Covid 19 – State of health emergency, leave from work, disabled workers, moratorium on commercial rents and stimulus plan

To follow up of our previous Covid-19 information notes, please find below information on the following topics:

  • Social measures of the law extending the state of health emergency
  • Leave from work for contact cases
  • Extension of financial aid for workers with disabilities
  • Moratorium on rents introduced by the law extending the state of emergency
  • Stimulus Plan

 

Social measures of the law extending the state of health emergency 

The state of health emergency in France, which is applicable again since decree no. 2020-1257 of October 14, 2020, is extended until February 16, 2021 by law no. 2020-1379 of November 14. A transitional regime will then apply until April 1, 2021.

This law allows the government to issue orders to reinstate or extend certain economic and social measures taken since March 2020. We will inform you of these provisions as they are implemented.

In addition, the following social measures apply as of now without further provisions :

  • A collective agreement may make it possible to monetize rest days in order to improve compensation for partial activity ;
  • The social security and welfare scheme is maintained during the partial activity, and the supplement to the gross monthly compensation for partial activity paid by the employer can be integrated into the contribution base ;
  • French expatriates returning to France between October 1, 2020 and April 1, 2021, who are unemployed, may benefit from affiliation to the health and maternity insurance scheme without a waiting period. A decree will be issued in order to specify the terms of application.

 

Leave from work for contact cases

Decree no. 2020-1386 of November 14, 2020 specified the measures applicable until December 31, 2020 with regard to leave from work for employees who are Covid-19 contact cases.

Here are the main points:

  • Employees who are Covid-19 contact cases may receive daily social security benefits without application of the waiting period (i.e. from the first day of their leave from work). Uncertainty remained before the decree was published because these employees could in principle no longer benefit from these benefits and the elimination of the waiting period under the previous texts, but health insurance continued to compensate them in practice.
  • These daily social security benefits are not subject to the condition of a minimum period of activity for their payment.
  • These daily social security benefits are not taken into account in the calculation of the maximum daily compensation period.

Extension of financial aid for workers with disabilities

As a reminder, the decree n° 2020-1223 of October 6, 2020 in application of the “France Relance” stimulus plan created a financial aid of 4000 euros for the hiring of a disabled worker on a permanent or fixed-term contract of at least 3 months, without age limit.

This aid initially applied for contracts concluded between September 1, 2020 and February 28, 2021. At the November 16 meeting of the interministerial committee for the disability, it was announced that this aid will be extended for contracts concluded until June 30, 2021.

Moratorium on commercial rents

The moratorium on commercial rents which we mentioned in a previous newsletter has finally been adopted as part of the law authorising the extension of the state of health emergency.

This moratorium applies to natural persons and legal entities under private law exercising an economic activity affected by an administrative police measure. The eligibility criteria, such as the number of employees and turnover thresholds of the persons concerned as well as the threshold for loss of turnover observed, must be specified by decree.

In the event of late or non-payment of rent, the tenant may not incur, for the duration of the administrative police measure and for two months thereafter: interest for late payment, penalties; or any financial measure; or any action, penalty or enforcement measure against it.

During this same period, the real and personal securities guaranteeing the payment of the rents and rental charges concerned may not be implemented and the landlord may not take precautionary measures.

This new measure also prohibits suppliers, during this period, from suspending, interrupting or reducing the supply of electricity, gas or water to the tenants concerned and a postponement of mandatory payment deadlines at the request of the tenants.

Stimulus plan 

Following the announcement in September 2020 of the launch of the government’s Stimulus Plan, intended to “support the rebound in activity and employment in the short term while preparing France for 2030”, a dashboard to track the implementation of the main measures was published on November 16, 2020. The indicators will be updated monthly.

Some indicators directly address measures to support businesses, such as business financing, digital upgrading of VSEs/SMEs/ETIs, export support, or support for youth employment and business support, we therefore enclose it for your information.

 

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