The Guide to Mutual Termination in Wage Portage

1. Wage Portage: A Unique Form of Employment

In wage portage, a consultant, also referred to as a ported employee, can carry out professional activities independently while benefiting from the advantages of employee status. This mode of work thus offers an interesting alternative for those who hesitate to fully embark on entrepreneurship. Specifically, wage portage relies on a tripartite relationship between the consultant, the client company, and the portage company. The consultant performs services on behalf of a client, but it is the portage company that pays them a salary based on the revenue generated. This company also takes care of the administrative, financial, and social management of the ported employee (contract establishment, payment management, social declarations, etc.). In return, it deducts management fees from the consultant's remuneration, usually calculated as a percentage of the revenue. Often, the consultant signs an employment contract (CDI or CDD) with the portage company, but they retain significant freedom in managing their assignments. This model is particularly suited for professionals seeking the flexibility of independence while maintaining the security of employee status, especially regarding social rights (unemployment, retirement, etc.).

2. Can One Initiate a Mutual Termination in Wage Portage?

In wage portage, this process is entirely possible, but it presents certain specificities related to this particular work framework. Mutual termination can indeed be considered when the ported employee and the portage company wish to amicably end the contract, whether at the end of a mission or if the consultant wishes to leave the ported employee status. However, this option is only feasible if the ported employee has signed a permanent contract (CDI) with the portage company and has a minimum seniority of 8 months for executives or 6 months for technicians and supervisory staff (TAM). In contrast, for ported employees on fixed-term contracts (CDD), mutual termination is not applicable. Instead, they may receive a precariousness indemnity, equivalent to 10% of their salary, at the end of their contract.

3. The Steps of Mutual Termination in Wage Portage

Mutual termination in wage portage involves several steps to ensure an amicable separation between the ported employee and the portage company. Request and Agreement: The consultant and the portage company reach a mutual agreement to proceed with the termination of the contract. Negotiation of Indemnities: The amount of termination indemnities is negotiated based on remuneration and seniority, respecting legal thresholds. Drafting and Signing: The agreement is drafted and signed; it must indicate the end date of the contract as well as the amount of indemnities. Withdrawal Period and Validation: 15 days for withdrawal, followed by 15 days for validation by the DIRECCTE. End of Contract and Rights: On the set date, the contract ends, the employee receives their indemnities, and may claim unemployment benefits if eligible.

4. Indemnities in Mutual Termination: Conditions and Calculation

Similar to the classic employment system, the amount of termination indemnities in wage portage is calculated considering several key factors: Seniority: The longer the contract duration with the portage company, the higher the indemnity will be. Remuneration: The legal indemnity for mutual termination cannot be less than a quarter of a month's salary per year of seniority for employees with less than 10 years of seniority. Beyond 10 years, it rises to a third of a month's salary per year of seniority. Mission: The calculation of remuneration may take into account the various missions performed for clients during the work period. For example, a ported employee with 11 years of seniority in a CDI with a portage company and an average gross salary of 3,700 euros over the last 12 months would calculate the termination indemnity as follows:

(3,700 x 1/4 x 10) + (3,700 x 1/3 x 1)

= 9,250 + 1,233.33

= 10,483.33 euros.

The total indemnity thus amounts to 10,483.33 euros.

It should be noted that the exact amount of the indemnity must be negotiated between the two parties, but it must respect the legal ceilings and minimums set by the Labor Code. Mutual termination allows the ported employee to benefit not only from the financial indemnity but also from the right to unemployment benefits, provided that the employee has contributed long enough and meets the eligibility criteria. This security helps to compensate for job loss while providing a smooth transition to find a new mission or redirect their career.

For IT professionals, choosing an appropriate portage company is essential to ensure optimal management of their contract, missions, and any mutual terminations. This is where Weepo stands out, as a company specialized in wage portage for IT experts. With simplified administrative management and personalized advice, Weepo supports you at every step of your professional journey, allowing you to focus on your missions while benefiting from the advantages of employee status.

Have more questions?

CDI in wage portage offers job stability while retaining the flexibility of portage.

Wage portage or self-employment Wage portage is suitable if you are looking for the security of employment, while self-employment offers fiscal independence.

Wage portage or freelance status Wage portage provides social protection, unlike the freelance status.

What are the advantages between wage portage and a SASU? Wage portage minimizes administrative procedures compared to creating a SASU.