Published at the end of 2023, the law on value sharing within companies has created a new optional scheme for employers. Called the “company valuation sharing plan” (PPVE(1)), this system can now be put in place thanks to a recent decree that has just specified the conditions for its application.

What are we talking about?

The PPVE allows employers to pay a bonus to their employees as soon as the company’s valuation increases over a period of 3 years. To do this, an agreement must be concluded and then filed on the TéléAccords platform, for URSSAF’s approval.

In concrete terms, a bonus is granted to employees when the value of the company, between the start date of the plan and the expiry of a period of 3 years, shows a positive rate of change. This value being determined:

• for companies constituted in the form of companies whose securities are admitted to trading on a regulated market, according to their average market capitalization over the last 30 trading days preceding the date of start of the plan and the expiry of the 3-year period.
• for other companies, by taking into account their net accounting position, their profitability, and their business prospects.

Once the rate of change in the value of the company has been established, it is applied to the reference amount assigned to each employee. This result then gives the amount of the bonus to be paid to the employee.

Informing employees

Once the agreement has been filed, the employer must provide each employee with an information sheet separate from the pay slip which specifies:

• the reference amount allocated to him and, where applicable, the modulation criterion applied (level of remuneration, classification or working hours).
• the applicable company valuation rule.
• the conditions for being able to benefit from a bonus at the end of the 3-year period.

The information sheet may be sent to employees electronically, provided that they do not object.

When the bonus is paid…

The bonus allocated to employees under a PPVE must also give rise to an information sheet separate from the pays lip. This form must mention, most importantly:

• the amount of the bonus awarded.
• the possibility for the employee to allocate this sum to an employee savings plan or a company retirement savings plan.
• the deadline for requesting the allocation (15 days maximum) upon receipt of the form.
• in the event of the bonus being allocated, the duration of his or her unavailability and the cases of advance release.

The information sheet can, again, be given to employees electronically if they do not object.

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