Press release
May 25, 2016
Franchising, a flagship of the French economy
that the El Khomri Law wants to kill
Franchising, a proven vector for job creation in France, is having its wings clipped.
By creating a link between the franchisor and franchisees' employees, on the one hand, and between all employees of franchisees in the same network, on the other, the law would call into question the franchisee's economic and legal independence, which is the cornerstone of franchising.
By their very nature, franchisees and franchisors are strictly independent businesses, just as franchisees' businesses are naturally independent of each other. Forcing the franchisor to create a dialogue body bringing together all the employees of franchisees with whom he has no relationship, in order to share the organization, management and strategy of the franchise network, has no basis in either economic or legal terms.
In effect, these provisions confuse the employment and working conditions that an employer franchisee defines for his company's employees, with the terms and conditions for reiterating commercial know-how passed on by the franchisor to the franchisee entrepreneur. It thus deprives the franchised entrepreneur of control over one of his key economic drivers.
By stigmatizing franchising in this way, the law intends to offer a special status to employees of independent companies that have chosen this formula. This law is an economic and legal nonsense, and creates constraints for franchisees and franchisors that can only discourage business creators from choosing this development strategy, whose efficiency is no longer in question.
In the name of political gamesmanship, can France afford to deprive itself of such a lever for growth and a breeding ground for jobs?
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About the French Franchise Federation
Since its creation in 1971, the FFF has had one ambition: to make franchising the best development tool for modern commerce.
With nearly 160 member networks selected on the basis of their commitment to the European Franchise Code of Ethics, representing 45% of French franchisees, the FFF is an essential interface between public authorities, network creators, entrepreneurs and investors. It provides franchisors and future franchisors or franchisees and future franchisees with the training and information they need to develop and export... It dialogues with public authorities and local councillors on the essential modernization of commerce and commercial services, of which franchising is one of the most powerful vectors. Through its exchange and research programs, it contributes to the constant evolution of franchising, whose success supports, encourages and nourishes the ambition of the FFF, the voice of entrepreneurs who create and develop franchises. More information on www.franchise-fff.com
In 2009, the FFF created L'Académie de la Franchise, the first franchise training organization dedicated to future franchisees, franchisors and franchisors. Find out more about our training courses at www.formation-franchise.com
Media contacts | Agence Hopscotch
Print media
Delphine Sens
Tel: 01 58 65 10 76
Aurélie Horner
Tel: 01 58 65 00 25
TV/radio
Capucine Tillous-Borde
Tel : 01 58 65 10 12
