Hardship account - launch: who is affected?

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🔎 Key takeaways

Origine et principe du dispositif (2014-2015) : Décliné par les décrets d'octobre 2014, le Compte Personnel de Prévention de la Pénibilité (C2P) attribue des points aux salariés du secteur privé exposés à des facteurs de risques professionnels au-delà des seuils réglementaires.

Mécanisme d'acquisition des points : Déclaré par l'employeur (ex-DADS), le système crédite les salariés jusqu'à 100 points maximum sur l'ensemble de leur carrière (4 points/an pour 1 facteur, 8 points/an pour plusieurs facteurs, avec un barème doublé pour les salariés nés avant le 1er juillet 1956).

Trois utilisations possibles : Les points accumulés peuvent être convertis par le salarié pour financer : 1) Une formation professionnelle vers un poste non exposé (1 pt = 25h) ; 2) Un passage à temps partiel avec maintien de salaire (10 pts = 50% sur 1 trimestre) ; 3) Des trimestres de retraite anticipée à partir de 55 ans (10 pts = 1 trimestre, dans la limite de 8 trimestres).

Gestion, contrôle et financement : Géré par les CARSAT/MSA, le système s'accompagnait de contrôles d'exposition et était financé par deux cotisations patronales (une cotisation de base pour toutes les entreprises et une cotisation additionnelle spécifique pour les employeurs exposant leur personnel).

Please note: This article concerns French legislation. The requirements described may not apply in other countries.

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The hardship framework was modified and clarified by 6 decrees dated October 9, 2014. The Labor Code's provisions on hardship cover three main areas: hardship thresholds and prevention records; agreements to promote hardship prevention; and the hardship account.

In recent months, we have covered " the evolution of the hardship framework " and " agreements to promote hardship prevention "; this month we are examining "the personal prevention account," known as the hardship account.

The hardship account

Who is affected?

Any private-sector employee who, despite the application of collective and individual protective measures, remains exposed to at least one hardship factor exceeding the exposure thresholds set by Article D. 4161-2 of the Labor Code is eligible for a personal hardship prevention account.

To clarify the procedures for earning points, the conditions for their use, account management rules, and the funding of rights linked to the hardship account, four sections comprising Articles R. 4162-1 to R. 4162-56 have been added to the Labor Code. We provide a detailed breakdown of these below.

Opening and funding the personal hardship prevention account (Section 1: Articles R. 4162-1 to R. 4162-3)

To account for the various types of employment contracts, a distinction is made between:

workers with an employment contract lasting one calendar year or more (case no. 1);
workers with an employment contract lasting one month or more that begins or ends during the calendar year (case no. 2).

Over the course of a career, the maximum number of points that can be accrued in a personal professional prevention account is capped at 100.

Scenario 1

As part of the annual social data declaration (DADS), employers must report the occupational risk factor(s) to which employees have been exposed, beyond the thresholds set by Article D. 4161-2 of the Labor Code, during the calendar year in question.

Following this declaration, the National Old-Age Insurance Fund for Employees (CNAVTS) credits the accounts of the affected employees as follows:

4 points when the employee is exposed to a single occupational risk factor;
8 points when the employee is exposed to multiple occupational risk factors.

For employees born before July 1, 1956, the points credited to the professional prevention account are doubled.

Note: for employers of agricultural workers, this declaration must be made as part of the quarterly payroll declaration (DTS).

Scenario 2

CNAVTS then compiles all declarations submitted by the employer(s) and determines, for each reported factor, the total duration of exposure in months for the calendar year.

Each three-month period of exposure results in the allocation of:

1 point in the event of exposure to one occupational risk factor;
2 points in the event of exposure to multiple occupational risk factors.

For employees born before July 1, 1956, the points credited to the professional prevention account are doubled.

Note: for employers of agricultural workers, this declaration must be made as part of the quarterly payroll declaration (DTS).

Uses of the personal professional prevention account (Section 2: Articles R. 4162-4 to R. 4162-23)

Points accrued in the hardship prevention account can be used by employees to fund:

professional training to transition to a job with no or reduced exposure (1 point provides 25 hours of training; the personal training account can also be topped up);
a reduction in working hours (10 points can offset a reduction in working hours equivalent to approximately 50% for one quarter; the resulting working time must be between 20% and 80% of the hours applicable at the establishment);
old-age insurance quarters (10 points provide one insurance quarter, up to a limit of 8 quarters). This option is only available to employees who have reached the age of 55.

The first twenty points accrued in the hardship prevention account are reserved for professional training. However, special provisions apply to workers born before January 1, 1963.

To use their points, workers must submit a request either online or to the regional pension fund (CARSAT). If the fund does not respond within 4 months, the request is considered denied.

Furthermore, a personal online space is provided for hardship account holders to check their available points balance and print a statement.

Hardship account management, audits, and complaints (Section 3: Articles R. 4162-24 to R. 4162-38)

Each year, by June 30, CARSAT notifies affected employees electronically or by mail that their accrued points information is available on the dedicated website.

CARSAT or, where applicable, the agricultural social mutual fund (MSA) may conduct document-based or on-site audits to verify the actual extent of an employee's exposure to occupational hardship risk factors. In the event of a dispute regarding the allocation of points or disagreement with the number of points communicated, the employee must first file a complaint with their employer before contacting the fund.

Fund for financing rights related to the personal hardship prevention account (Section 4: Articles R. 4162-39 to R. 4162-57)

To fund the rights associated with the personal hardship prevention account, two employer social security contributions have been established:

a basic contribution, which applies to all employers. The rate is 0% for 2015 and 2016, and is set at 0.01% of the total payroll starting in 2017.
an additional contribution, payable by employers who have exposed at least one of their employees to hardship. The rate is set at:
- 0.1% of the payroll for exposed employees for 2015 and 2016, and 0.2% from 2017 onwards for employees exposed to a single hardship factor beyond the exposure thresholds;
- 0.2% of the payroll for exposed employees for 2015 and 2016, and 0.4% from 2017 onwards for employees exposed to multiple hardship factors beyond the exposure thresholds.

The additional contribution must be paid no later than January 31 of the following year, or by February 15 of the following year for agricultural employees.

Evolution of the hardship prevention system

A directive issued on March 13 provides clarification on the implementation requirements for the hardship prevention program for 2015.

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