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Thematic feature - individual labour/employment disputes and the courts

Foilsithe: 7 July 2004

This article examines how individual labour/employment disputes are handled through the courts in France, as at March 2004.

Download article in original language : FR0403107tFR.DOC

This article examines how individual labour/employment disputes are handled through the courts in France, as at March 2004.

In March 2004, the EIRO national centres in 24 European countries were asked, in response to a questionnaire, to give a brief overview of their country's system for dealing with individual labour/employment disputes through the courts, along with data on: the volume of cases; the costs; the timeframe; alternatives to going to court; and any current debate on these issues. The French responses are set out below (along with the questions asked).

System

Please give a brief description of how disputes concerning individual employees' employment and labour rights are handled in your country by courts, tribunals or other official judicial bodies.

Individual labour/employment disputes are dealt with differently depending on whether they took place in the private sector or the civil service.

In the private sector, the body competent to deal with individual labour/employment dispute cases is the industrial tribunal (Conseil de prud’hommes). These tribunals have jurisdiction over all litigation between employers and employees linked to the conclusion, execution and termination of an employment contract. For example, they have responsibility for all cases relating to probation periods, the setting and payment of wages, the length of and payment for paid holidays, compensation for non-compliance with dismissal procedures, compensation relating to notice periods, compliance with the provisions of collective agreements, promotion, harassment, discrimination, disciplinary procedures and individual rights to vocational training and retirement. Legislation has expressly established that the tribunals have jurisdiction over temporary agency workers. They also deal with cases arising from employment-related disputes between employees.

There are around 270 industrial tribunals in France. Each tribunal is divided into specialised sections for management staff, industry, commerce, agriculture and miscellaneous activities, in order to respond more effectively to the particular circumstances of these areas.

The industrial tribunals are solely comprised of non-professional elected lay judges, evenly split between those representing employers and employees. The industrial tribunal elections, organised by the Ministry of Labour every five years, are a significant event in French industrial relations. They enable the influence wielded by the various trade unions and employers’ associations to be gauged through the support for the various slates run by these organisations (FR0301107F).

Procedures in industrial tribunals aim to be simple and easily accessible. Hearings are oral and, formally, do not require the services of a lawyer. Each case is heard first in the relevant section of the tribunal (agriculture, commerce, industry, management, miscellaneous activities etc) before a 'conciliation committee' (bureau de conciliation), made up of two tribunal members (an employee and an employer representative), who should make every effort to resolve the dispute amicably. The conciliation committee does not deliver a verdict: it is the two parties who decide whether or not to agree. The conciliation committee may decide on particular measures (presentation of legal documentation, payslips etc) that are immediately binding. If disagreement persists, the conciliation committee passes the case on to a 'judging committee' (bureau de jugement) and possibly orders an investigation (eg through the appointment of a specialist).

The case is then heard by the judging committee, which is composed of at least two tribunal members elected by employers and two elected by employees. The judging committee hears the parties and studies the case. It may summon witnesses and demand that extra investigatory steps be taken. The judging committee’s decision must be made by an absolute majority, and is binding on the parties. However, if the vote is split evenly, there is a final vote, with a professional magistrate assisting the judging committee.

In an emergency, a case may be referred to a 'joint fast-track hearing team', whose jurisdiction covers all the sections of the industrial tribunal. The injunctions made by this team are binding as soon as they are announced, but are provisional - ie they can by amended by the judging committee which then makes a ruling. This team enables urgent measures to be granted in cases where there is relatively little doubt over the facts, to pre-empt damage that may be imminent, or otherwise stop an obviously unlawful state of affairs.

The 'main' decisions handed down by the tribunal (those where the sum claimed is above a certain amount - EUR 3,980 as of 1 January 2004) can be appealed against. The content and the procedures of the case are then reviewed by the local court of appeal (Cours d’appel), which is made up of professional judges (who are civil servants employed by the Ministry of Justice). Court of appeal rulings may be challenged in the Cour de cassation (the highest court in the French judicial system), but only the procedures, not the content, are reviewed

The decisions arrived at by industrial tribunals are implemented either freely by those concerned or by a tribunal bailiff.

Trade unions and employers’ associations are not active participants in individual employment dispute cases, as such. However, they may offer indirect backing, especially by supporting the parties (with legal aid or by supplying a lawyer etc).

