Summary
Assistance in hiring young people on work-study contracts
The new aid for hiring young people on work-study contracts was introduced with decree number 2011-523 of May 16, 2011 (publication in the official journal of May 17, 2011).
This aid concerns companies with less than 250 employees and under the following conditions:
- The company must not have practiced redundancy in the 6 months preceding the hiring;
- The employee recruited with a work-study contract must not have belonged to the company in the 6 months preceding the hiring;
- All hirings to increase the number of employees on apprenticeship or professionalization contracts must have been completed.
For companies to be able to benefit from the aid, it will be necessary to demonstrate that the number of people on work-study contracts is really increasing in their company.
In addition, this aid is only issued if the young recruit is under 26 years old.
The contract must start between March 1 and December 31, 2011.
Aid amount
The amount of aid is provided for 12 months and differs according to the type of contract.
For an apprenticeship contract:
Hourly SMIC on January 1 x 151.67 x (SMIC percentage applicable to the apprenticeship contract at the start of the contract less 11%) x 0.14 x 12
For a professionalization contract within a company with less than 20 employees:
Hourly SMIC applicable on January 1 of the current year × 151.67 × (SMIC percentage provided for professionalization contracts on the start date of the contract) × 0.12 × 12
For a professionalization contract within a company of 20 or more employees:
Hourly SMIC applicable on January 1 of the current year × 151.67 × (SMIC percentage provided for professionalization contracts on the start date of the contract) × 0.14 × 12
To better understand the differences between the different work-study contracts, you can consult our article Training in work-study.
Where should the company go to benefit from the aid?
The financial aid granted to companies that hire young job seekers under work-study contracts is managed by the services of Pôle Emploi, provided that the employer is up to date with his declarations and payment of contributions.
It must be requested from Pôle emploi within 2 months of the start of the contract. All requests must be accompanied by a copy of the employment contract.
Payment schedule
A first payment is made during the third month following the start of the employment contract. The amount of this payment corresponds to the assistance granted for the first six months.
A 2nd payment takes place during the 10th month following the start of the employment contract. The amount is equivalent to the assistance granted for the last six months.
If the contract expires, or if it is interrupted at the end of the 1st payment, the second is not due.
If the contract is broken, the aid is paid back to the Public Treasury in its entirety if the break occurs within the first 6 months, or in due proportion to the number of months of presence of the employee in the company if the break occurs within the 6 following months.