Traineeship in the professional environment: Bill no. 1095 tabled on 28 June 2024

Bill no. 1095 on traineeship in the professional environment ("stages en milieu professionnel") (2024-07, June 25, 2024) (25 articles) was received by the Parliament on 28 June 2024.

Currently, Circular no. 07.03 of February 26, 2007 from the Labor Department ("Direction du Travail") regulates the conditions under which certain trainees can be carried out in companies.

The bill "aims to materialise existing practices in order to frame them, perpetuate them in certain respects, and improve them in others." (Explanatory memorandum, p. 2)

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SUMMARY

• Legal framework for trainees ("stages") of students (aged 29 at most, in principle) from higher education establishments in professional environments (industrial, commercial, craft or agricultural establishments, ministerial offices, liberal professions, public or private hospitals, non-trading companies, professional unions and associations), in order to protect trainees and clarify the obligations incumbent on the host organization (conditions of validity, authorization procedure, performance of the internship, and penal provisions). NB: The law does not apply to training periods for secondary school pupils, training courses preparing students for the medical professions (specific regulations operating in close liaison with France), and specific internships following an examination or competitive examination constituting a probationary period (lawyers, civil servants, court clerks, chartered accountants).
• Modification concerning apprenticeships ("apprentissage"): age limit raised from 26 to 29 at most (harmonised with the age limit set for trainees).
  

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IN DETAIL

The bulk of the bill is devoted to the supervision of training in the professional environment (Part I), with marginal provisions concerning apprenticeships (Part II).

¤ FRAMEWORK FOR TRAINEESHIP IN THE PROFESSIONAL ENVIRONMENT (Part I)

→ GENERAL PROVISIONS (Chapter I)

• Definition of "traineeship": "a temporary period of work experience in a professional environment, during which a student, duly enrolled in a higher education establishment, acquires professional skills and applies what he has learned in her/is training, which is necessary for the preparation referred to in the following paragraph or to promote her/is professional integration". (art. 1)
• Training to which the Law applies: 1) periods of study integrated into a course of education which, starting after the baccalauréat or a diploma recognised as equivalent, prepares students for the award of a diploma, a title, a certificate or a competitive examination recognised by the competent authority of the awarding country. 2) also, optional courses that are complementary (not integrated) (art. 1). Inapplicability to integrated training periods in courses preparing for the practice of medical professions. (art. 2)
• Host organisations to which the Law applies: : industrial, commercial, craft or agricultural establishments; ministerial offices; liberal professions; public or private hospital establishments; non-trading companies; professional trade unions and associations, regardless of form or purpose. (art. 2) Note: the absence of any mention of the "administration" is motivated by "the specific nature of the civil service, and it is considered preferable to regulate work placements in the public sector separately" (Explanatory memorandum, p. 4).

→ CONDITIONS OF VALIDITY OF THE TRAINEESHIP (Chapter II)