Individual employment disputes between civil servants and their employers are not dealt with by the industrial tribunals but by the administrative courts (tribunaux administratifs), which are comprised of professional magistrates. The principles for determining individual employment disputes are similar to those operating in the private sector, apart from the appeals procedure being carried out before an administrative court of appeal. The Conseil d’Etat is the highest administrative tribunal in France.

Number of cases/disputes and costs

How many cases have been dealt with in your legal system by each category of court? Where possible, please provide statistics on the number of disputes in your country each year from 1990 to 2003 (or the latest year for which data are available). Where possible, please provide statistics on costs.

Tables 1 and 2 below set out details of the new cases submitted to industrial tribunals and courts of appeal each year from 1995 to 2002 (the first and last years for which data are currently available). The figures are from the Ministry of Justice's Statistical Yearbook (Annuaire statistique de la Justice) and concern the private sector only.

Table 1. New cases referred to industrial tribunals, by type of dispute, 1995-2002
Type of dispute 1995 1996 1997 1998 1999 2000 2001 2002
Total employment relations and social protection (including collective disputes) 155,282 167,752 171,737 191,873 165,960 164,033 171,286 na
Social protection 38 372 63 100 92 13 34 4
Occupational risks 11 93 23 47 28 10 7 10
Individual employment disputes, of which: 148,624 159,921 164,483 185,392 160,221 158,524 166,395 175,940
- application for dismissal to be quashed (challenge to termination of employment contract) 76,116 82,377 82,366 81,470 81,435 81,983 88,192 170,456
- application for dismissal to be quashed (challenge to economic justification for termination of employment contract) 5,137 5,629 6,261 5,348 5,028 4,351 3,853 na
- application for compensation due to breach of employment contract 14,356 13,886 14,369 13,111 13,598 12,607 13,045 na
- application for payment of part of remuneration 42,195 45,053 45,867 65,018 39,499 43,691 42,253 na
- application by employee regarding performance or non-performance of conditions of employment contract 707 756 788 869 769 645 868 na
- application for retraction of disciplinary measure 1,286 1,445 1,328 1,301 1,321 1,219 1,048 na
- application for provision of documents 1,025 883 852 780 669 725 742 na
- other application by employees 5,569 7,526 10,545 15,356 15,859 11,196 14,586 na
- application by employers 2,192 2,343 2,086 2,039 2,021 2,090 1,797 na

Source: Ministry of Justice Statistical Yearbooks.

Notes: figures cover mainland France and overseas départements; in 2002 the breakdown by type of dispute was radically altered, and only the main headings can thus be provided.

Table 2. New employment/labour cases referred to courts of appeal, by type of dispute, 1995-2002
Type of Dispute 1995 1996 1997 1998 1999 2000 2001 2002
Total employment relations and social protection (including collective disputes) 50,261 51,111 53,176 53,649 52,693 53,281 50,741 52,412
Social protection 6,818 8,432 8,769 8,373 7,930 7,241 6,234 6,114
Occupational risks 800 877 833 736 821 910 1,046 1,216
Individual employment disputes, of which: 41,249 40,222 42,423 43,110 42,550 43,643 41,969 43,644
- application for dismissal to be quashed (challenge to termination of employment contract) 30,189 28,331 30,759 31,593 31,397 32,024 30,081 na
- application for dismissal to be quashed (challenge to economic justification for termination of employment contract) 1,625 1,489 1,571 1,605 1,604 1,603 1,342 na
- application for compensation due to breach of employment contract 3,732 4,517 3,916 3,308 3,565 3,269 2,586 na
- application for payment of part of remuneration 4,717 . 4,791 4,753 5,044 4,391 4,860 5,882 na
- application by employee regarding performance or non-performance of conditions of employment contract 85 122 192 146 157 127 164 na
- application for retraction of disciplinary measure 152 132 150 191 166 183 184 na
- application for provision of documents 80 84 77 71 80 77 83 na
- other application by employees 425 504 751 887 895 1,228 1,337 na
- application by employers 238 250 249 263 288 271 309 na

Source: Ministry of Justice Statistical Yearbooks.

Notes: figures cover mainland France and overseas départements; in 2002 the breakdown by type of dispute was radically altered, and only the main headings can thus be provided.

Despite requests made to the relevant bodies, no data on individual employment disputes in the civil service was obtained.

The Ministry of Justice was unable to provide statistics on the costs of the legal procedures relating to individual employment disputes, either for the parties or for the various courts.

