Wage portage definition and benefits

Wage portage, an innovative, simple and secure concept

Halfway between the independent regime and the classic employee regime, wage portage appeared at the end of the 1980s as a solution to modernize the labor market. An atypical and innovative solution that allows self-employed workers to be paid as if they were employees of a company.

Dedicated to expert and independent consultants, the wage portage allows its professionals to exercise an independent activity by relieving themselves of most of the constraints related to the creation of a business, while having the  advantages of salaried employment . This approach constitutes a balanced and advantageous alternative for consultants, which combines the advantages of salaried employment   and the autonomy of entrepreneurship.

Recognized and regulated by the ordinance of April 2015, since March 2017, wage portage has been a fully-fledged professional branch. A major step forward for an efficient and buoyant sector and a considerable advantage for professionals who are more and more numerous to be attracted by this flexible and secure status.

Wage portage is based on a set of tripartite contractual relationships organized between:

  • –  an individual  : independent worker, expert in his field, able to find himself well paid freelance missions and to negotiate all the modalities of intervention.
  • –  a  client company  : needing a qualified expert to carry out short-term missions.
  • –  a  salary portage company  : intermediary between the consultant and the companies for which he provides services. These structures propose to convert the fees of their employees into wages.

In fact, the consultant offers his services to a client company to carry out a one-off assignment. Once the negotiated mission is granted, he delegates the management of all the administrative tasks generated by his activity to the umbrella company.

An employment contract  formalizes this relationship between the ported employee and his employer, which is none other than the porting company he has chosen. The latter concludes a service contract with the client company and sends it an invoice for fees equal to the agreed amount. It collects the fees and pays them back in the form of salary to the paid employee, after deduction of social charges and a commission for management costs.

LEGAL DEFINITION

Article L1254-1 of the Labor Code provides that  “Wage portage is a set of contractual relations organized between a portage company, a person carried and client companies comprising for the person carried the wage system and the remuneration of his service to the client by the portage company. It guarantees the rights of the person relating to its customer contribution ” .