Macron Scale: Compensation Limits and Disputes for 2025
Introduction: The Macron Scale, an Essential Framework in Labour Disputes
Introduced by the Macron Ordinances of 22 September 2017 and codified in Article L.1235-3 of the French Labour Code, the compensation scale for dismissals without a real and serious cause represents one of the most significant reforms in French labour law over the past decade. By setting minimums and maximums of prud’homal (industrial tribunal) compensation based on the seniority of the employee and the size of the business, this scale has profoundly altered the approach to dismissal disputes.
After years of legal challenges, the Cour de cassation definitively confirmed the compliance of the scale on 11 May 2022, ending the resistance from certain industrial tribunals. As of 2025, the scale is firmly established, but its exceptions, jurisprudence, and methods of calculation require thorough analysis for HR professionals and payroll managers.
The Complete Scale: Minimum and Maximum Compensation
For Businesses with 11 Employees or More
The scale establishes minimum (floors) and maximum (ceilings) compensation amounts expressed in months of gross salary, based on the employee’s tenure in the company at the time of termination:
| Seniority (complete years) | Minimum Compensation (months) | Maximum Compensation (months) |
|---|---|---|
| 0 | None | 1 |
| 1 | 1 | 2 |
| 2 | 3 | 3.5 |
| 3 | 3 | 4 |
| 4 | 3 | 5 |
| 5 | 3 | 6 |
| 6 | 3 | 7 |
| 7 | 3 | 8 |
| 8 | 3 | 8 |
| 9 | 3 | 9 |
| 10 | 3 | 10 |
| 11 | 3 | 10.5 |
| 12 | 3 | 11 |
| 13 | 3 | 11.5 |
| 14 | 3 | 12 |
| 15 | 3 | 13 |
| 16 | 3 | 13.5 |
| 17 | 3 | 14 |
| 18 | 3 | 14.5 |
| 19 | 3 | 15 |
| 20 | 3 | 15.5 |
| 21 | 3 | 16 |
| 22 | 3 | 16.5 |
| 23 | 3 | 17 |
| 24 | 3 | 17.5 |
| 25 | 3 | 18 |
| 26 | 3 | 18.5 |
| 27 | 3 | 19 |
| 28 | 3 | 19.5 |
| 29 | 3 | 20 |
| 30 and above | 3 | 20 |
For Businesses with Fewer than 11 Employees
Businesses with fewer than 11 employees benefit from reduced minimums, reflecting the limited financial capacity of very small companies:
| Seniority (complete years) | Minimum Compensation (months) |
|---|---|
| 0 | None |
| 1 | 0.5 |
| 2 | 0.5 |
| 3 | 1 |
| 4 | 1 |
| 5 | 1.5 |
| 6 | 1.5 |
| 7 | 2 |
| 8 | 2 |
| 9 | 2.5 |
| 10 and above | 2.5 |
The maximum compensation remains the same as that for enterprises with 11 or more employees, with only the minimums differing.
Calculation Basis: The Reference Monthly Gross Salary
Two Possible Calculation Methods
The reference salary used as the basis for calculating compensation is determined by the most advantageous formula for the employee:
- The average of the last 12 months of gross salary prior to notification of dismissal
- The average of the last 3 months of gross salary prior to notification of dismissal (bonuses and special or annual incentives are pro-rated)
The prud’homal judge will automatically adopt the formula most favourable to the employee. Included in the remuneration are the base salary, bonuses (seniority, 13th month, targets), in-kind benefits, and regular overtime.
Excluded Elements from the Calculation
Excluded from the calculation base are reimbursements for professional expenses, severance payments, sums paid under profit-sharing and incentive schemes, as well as compensatory payments for paid leave and notice periods (which are owed in addition to compensation for dismissals without a real and serious cause).
Exceptions to the Scale: Cases of Nullity in Dismissals
Situations Outside the Scale
The Macron scale does not apply when the dismissal is deemed null and void. Cases of nullity, exhaustively listed by law, allow the employee to receive compensation without a cap, with a minimum of 6 months’ salary (Article L.1235-3-1 of the Labour Code). The main grounds for nullity are as follows:
- Discrimination (Article L.1132-4): dismissal based on origin, gender, sexual orientation, age, family situation, pregnancy, genetic characteristics, belonging or not to an ethnicity, nation or supposed race, political opinions, union or mutual activities, 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)
- Interference with a fundamental freedom: freedom of expression, right to strike, union freedom
- Violation of specific protections: protected employee (staff representative), pregnant employee, employee on leave due to work-related injury or occupational disease, whistleblower
Compensation in Cases of Nullity
When the dismissal is declared null, the employee may request reinstatement within the company. If reinstatement is not sought or is impossible, they are entitled to compensation that cannot be less than the salaries of the last 6 months. This compensation is not capped, and the judge has broad discretion to set the amount, taking into account the actual damage suffered by the employee.
