UK or French contract?

[cardiffonion]

Was asked at interview with a large French company whether a UK or French contract was prefereable.

They advised that although a setting up a French contract presented them with more difficulty than a UK one, they would be willing to do either.

Any good advice out there?

(Background - We are relocating our main residence if the job comes about and we/wife hopes to start a Gite business)

[Hegs]

There are two separate items here, the contract itself and the social security benefits accrued. Either will depend on what you are actually offered.

From my personal experience, in terms of the written contract, the French contract will typically give you better job security (assuming it's a permanent - CDI - contract). Beyond that most of the terms and conditions in a French contract depend on what collectively bargined "convention" you will fall under which depends on the industry of the company and your role in it (cadre/non-cadre). You might also get a nice anti-competition clause that pays you after you leave for NOT working for a competitor which can be quite lucrative.

The only situation I can see that a UK contract would be legal if you were to work in France would be if you were to join a UK company then immediately to do a temporary transfer to a French office of the company. In that case I believe you can still pay UK social security contributions for a limited period.

In terms of benefits, pound for pound the French social system gives you much better benefits but your employer pays much more for them in terms of direct salary taxes (about 40% vs 12% for the UK).

[Will]

As Hegs says, without knowing the terms of either contract or what the work actually is, it is impossible to answer the question. If you are being paid the same under either, and it is your intention to live in France, then the French contract will almost certainly suit you better - as Hegs says, the security and benefits can be considerable - and, arguably, will be the only one you can actually work in France under on a legal and permanent basis. If by 'contract' then you mean working under contract as a self-employed person then the situation gets even muddier and you could get into a lot of bother with the social security charges.

I would strongly recommend that rather than rely on the amateur advisors like us, who only have part of the story anyway so can only deal in the basic principles, you should contact an accountant well versed in French and British employment, taxation and social security matters. The chances of you or us missing a small but important part in either contract are considerable and the consequences potentially severe, and will be difficult or impossible to undo should you get it wrong.

[Hegs]

> you should contact an accountant well versed in French and British employment, taxation and social security matters

True, if you can find one and if they are prepared to talk to non-millionaires. I never did.

[Will]

I have one based near Rennes, probably the wrong end of France for most people. [:D] There must be others, just a matter of rooting them out.

[cardiffonion]

Thanks Willand Hegs.

Could anyone recommend any such accountants in and around Chatellerault or Tours?