Business

France — Business: Hiring Employees

The CDI (Contrat à Durée Indéterminée) — an open-ended permanent contract — is the default and most common employment contract in France, with statutory trial periods of 2 months (workers/employees), 3 months (supervisors), and 4 months (managers). The CDD (Contrat à Durée Déterminée, fixed-term contract) may only be used for three legally permitted justifications: temporarily replacing an employee, a temporary increase in activity, or seasonal work — max duration 18 months in most cases, renewable twice. CDD is legally treated as a 'precarious' contract: at the end of the term, the employee is entitled to a 10% précarité indemnity on top of their salary.

VerifiedGovernment / official sourceBusiness France / French Labor Code (Code du travail)Last reviewed: 2026-07-20

Key facts

  • CDI (permanent, open-ended) is the default contract type; trial periods: 2 months (workers), 3 months (supervisors), 4 months (managers).
  • CDD (fixed-term) is legally restricted to three justifications: replacing an employee, temporary activity increase, or seasonal work.
  • CDD maximum duration: 18 months in most cases, renewable twice.
  • CDD employees receive a 10% précarité (job insecurity) indemnity on top of salary at contract end.

Costs

  • CDD précarité indemnity: 10% of total salary paid over the contract

Timelines

  • CDD maximum duration: 18 months (renewable twice, in most cases)

Required documents

  • Written employment contract

Common mistakes

  • Using a CDD outside its three legally permitted justifications — French labor law strictly limits fixed-term contract use, and misuse can be reclassified as a CDI by a labor court.
  • Forgetting the 10% précarité indemnity obligation when a CDD ends without conversion to a permanent role.

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