Consolidated Jurisprudence: Validation by the Cour de cassation
The Ruling of 11 May 2022: A Decisive Turning Point
In two rulings handed down in plenary session on 11 May 2022 (case nos. 21-14.490 and 21-15.247), the Social Chamber of the Cour de 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 considered that the scale provides, in all cases, adequate compensation in the sense of 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 disregard the application of the scale.
The End of Resistance from Industrial Tribunals
Prior to this ruling, many industrial tribunals resisted by disregarding the scale, believing it did not allow for adequate restoration of harm in certain individual situations. The industrial tribunals of Troyes, Amiens, Lyon, Grenoble, and Paris had notably issued rulings excluding the scale in favour of case-specific compensation.
The ruling of 11 May 2022 put an end to this resistance by clearly stating that the scale cannot be disregarded by judges of first instance, even on a case-by-case basis. This position has been confirmed by numerous subsequent decisions from appellate courts that have systematically overturned first-instance judgments excluding the scale.
Compliance with Constitutional Standards Confirmed by the Conseil d’État
The Conseil d’État had already validated the compliance of the scale with constitutional and conventional norms through a ruling dated 7 December 2017. It found that the scale did not violate the principle of equality before the law, the right to effective judicial recourse, nor the principle of full compensation for damage (which does not have constitutional value in matters of dismissal).
Litigation Strategy for Employers
Securing Dismissals in Advance
The Macron scale offers employers predictability in litigation costs that should be integrated into human resource management strategy. Before any dismissal, it is recommended to:
- Check for the absence of nullity grounds: ensure that the dismissal cannot be classified as discriminatory, related to harassment, or an infringement on fundamental freedoms
- Calculate the maximum liability: determine the applicable compensation ceiling based on the employee’s seniority
- Document rigorously: create a solid file demonstrating the real and serious cause for termination
- Assess the appropriateness of a mutual termination agreement: in certain cases, a rupture conventionnelle (mutual termination agreement) may be preferable to contentious dismissal
Transactional Negotiation in Light of the Scale
The scale has profoundly altered the practice of transactional negotiation. Transactional compensations now generally fall within the range of the scale, as employees have lost the leverage provided by judicial uncertainties regarding high compensation. For employers, offering a transactional sum close to the scale’s ceiling often represents a credible offer to avoid the costs and risks of a prud’homal procedure.
Impact on Accounting Provisions
For payroll managers and financial directors, the Macron scale simplifies the accounting provision of prud’homal disputes. The maximum financial risk is now quantifiable with precision, enhancing the reliability of accounts and streamlining interactions with auditors and account commissioners.
Compensations Cumulable with the Scale
It is important to note that the compensation for a dismissal without real and serious cause (Macron scale) is cumulative with other compensations:
- Statutory or contractual severance pay (Article L.1234-9 of the Labour Code)
- Compensatory payment for notice period
- Compensatory payment 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.)
The total cost of a contested dismissal successfully challenged before the prud’hommes can therefore significantly exceed the ceiling of the Macron scale alone. Employers must consider all of these components in their assessment of litigation risk.
Prospects for Evolution of the Scale
Proposals for Revision
Despite jurisprudential validation, the Macron scale continues to face doctrinal and union criticisms. Several legislative proposals have been submitted to raise the floors, eliminate the ceilings, or exclude certain categories of employees (notably employees over 55 or employees with disabilities). To date, none of these proposals have succeeded.
The Influence of European Law
The European Committee of Social Rights (ECSR) has issued observations regarding the compliance of the French scale with the European Social Charter. While the Cour de cassation has ruled that the Charter lacks direct effect, changes in European jurisprudence might eventually compel the French legislature to revise the framework. HR professionals should remain vigilant regarding these developments.
FAQ: Your Questions on the Macron Scale
Does the Macron scale apply in the case of dismissal for serious misconduct?
The scale only applies when the judge reclassifies the dismissal as being without real and serious cause. If the judge finds that serious misconduct is established, the employee is entitled to no compensation under the scale (neither severance pay nor notice period). Conversely, if the judge dismisses the serious misconduct and determines the dismissal is without real and serious cause, the scale applies fully.
Can a judge still disregard the scale in 2025?
Since the rulings of the Cour de cassation on 11 May 2022, first-instance judges can no longer disregard the scale. If an industrial tribunal were to grant compensation exceeding the ceiling, 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 (not at the end of the notice period). Periods of suspension of the contract (sickness, parental leave, etc.) are taken into account according to the usual rules. In cases of incomplete seniority, the scale provides for intermediate values for the seniority brackets expressed in complete years.
Does the scale apply to contested mutual termination agreements?
No, the Macron scale only applies to dismissals without a real and serious cause. If a mutual termination agreement is annulled by the judge, the consequences dependent on the grounds for annulment apply. If the mutual termination agreement has effects similar to a dismissal without a real and serious cause, the scale may apply. However, if annulment is based on a defect 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 authorisation procedure is null and not merely without real and serious cause. In this case, the scale does not apply, and the employee may claim a minimum compensation of 6 months’ salary, without limit. Conversely, if the dismissal of a protected employee is sanctioned by the labour inspector but is judged to be without real and serious cause, the scale applies.