• Trainee's age: in principle, the trainee must be no more than 29 years old on the date on which the application for authorisation of the traineeship is received by the Direction du Travail. The age limit may be extended in the following 3 cases: 1°) at the reasoned request of the host organisation, addressed to the Direction du Travail, as part of the preparation for a 3rd cycle higher education diploma or diplomas awarded by very high level higher education establishments, the list of which is set by ministerial order; 2°) for persons employed in Monaco and preparing for a diploma recognised as part of continuing education, and whose employment contract is maintained for the duration of the training period; 3°) with a view to a change of profession or professional status, for the persons referred to in the first paragraph of article 5, 1st paragraph, numbers 1° to 4° of Law n° 629 of 17th July 1957 aimed at regulating the conditions of recruitment and dismissal in the Principality (priority categories, excluding those domiciled in neighbouring municipalities). (art. 3)
• Additional conditions for students who are not nationals of a Member State of the European Union: 1°) a valid student visa issued by France, a residence certificate or a residence permit issued by the Direction de la Sûreté Publique; 2°) enrolment in an educational establishment in Monaco or France. (art. 4)
• Traineeship agreement ("Convention de stage"): concluded between the educational establishment, the host organisation and the trainee (as well as the trainee's legal representative if he or she is a minor), the compulsory details of which are determined by ministerial decree. Among other things, it enables the Labour Department to check that the conditions of the work placement comply with legal requirements, when applying for authorisation. (art. 5)
• Length of traineeship: in principle, limited to 6 months' effective presence in the same host organisation per academic year. An exceptional extension may be granted on the basis of a reasoned request from the host organisation, approved by the educational establishment and by the trainee (as well as his/her legal representative if he/she is a minor), for which the conditions of admissibility are set by ministerial order. (art. 6)
• Monthly allowance ("gratification mensuelle") for traineeship within the same organisation lasting at least 2 months (consecutive or otherwise): the minimum amount is set by ministerial decree. It is payable from the first day of the placement. This bonus will be taken into account when awarding the internship grant provided for in Ministerial Order no. 2020-897 of 21 December 2020 (article 4). (art. 7)
• Prohibitions: the traineeship agreement may not be concluded to perform a regular task corresponding to a permanent job, to cope with a temporary increase in the host organisation's activity, to fill a seasonal job or to replace an employee who is absent or whose employment contract has been suspended. In addition, the trainee may not be employed in a position that has been subject to economic lay-off ("licenciement économique") for a period of 6 months from the effective date of departure of the redundant employee. No trainee may be hired to perform dangerous work as defined by Ministerial Order no. 2008-354 of 9 July 2008 applicable to apprentices. (art. 8)
• Limitation on the number of trainees who may be present at the same time, unless an exemption is granted: depending on the size of the host organisation: 1°) 15% of the workforce rounded up to the nearest whole number when the workforce is 20 or more; 2°) 3, when the workforce is between 11 and 19; 3°) 1, when the workforce is 10 or less. Periods of extension of a traineeship are not taken into account "so that the extension of a traineeship that has been suspended does not prevent the next student from completing his or her traineeship" (Explanatory Memorandum, p. 6) (art. 9)

→ TRAINEESHIP AUTHORISATION PROCEDURE (Chapter III)

• Application for prior individual authorisation from the host organisation under conditions laid down by ministerial order (content, documents to be provided) (art. 10)
• Examination of the application for authorisation by the Labour Department ("Direction du Travail") and notification to the host organisation in accordance with the procedures laid down by ministerial order (art. 11)
• Reasons for rejection of the application. Law no. 1.312 of 29 June 2006 relating to the grounds for administrative acts is applicable, and the refusal decision may be appealed against: by way of an informal or hierarchical appeal, and by way of a contentious appeal to the Supreme Court (art. 12).
• The host organisation is not subject to the obligations incumbent upon it with regard to its employees (no legal formalities for authorisation to hire and work permits, no registration of the trainee with the social security bodies, no obligation to mention the trainee in the register of staff arrivals and departures, or in the pay books) (art. 13).

→ PERFORMANCE OF THE TRAINEESHIP (Chapter IV)

