New law limits intracompany transfers to 3 years

IMPACT – HIGH

What is the change? Under France’s recently implemented immigration overhaul, intracompany transferees (formerly salarié en mission détaché) can no longer renew their status after three years.

What does the change mean? After three years, the ICT must either depart France and apply for a new ICT work permit or apply in-country to change status to Talent Passport – EU Blue Card or Talent Passport – Salarié en mission (on local payroll).

• Implementation time frame: Immediate.
• Visas/permits affected: ICT détaché (formerly salarié en mission détaché).
• Who is affected: Companies assigning intracompany transferees to France seconded to France (on foreign payroll).
• Impact on processing times: The change involves additional processing for ICTs wishing to stay longer than three years in France.
• Business impact: Businesses will need to plan for the additional cost, travel and gaps in employment for affected assignees. Additionally, if ICTs apply to change status to the Talent Passport EU Blue Card categories, they must be put on a local payroll.
• Next steps: Companies should identify affected ICTs and work with their BAL professional to assess their options for affected individuals.

Background: France recently implemented an overhaul of its immigration categories and procedures. Among the changes, the category of ICT détaché is limited to three years maximum. Previously, ICTs on secondment could renew for additional three-year permits.

Under the new law, the options beyond three years are:

1. The assignee may depart and apply for a new permit under the ICT détaché status. At this time, authorities have not imposed a cooling-off period that would require a minimum stay outside the country before reapplication.
2. The assignee may change status in-country from ICT détaché  to Talent Passport – EU Blue Card or Talent Passport – Salarié en Mission. Although assignees will not need to leave France, they will not be able to work during the pendency of the application. Additionally, the employee must be locally hired in France and will not be able to remain on the foreign company’s payroll.

BAL Analysis: Multinational companies with ICTs assigned to France are encouraged to discuss their options with their BAL professional.

This alert has been provided by the BAL Global Practice group and our network provider located in France. For additional information, please contact your BAL attorney.

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