1. Anticipate your tax and social security obligations. Remember to put you in good standing with the tax authorities before going on leave.
Perform, with the URSSAF, a deposit payment request on payroll taxes you owe that you will pay on your return from holiday.
Also, if you pay the VAT under the actual speed regime, it is possible to pay a deposit for the month during which the business is closed and pay the balance the following month. Note that this VAT deposit must be at least equal to 80% of the amount paid the previous month.
2. Personnel Management
It is possible for employees to take their holiday dates during the closure of the company, provided the company goes about it in advance and performs certain actions.
If you have one, you should consult the employee representative comitee and staff representatives, agree and fix with them the period of paid holidays and the start order. Employees must, in any case, be sufficiently informed in advance.
When you impose your employees days off when they have not acquired sufficient rights, they could, until last summer, benefit with exceptions, of an allocation of “partial unemployment” paid by the DIRRECTE after request to cover compensation for the employee. But since July 1, 2013 partial unemployment has been replaced with “partial activity”. The request is hence non-existent.
A possible solution for these cases is to give them extra days in advance of the following year, if they wish. Otherwise, they will be forced to ask for an unpaid leave.
3. Payment of Paid Leave
During the period of leave, the employer must pay, in lieu of the remuneration, Paid leave allowance.
The allowance is based on two rules (Labour Code, article L. 3141-22.)
– one tenth of the total gross compensation received during the reference period;
– the salary continuation rule: the employer pays the employee’s regular wages as if he had worked.
Just compare the two methods of calculation to apply the most advantageous.
Whatever the calculation method, must take into account all elements of compensation: base salary, bonuses and allowances (increases for overtime and night shifts are included).
On the other hand, will be excluded premiums or interests when they have an annual and global character (premium at end of the year, 13th month, performance, productivity or holidays), daily sickness, etc.