Problems relating to Trade and Investment on France

4. Restrictions on withdrawal of operations
Issue	Issue details	Requests	Reference

(1) Restricted Retreat of Business

- Penalty payment to the province (of the enterprise location) may result from retreat of operations or enterprises accompanied by discharge of employees in excess of certain numbers.
Issues: Upon retreat of business operation, compensation becomes payable not only to employees, but also to the provincial administration where the enterprise office is located. In addition, in case of retreat by an enterprise of more than 50 to less than 1,000 employees, the amount and details of penal compensation are uncertain, as these are left to the discretion of the provincial bureau of labour.

- It is requested that GOF takes the step to:
-- expand the scope of retreat that triggers penalty payment (not from 50 or more but, for example, from 200 or more), and
-- stipulate into written form the amount and the terms and conditions of compensation.

- French Labour Act Article L1233-87

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