French Labour Law

Macron Scale: Compensation Caps and Disputes in 2025

DAIRIA Law · 2026-06-30 · 10 min

Macron Scale: Compensation Caps and Disputes in 2025

Introduction: The Macron Scale, an Essential Framework for Employment Litigation

Implemented by the Macron ordinances of September 22, 2017 and codified in Article L.1235-3 of the French Labour Code, the scale for compensating unfair dismissals represents one of the most significant reforms in French labor law in the last decade. By establishing minimum and maximum compensation limits based on the employee’s length of service and the company’s size, this scale has fundamentally altered the approach to employment litigation concerning dismissals.

After years of judicial challenges, the Court of Cassation definitively validated the scale’s compliance on May 11, 2022, ending the resistance from certain labor courts (conseils de prud’hommes). In 2025, the scale is applied in a consolidated manner, but its exceptions, case law, and calculation methods warrant thorough analysis for HR professionals and payroll managers.

The Complete Scale: Minimum and Maximum Compensation

For Companies with 11 Employees or More

The scale establishes minimum (planchers) and maximum (plafonds) compensation expressed in months of gross salary, according to the employee’s seniority at the time of contract termination:

Seniority (Complete Years)Minimum Compensation (Months)Maximum Compensation (Months)
0None1
112
233.5
334
435
536
637
738
838
939
10310
11310.5
12311
13311.5
14312
15313
16313.5
17314
18314.5
19315
20315.5
21316
22316.5
23317
24317.5
25318
26318.5
27319
28319.5
29320
30 and more320

For Companies with Fewer Than 11 Employees

Companies with fewer than 11 employees benefit from reduced minimums, recognizing the limited financial capacity of very small enterprises:

Seniority (Complete Years)Minimum Compensation (Months)
0None
10.5
20.5
31
41
51.5
61.5
72
82
92.5
10 and more2.5

The maximums are identical to those for companies with 11 employees or more. Only the minimums differ.

Calculation Basis: Reference Gross Monthly Salary

Two Possible Calculation Methods

The reference salary used to calculate compensations is determined according to the most favorable formula for the employee:

  • The average gross salary of the last 12 months prior to the notification of dismissal
  • The average gross salary of the last 3 months prior to the notification of dismissal (bonuses and exceptional or annual bonuses are then prorated)

The labor judge automatically retains the formula that is most beneficial to the employee. Components of remuneration taken into account include the base salary, bonuses (such as seniority bonuses, 13th month bonuses, and performance bonuses), in-kind benefits, and regular overtime.

Elements Excluded from Calculation

Excluded from the calculation base are reimbursements for professional expenses, severance payments, sums paid under profit-sharing and incentive plans, as well as compensatory indemnities for paid leave and notice periods (which are due in addition to compensation for unfair dismissal).

Exceptions to the Scale: Cases of Nullity of Dismissal

Situations Outside the Scale

The Macron scale does not apply when the dismissal is deemed null. The nullity cases, exhaustively listed in the law, allow the employee to obtain compensation without a cap, with a minimum of 6 months’ salary (Article L.1235-3-1 of the French Labour Code). The main cases of nullity include:

  • Discrimination (Article L.1132-4): dismissal based on origin, sex, sexual orientation, age, family situation, pregnancy, genetic characteristics, belonging or not to an ethnic group, a nation or a supposed race, political opinions, union activities or mutual aid, religious beliefs, physical appearance, surname, place of residence, health status, loss of autonomy, or disability
  • Moral or sexual harassment (Articles L.1152-2 and L.1153-2)
  • Violation of a fundamental freedom: freedom of speech, right to strike, union freedom
  • Violation of specific protection: protected employees (workplace representatives), pregnant employees, employees on leave due to workplace accident or occupational disease, whistleblowers

Compensation in the Event of Nullity

When the dismissal is null, the employee may request reinstatement in the company. If reinstatement is not requested or is impossible, the employee is entitled to compensation that cannot be less than the salary for the last 6 months. This compensation is without limit, and the judge has wide discretion to set the amount, taking into account the actual harm suffered by the employee.

Consolidated Case Law: Validation by the Court of Cassation

The Ruling of May 11, 2022: A Decisive Turning Point

In two rulings delivered in plenary session on May 11, 2022 (case numbers 21-14.490 and 21-15.247), the Social Chamber of the Court of Cassation definitively ruled that the Macron scale is compliant with Article 10 of Convention No. 158 of the International Labour Organization (ILO) and with Article 24 of the European Social Charter.

The Court found that the scale ensures, in all cases, “adequate” compensation as defined by ILO Convention No. 158, and that the provisions of the European Social Charter do not have direct effect in French law, meaning they cannot be invoked by litigants before national courts to override the application of the scale.

The End of Resistance from Labor Courts

Prior to this ruling, many labor courts resisted applying the scale, arguing that it did not provide adequate compensation for damages in certain individual situations. The labor courts of Troyes, Amiens, Lyon, Grenoble, and Paris had notably issued decisions dismissing the scale in favor of tailored individual compensation.

