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Daily Tax Report: International
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Jan. 25, 2024, 2:47 PM GMT+1


FRENCH COURT BACKS P&G IN EMPLOYEE PROFIT PARTICIPATION DISPUTE

By Jan Stojaspal

Jan Stojaspal
Freelance Correspondent


France’s tax and labor laws provide sufficient recourse for resolving disputes
over how employee participation in company results is calculated, the French
Constitutional Court ruled Wednesday.

The ruling relates to a labor dispute over a 2014 profit distribution agreement
between a group of Procter & Gamble companies in France.

According to P&G labor representatives, remuneration clauses concluded by the
French companies with Switzerland-based P&G International Operations resulted in
an arbitrary reduction of employee participation in company results.

Under French labor law, the amount of the company’s net profit and
equity—established by a certificate from a tax inspector or ...


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