Portage employment has important benefits for the consultants who work under this status. The benefits for the portage employment consultants allows them to work better and be more efficient. Portage employment has 6 advantages which are crucial for business customers.
1. The umbrella company takes care of the administrative, accounting and legal tasks
The amount of legal obligations can seem very time-consuming for a self-entrepreneur or independent worker who is starting his activity. The calculation of social contribution, varied administrative queries, possible VAT returns, establishment of the turnover, payment of various taxes are all tasks which impinge on the professional activity and the core of the business.
In general, independent workers and self-entrepreneurs use their closing time or week ends to bring their obligations up to date. Portage employees don’t have this density of work since it’s the umbrella company which takes care of the accounting and administrative tasks.
This means saving time for his activity. Business customers appreciate the fact that a portage employee is entirely focused on his mission. No legal obligation comes to disturb the effective functioning of the mission.
2. Security and pay stub
The umbrella company redacts, each month the portage employee carries out his service, a corresponding pay stub. This pay stub is calculated according to the work volume done by him.
The umbrella company collects the amount of benefits. It collects the administrative expenses and pays the social contributions. Part of the amount is set aside. Therefore, the portage employee benefits from a regular salary each month. This organisation allows the portage employee to benefit from a salary even if the service is not finished and that the customer hasn’t yet paid the invoice. This is a real security for the consultants as well as for the business customers.
The umbrella company covers the salaries since obtaining payment from the customer is sure. Indeed, an unsettled invoice by the customer exposes it to insolvency proceedings and possibly a compulsory liquidation.
Few business customers take the risk of not paying their invoices. It is important to underline that the umbrella company redacts invoices for it’s own account. This pay stub financially secures the portage employee and allows him to work more efficiently. However, it should be noted that the months in which the portage employee doesn’t have customers he will not be remunerated. At that time, the amounts set aside can be used to perceive a salary.
The business customers can clearly conclude that the portage employee will finish his mission. Indeed, the financial security is total in portage employment.
3. The portage employee benefits from the same advantages than that of other employees
A self-entrepreneur or an independent worker can feel helpless in case their turnover drops or if they have problems with their activity.
Portage employment allows the independent consultant to have the same advantages than that of an employee, meaning, days of paid leave, affiliation to the general health system and a compensation in case of termination of contract or unemployment.
Portage employees are entitled to 2,5 days of paid leave per month according to article 28 of the selective Collective Agreement of March 22nd 2017.
Consult the selective Collective Agreement of the employees of portage employment (March 22nd 2017) . All these advantages helps the consultant to project himself over time. Many consultants will work a long time in portage employment.
This protection allows a business customer to work several times with the same consultant. The consultant will know the business customer better and better and will do a higher quality work.
4. Protection which accompany the portage employee
The French Government has set up a reform on 5th September 2017 which will specifically remove the “Régime Social des Indépendants” (RSI) (Social Security Scheme for Self-Employed Persons). Therefore, the whole of independent workers, whether they be self-entrepreneur, independent workers or portage employees will be attached to the statutory health insurance.
The “Régime Social des Indépendants” (RSI) was much criticised for it’s numerous errors of judgement and management. This weakened certain activities, which necessarily has an impact on the professional and family life since many independents work with their spouse or children.
Furthermore, portage employees benefit from a work contract, opening rights for unemployment periods. This represents a substantial advantage compared to independent workers and self-entrepreneurs which have access to it only in very strict conditions .
The fact of being entitled to unemployment benefits in case of difficulties gives visibility and helps the portage employees to organise their life.
5. Freedom of choice of the workplace
According to article 23 of the selective Collective Agreement , the independent consultant who has chosen portage employment can decide alone of his workplace.
Indeed, the work can be done in the umbrella company’s offices, in the business customer’s premises or even at home. This flexibility allows the business customer to best organise himself. Part of the work can be done in the customer’s premises, another part in teleworking.
Article 26 of the selective Collective Agreement of the portage employees however specifies that the execution of daily schedules is up to the portage employee. He thus defines the place, the days and hours of his work.
Nevertheless, the business customer can negotiate the presence of the consultant in his company.
6. Portage employment is very interesting for retirement
Seniors can have great difficulty obtaining an open-ended contract in a company. Businesses can be reluctant to welcome, train and accompany an employee who will soon retire.
Portage employment is a real solution for retired employees who undergo these brakes on the employment because of their age. The most experimented consultants are usually seniors. Portage employment brings real guarantees for the contribution to the pension systems. This status attracts experimented consultants and experts in their field.
Business customers can thus benefit from the advantages of a specialised expertise without recruiting a senior employee. It is a very flexible solution for business customers.
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