As of January 1, 2025, companies with between 11 and 49 employees are required to implement a value-sharing scheme with their employees, provided they have achieved a net taxable profit equal to at least 1% of their revenue for three consecutive financial years (2022, 2023, and 2024). This requirement stems from the Law of November 29, 2023, on value sharing, which aims to better involve employees in their company’s economic performance.

Employers can choose from three mechanisms: the implementation of a profit-sharing or incentive agreement, the payment of a value-sharing bonus (PPV), or contributions to an employee savings plan (such as a PEE or PERCO). These schemes can be established either through a collective agreement or, under certain conditions, by unilateral employer decision.

The goal is to encourage a fairer distribution of profits and increase employee engagement in business results, particularly in medium-sized enterprises that have traditionally been excluded from mandatory profit-sharing schemes. Companies already covered by a value-sharing mechanism or those not subject to this obligation (such as sole proprietorships) are not affected by this new requirement.

Employers have until June 30, 2025, to either conclude an agreement or organize the payment of a PPV for the year 2025. Specific social security and tax exemptions may apply, depending on the chosen scheme and the beneficiaries’ income levels.