary slightly based on specific industry regulations outlined in collective bargaining agreements relevant to Saint Pierre and Miquelon.
We're here to help you on your global hiring journey.