France reforms home‑care aid taxes and overtime rules for 35‑hour workers

From 1 July, the French government ended the automatic exemption of employer social contributions for home‑care aides employed by people aged 70‑79. The age threshold for the exemption was raised to 80, meaning about 350,000 private employers will now pay the full social charges for their domestic workers. The measure excludes seniors receiving the Allocation personnalisée pour l’autonomie (APA) or the prestation de compensation du handicap (PCH) and is intended to save roughly €100 million for the state.

A separate amendment that took effect on 10 September aligns French labour law with the EU Charter on rest rights. Paid leave and sick leave are now counted as working time for the calculation of overtime on 35‑hour contracts. Employees will therefore receive overtime pay even when they take a day of paid leave, potentially increasing wages for millions of workers.

Both reforms aim to tighten fiscal controls and improve workers’ rights, affecting a large number of households and employees across France.