France: first big legal test for the law simplifying mass layoff procedures

Presented as one of the first tests for the application of the new legal framework for mass layoff procedures, which precisely aims to limit the legal insecurity that used to characterize them, the decisions rendered in the Mory Ducros case on July 11, which cancel the approval of the social plan by the labor administration, are not founded on the deficiency of economic grounds (the company was under liquidation) or even of redeployment measures (which were validated) but on the choice of perimeter to assess the criteria for layoff order. The administrative judge believes that the decision to assess these criteria at the level of the agencies, and not at the level of the company, deprived the layoffs of their impartiality. In doing so, the judges are giving their first interpretation of the provision of the labor market reform that provides that the perimeter for order criteria can be defined in the unilateral social plan.
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On July 11, the administrative court of Cergy-Pointoise canceled the labor administration’s decision to approve the unilateral document making up the social plan for Mory Ducros, a company undergoing judicial liquidation. Since the labor market reform of June 14, 2013 (see article No. 130319), there are two options for mass layoffs: negotiating a social plan agreement or, if the employer fails to sign one with the employee representatives, drafting a unilateral document. In that case, the docum

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