Home > Miscellaneous > Payroll cost reduction during coronavirus crisis

Payroll cost reduction during coronavirus crisis

Is it possible to reduce payroll cost during coronavirus crisis ?

Payroll cost reduction may be helpful during coronavirus crisis ?

We may have a payroll cost reduction opportunity, especially  during coronavirus crisis.

impact of coronavirus on your business may be huge

If your company is strongly affected ( decrease of sales, supply issues), you may use technical unemployment device  and obtain financial compensation.

My payroll in France team can help you . Do not hesitate to contact us.

  • How does it work ?

Employer neet first ask to DIRECCTE (french national labor and employment Direction)   authorisation to use this French technical unemployment device. This ask is done online here.

You will obtain an answer before 2 weeks. if you have this authorisation, your employee will stay at home and you will spare money.

  • What will happen for your employee ?

Your employee will receive from you a technical unemployment indemnity of arround  65% of his gross wage.

(instead of approx 76% in usual time . More information here)

  • How much are you going to save ?

First, indemnity mentionned above is not submitted to social contributions.

Then, Employer will receive around 1172 euros per month for a full time job (whatever the salary of the employee)

Frequently, labor cost is   reduced by 50%

  • How long does  it work ?

Your company may use this technical unemployment device during 6 months.

Moreover, initial authorisation may be renew one time.


For more information, please contact us.