Litigation timeframe

Where possible, please provide statistics on the timeframe within which court cases over individual labour/employment disputes are settled.

No official figures are available on how quickly individual disputes are settled.

According to trade union sources, the average waiting period for a case to be heard in an industrial tribunal is increasing year on year, standing at 11.2 months in 2001 compared with 10.2 months in 2000. The number of cases completed is lower than that of new ones being filed, and the backlog of cases is therefore increasing. In 2001, again according to union sources, 162,179 rulings were made by the tribunals, with 171,286 new cases being filed.

The rate of appeal against judgments delivered by industrial tribunals is increasing, with 56.9% of 'main' judgments appealed against in 2000.

Other means of resolving individual disputes

Is there any kind of legal mechanism forcing or encouraging the two parties (management and employees) to resolve a dispute by prior negotiation? Where there is such a mediation process foreseen, please give details. Is there any evidence that mediation has had an effect on the volume of claims handled by courts? Are there any corporate policies built into the structure of organisations in your country specifically to deal with disputes? How are the employees’ representative bodies involved in the process?

As a general rule in the private sector, before ending up in a court or tribunal, the possibility of an amicable resolution of an individual employment/labour dispute is always open. Within the company the worker thus has the option of contacting workforce delegates (FR0309102T) in order for them to take the matter up with the employer (as these delegates are legally entitled to do, though union delegates may de facto fill this role in many firms) and attempt to find an amicable solution. Furthermore, the application of employment law and regulations, including collective agreements, in the workplace is monitored by the Labour Inspectorate (Inspection du travail), a section of the Ministry of Labour. All workers have the option of calling on the Labour Inspectorate to have the relevant labour regulations applied. The Inspectors may also play a conciliation role, though in practice this is restricted to collective disputes.

For nearly a decade, the rise in labour law litigation, due in particular to individual employment disputes, has been pushing parliament to seek other, non-judicial ways of resolving disputes. 'Legal mediation', which derives from the law of 8 February 1995, gives parties to a dispute a three-month period to seek agreement with the assistance of a third party. The authorities and some particularly overburdened courts and tribunals strongly encourage the protagonists in disputes to use this alternative, without it really lowering the amount of new cases.

Lastly, as noted above (under 'System'), before a case is formally considered an industrial tribunal, it goes through an important conciliation process performed by the tribunal's conciliation committee.

Debate

Please summarise any current debate on the issue of employment/labour disputes litigated by courts in your country.

The trade unions and employers’ associations defend the French system of resolving individual disputes and regularly reiterate their support for the joint industrial tribunals. However, some recent research has questioned to some extent the effectiveness of the tribunals, especially in terms of their relationship to the economic climate (see 'Les Prud'hommes sont-ils efficaces? Contentieux prud'homal et conjoncture économique 1830-1999'[Are the Prud’hommes effective? Prud’hommes cases and economic climate 1830-1999], Ioana Marinescu, diplôme d'études approfondies thesis supervised by Thomas Piketty, Ecole des hautes études en sciences sociales, Paris, September 2002). Moreover, in its annual report for 2000 the Court of Auditors (Court des comptes) challenged the remuneration paid to the tribunal members during their 1993-7 term and the costs of organising the tribunal elections.

Pressure from the Court of Auditors and the soaring number of cases submitted to the various courts has led the government to create a system of mediation (see above under 'Other means of resolving individual disputes') and strongly to advise its use, in an attempt to unblock the legal system, particularly the section dealing with individual employment disputes. The tripartite advisory Economic and Social Council (Conseil économique et social, CES), was entrusted with reflecting on labour dispute prevention and resolution by the Prime Minister in 1997. The subsequent CES report and recommendations highlighted the usefulness of mediation options, but mainly for collective disputes (see Prévention et résolution des conflits du travail[Labour dispute prevention and resolution], Guy Naulin, CES, Paris, 1998). Trade unions and employers’ associations appear rather divided over the use of mediation in individual employment disputes.

The principal difficulty for trade unions and employers’ associations supportive of the current system for resolving individual disputes through the industrial tribunals arguably stems from the decreasing turn-out for in elections to them - down to under a third of those eligible to vote in 2002 (FR0301107F). The debate under way on this important issue is, however, a limited one. (Maurice Braud, IRES)

Molann Eurofound an foilsiúchán seo a lua ar an mbealach seo a leanas.

Eurofound (2004), Thematic feature - individual labour/employment disputes and the courts, article.

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