Purchasing Power Bonus 2021
July 23th, 2021
We would like to inform you that the purchasing power bonus has been renewed. It must be paid between 01/06/2021 and 31/03/2022. It is optional and can be set up either by company agreement or by DUE (Unilateral Employer Decision).
It must benefit all employees but may be modulated according to the following criteria:
- the level of classification;
- the length of actual presence over the previous year (entry during the year, part-time);
- the length of time worked under the employment contract
- absences for maternity leave, paternity leave, childcare, adoption, parental leave, sick child, seriously ill child, are considered as periods of actual presence. The bonus cannot be reduced as a result of these absences.
> Which employers are concerned?
- Private law employers (companies, certain associations, etc.);
- Public establishments of an industrial and commercial nature (EPIC);
- Public administrative establishments employing private staff;
- ESATs for bonuses paid to their disabled workers.
> Who are the beneficiaries?
- Employees bound by an employment contract on the date of payment of the bonus, or the filing of the agreement or the signing of the DUE;
- Public employees under the authority of the public establishment on the date of payment of the bonus, or of the filing of the agreement or the signing of the DUE;
- Employees made available to the user company awarding the bonus to its employees (on the date of payment of the bonus, or of the filing of the agreement or the signing of the DUE). The company must then notify the ETT, which will be responsible for paying this bonus;
- Disabled workers who are beneficiaries of an employment support and assistance contract on the date of payment of the bonus, or the filing of the agreement or the signing of the DUE and who are covered by ESATs.
In order to benefit from social and tax exemptions, the bonus may not replace any other element of remuneration (conventional or contractual bonus, etc.). The remuneration received by the employee during the 12 months preceding the payment of the bonus must be less than 3 times the annual SMIC (i.e. €55,966.23 for a full-time employee), to be prorated according to the time worked, or the presence of the employee in the case of entry.
> What are the limits of the bonus?
- 1 000 € maximum per employee
- 2 000 € if one of the following conditions is met:
- The employer has put in place a profit-sharing agreement on the date of payment of the bonus or has concluded an agreement before this date which takes effect before 31/03/2022;
- The company is covered by a branch agreement or by a company agreement on the valorisation of "2nd line" jobs which identifies the employees whose tasks have directly contributed to the continuity of economic activity and the maintenance of social cohesion during the state of emergency in 2020 and 2021 *;
- The company has less than 50 employees.
* The agreement to enhance the value of 2nd line jobs must cover, if necessary, at least 2/5 of the following topics:
- Remuneration and classification ;
- Nature of the employment contract;
- Health and safety at work;
- Working hours and work/life balance;
- Training and professional development.
The agreement shall provide for the commitment of the parties to open negotiations on the enhancement of their profession covering at least 2/5 of the above-mentioned topics. The timetable and follow-up procedures for the negotiations must be opened within a maximum of two months from the date of signature of the agreement.
We remain at your disposal for any further information you may require!