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Understanding the RCC: the Collective Conventional Termination since 2017

The collective mutual termination (RCC) was created by the Macron ordinances of September 2017. Codified in Articles L1237-19 et seq. of the French Labour Code, it is today the most protective voluntary restructuring instrument in French law. Here is a full breakdown.

The principle: formalised voluntary participation, no forced dismissals

The RCC rests on three pillars:

  • A majority collective agreement signed by the representative trade unions;
  • Purely voluntary participation — any employee who wishes to do so may apply, but no employee can be dismissed under the RCC, even where there are too few volunteers;
  • Approval by the DREETS — the administration verifies that the agreement is properly drawn up and that the measures are appropriate.

The major difference from the PSE: no economic justification required

This is one of the instrument's key innovations. To launch an RCC, the employer does not need to prove economic difficulties. It is enough for the social partners to reach a majority collective agreement.

This allows companies to carry out preventive restructurings, optimise their payroll or encourage career transitions, without having to justify a crisis. This is precisely what appealed to groups such as Stellantis (1,600 positions in 2024) and Carrefour Head Offices (1,233 positions in 2023).

The mandatory content of the RCC agreement

Article L1237-19-1 of the French Labour Code lists the elements that the agreement must necessarily specify:

  1. The arrangements for informing the CSE about the project;
  2. The maximum number of departures envisaged and the positions concerned;
  3. The period during which terminations may be initiated;
  4. The conditions to be met by employees in order to apply;
  5. The selection criteria between potential candidates;
  6. The methods for calculating termination indemnities;
  7. The support measures: training, accreditation of prior experience, career transition.

The procedure: 5 steps

1. Negotiation with the trade unions

Like any majority collective agreement, the RCC must be signed by trade unions representing more than 50% of the votes cast in the last CSE elections.

2. Informing the CSE

The CSE is informed of the draft agreement. There is no consultation procedure as burdensome as that for a PSE — the RCC is less formalised at this stage.

3. Filing and DREETS approval

The agreement is submitted to the DREETS, which has 15 days to approve it. Silence amounts to acceptance. The DREETS checks: the regularity of the procedure, the majority character of the agreement, and the adequacy of the support measures.

4. Individual applications

Interested employees apply. The employer reviews the applications according to the criteria defined in the agreement. The departure takes the form of an amicable termination.

5. Payment of indemnities and support

The employee receives the termination indemnity (at least equal to the statutory or collectively-agreed indemnity), the support measures provided for (training, outplacement, skills assessment) and the standard unemployment benefit after departure.

Indemnities: at least the statutory minimum, often more

The indemnity paid under an RCC must be at least equal to the statutory or collectively-agreed indemnity. In practice, major RCC agreements negotiate well above this.

Benchmarks observed in OpenRecourse:

  • Stellantis 2024: statutory indemnity + a declining bonus of 8 / 6 / 4 months depending on the timing of the application + €8,000 for starting a business;
  • Carrefour Head Offices 2023: standard indemnity + a 3-month bonus for an immediate project + a 24-month cap;
  • Webedia 2024: 80-90 voluntary departures in France within a global plan to save €50M.

RCC vs PSE vs PDV: comparison table

RCCPSEPDV
Purely voluntaryYes (mandatory)No — may include dismissalsYes — but may shift into a PSE
Economic justificationNot requiredRequiredVariable
DREETS approvalMandatory (15 days)Mandatory (15 or 21 days)Depends on the framework
Majority union agreementMandatoryIf the agreement route is usedRecommended
Legal frameworkL1237-19 et seq.L1233-3 et seq.Case law

Why is the RCC increasingly popular?

Since its creation in 2017, the RCC has been used by many large French companies. Three reasons:

  1. Preserved industrial relations — no forced dismissals = no open conflict;
  2. Preserved image — the instrument does not carry the negative symbolic weight of the "social plan";
  3. Flexibility of use — no need to prove an economic crisis.

In summary

  • The RCC is the most protective instrument for employees: no forced dismissals are possible;
  • It requires a majority collective agreement and DREETS approval;
  • It is faster than a PSE and more flexible, with no need for economic justification;
  • For volunteering employees, it is generally the most advantageous option in terms of financial conditions and support.

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