The ruling on May 11, 2022, conclusively ended this resistance by clearly stating that the scale cannot be disregarded by lower judges, even on a case-by-case basis. This position has been confirmed by numerous subsequent decisions from appellate courts that have systematically overturned lower court rulings that dismissed the scale.

Constitutional Compliance Validated by the Council of State

The Council of State had already validated the scale’s compliance with constitutional and conventional norms in a ruling dated December 7, 2017. It determined that the scale does not violate the principle of equality before the law, nor the right to effective judicial remedy, nor the principle of full compensation for damages (which does not hold constitutional value in dismissal cases).

Employer Litigation Strategy

Securing Dismissals in Advance

The Macron scale provides employers with predictability concerning litigation costs, which should be integrated into human resources management strategies. Before any dismissal, it is advisable to:

  • Verify Absence of Nullity Grounds: ensure that the dismissal cannot be classified as discriminatory, related to harassment, or infringing on a fundamental freedom.
  • Calculate Maximum Exposure: determine the applicable compensation cap based on the employee’s seniority.
  • Thoroughly Document: create a robust file demonstrating the real and serious cause for dismissal.
  • Evaluate the Opportunity of a Rupture Conventionnelle: in certain cases, a rupture conventionnelle may be preferable to contentious dismissal.

Transactional Negotiation in Light of the Scale

The scale has profoundly altered the practice of transactional negotiation. Transactional compensation now generally falls within the range of the scale, as employees have lost the leverage provided by the unpredictability of high judicial compensation. For the employer, proposing a transactional compensation close to the cap often represents a credible offer that can help avoid the costs and uncertainties of prud’homal proceedings.

Impact on Accounting Provisions

For payroll managers and financial directors, the Macron scale facilitates accounting provisions for labor disputes. The maximum financial risk is now precisely quantifiable, which improves the reliability of accounts and simplifies exchanges with auditors and financial controllers.

Cumulative Compensation Alongside the Scale

It is important to note that compensation for unfair dismissal (Macron scale) accumulates with other compensations:

  • Legal or conventional severance compensation (Article L.1234-9 of the Labour Code)
  • Compensatory notice indemnity
  • Compensatory indemnity for paid leave
  • Damages for non-compliance with the dismissal procedure (limited to 1 month’s salary, Article L.1235-2)
  • Salary arrears (overtime, bonuses, etc.)

Thus, the total cost of a contested dismissal in front of the labor court can significantly exceed just the cap of the Macron scale. Employers must incorporate all these components into their risk evaluation.

Future Perspectives on the Scale

Proposals for Revision

Despite judicial validation, the Macron scale continues to face doctrinal and union critiques. Several legislative proposals have been submitted to raise minimums, eliminate maximums, or exclude certain categories of employees (notably employees over 55 or employees with disabilities). As of now, none of these proposals have succeeded.

Influence of European Law

The European Committee of Social Rights (CEDS) has made observations regarding the compliance of the French scale with the European Social Charter. While the Court of Cassation has judged that the Charter does not have direct effect, shifts in European jurisprudence could eventually compel the French legislator to review the mechanism. HR professionals must remain vigilant regarding these developments.

FAQ: Your Questions About the Macron Scale

Does the Macron Scale Apply in Cases of Dismissal for Serious Misconduct?

The scale applies only when the judge reclassifies the dismissal as without real and serious cause. If the judge finds that serious misconduct is established, the employee is not entitled to any compensation under the scale (neither severance nor notice compensation). However, if the judge dismisses the serious misconduct and finds the dismissal without real and serious cause, the scale applies fully.

Can a Judge Still Disregard the Scale in 2025?

Since the Court of Cassation rulings of May 11, 2022, lower judges can no longer disregard the scale. If a labor court were to award compensation exceeding the maximum, that decision would be overturned on appeal or in cassation. However, the scale does not apply in cases of nullity of dismissal (discrimination, harassment, violation of a fundamental freedom, etc.).

How is Seniority Calculated for the Scale?

Seniority is assessed in complete years as of the date of notification of dismissal (and not on the end date of the notice period). Periods of suspension of the contract (illness, parental leave, etc.) are taken into account according to usual rules. In cases of incomplete seniority, the scale provides intermediate values for seniority brackets expressed in complete years.

Does the Scale Apply to Contested Rupture Conventionnelles?

No, the Macron scale applies only to dismissals without real and serious cause. If a rupture conventionnelle is annulled by the judge, the consequences depend on the basis for the annulment. If the rupture conventionnelle has the effects of a dismissal without real and serious cause, the scale may apply. Conversely, if the annulment is based on vice of consent (violence, deceit), compensation falls under common law.

Is the Scale Applicable to Protected Employees?

The dismissal of a protected employee issued in violation of the administrative authorization procedure is null, not merely without real and serious cause. In this case, the scale does not apply and the employee can claim a minimum indemnity of 6 months’ salary, without a cap. However, if the dismissal of a protected employee is authorized by the labor inspector but deemed without real and serious cause, the scale applies.