Is wage portage compatible with talent passport status?

The question of compatibility between wage portage and the “talent passport” status is becoming increasingly important in practical terms, both for employers and for highly qualified foreign employees wishing to work in France under this regime.

Wage portage is defined by Article L1254-1 of the Labor Code as "the organized whole consisting of: 1° On the one hand, the relationship between a company known as a ‘wage portage company’ providing a service and a client company benefiting from this service, which gives rise to the conclusion of a commercial contract for the provision of wage portage services; 2° On the other hand, the employment contract concluded between the wage portage company and an employee designated as the ‘ported employee’, who is remunerated by this company."

This system is therefore based on a three-way relationship: the employee, the umbrella company (legal employer), and the client company (beneficiary of the service). Article L1254-24 of the Labor Code specifies that "the umbrella company shall exclusively carry out umbrella company activities. Only an umbrella company may enter into umbrella employment contracts."

The umbrella employee must demonstrate expertise, qualifications, and autonomy that enable them to seek out their own clients and agree with them on the terms and conditions of their services and their price, as stated in Article L1254-2 of the Labor Code: “The employee must demonstrate expertise, qualifications, and autonomy that enable them to seek out their own clients and agree with them on the terms and conditions of their services and their price.”

However, it should be noted that certain activities are excluded from the scope of wage portage. Article L1254-5 of the Labor Code states that “the personal services activities mentioned in Article L. 7231-1 cannot be the subject of a wage portage employment contract.” This restriction does not call into question the general compatibility of wage portage with the “talent passport” status, but requires vigilance regarding the nature of the activity performed.

The lawyers at TERRAVOCATS provide legal assistance to foreigners who find themselves in this very specific situation.