• Working hours: : applicability of Ordinance-Law no. 677 of 2 December 1959 on working hours, it being specified that the trainee may not: 1°) work more than 39 hours per week; 2°) be employed to work more than 8 hours per day. (art. 14)
• Weekly rest and public holidays: in principle, 2 days off, 1 of which must be Sunday. Derogation for weekly rest on Sunday when the host organisation falls into one of the categories mentioned in article 1 of Sovereign Order no. 11.145 of 5 January 1994, as amended (e.g. hotel-restaurants and pubs, museums and exhibitions, etc.). Trainees may not be employed on a public holiday, unless an exemption is granted. (art. 15)
• No statutory leave in principle: unless more favourable provisions are agreed with the host organisation. (art. 16)
• Authorised absences by the trainee to attend examinations set by the educational establishment or for any obligation arising from the trainee's training: the host organisation must authorise these absences, which do not result in a reduction in the bonus and do not have the effect of extending the duration of the traineeship, which terminates automatically on expiry of the term set out in the traineeship agreement. (art. 17)
• Obligations of the host organisation: 1°) to ensure the practical training of the trainee during the period of the placement by assigning him tasks in accordance with the teaching project defined by her/is educational establishment; 2°) to appoint a tutor who may not be responsible for more than 2 trainees at the same time during the same period; 3°) to receive the educational establishment's contact person in order to monitor the trainee; 4°) working, health and safety conditions with regard to its trainees, in accordance with the legal and regulatory provisions which provide for the protection of its employees in this respect; 5°) adapting the professional skills and equipment made available and the techniques taught to the teaching project. (art. 18)
• Role of the tutor appointed by the host organisation: welcoming, supporting and training the trainee. They are responsible for ensuring that the educational provisions of the placement agreement are complied with. Unrehabilitated persons who have been convicted of a felony or misdemeanour within the previous 5 years and sentenced to more than 3 months' imprisonment in Monaco or abroad may not act as tutors. (art. 19)
• Obligations of the trainee: 1°) to remain a student of the educational establishment, which implies that he/she must attend classes and knowledge tests at the educational establishment (the trainee retains his/her status as a student for the duration of the work placement, subject to compliance with these conditions); 2°) to comply with the terms of the traineeship agreement; 3°) to comply with the rules and practices in force within the host organisation and to submit to the power of direction and control of the person authorised to represent the host organisation. (art. 20)

→ PENAL PROVISIONS (Chapter V)

• Labour inspectors ("inspecteurs du travail") are responsible for ensuring compliance with the provisions of the present law and the texts adopted for its application, and in particular for recording breaches of the said law. (art. 21)
• The following breaches of the law will be deemed to constitute undeclared work: 1°) failure to register properly at a higher education establishment; or 2°) failure to comply with the age requirement for the trainee; or 3°) failure to comply with the visa and registration requirements; or 4°) failure to comply with the work placement agreement; or 5°) failure to comply with the duration of the work placement; or 6°) failure to comply with the purpose of the work placement; or 7°) failure to comply with the maximum number of trainees present in the host organisation. These breaches are compounded by the fact of carrying out a traineeship despite the refusal of authorisation by the Labour Department. Violations are subject to the penalties set out in Law no. 629 of 17 July 1957 regulating conditions of recruitment and dismissal in the Principality (art. 22).
• Other offences: separate criminal penalty (fine provided for in article 29, number 2 of the Criminal Code - €75 to €200) in the event of failure to comply with the following obligations: 1°) gratification of traineeship; or 2°) working hours; or 3°) rest periods; or 4°) authorised absences; or 5°) obligations of the host organisation. If there is more than one offence, as many fines are imposed as there are offences or trainees concerned. In the event of a repeat offence (in the 12 months prior to the act being prosecuted, the host organisation has already been convicted of the same offence), the host organisation is liable to the fine provided for in article 26, number 1 of the Criminal Code (from €1,000 to €2,250). (art. 23)

¤ AMENDMENT TO LAW NO. 1.341 OF 3 DECEMBER 2007 ON THE APPRENTICESHIP CONTRACT (Part II)

→ Increase in the maximum age for apprenticeships to 29 (amendment of article 8, paragraph 1 of Law no. 1.341) (Art. 24)

→ Replacement of the terms "attentats aux mœurs" ("indecent assault") by "délits" ("offences") (relating to the employer or apprenticeship master), in view of the changes in terminology since Law no. 1.517 of 23 December 2021 reforming the provisions relating to the criminalisation of sexual assault, and to include other misdemeanours such as e.g. assault and battery, fraud, theft, breach of trust, drug trafficking, etc. (amendment of art. 12 of Law no. 1.341) (art. 25)

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Related texts (in French):

• Circulaire n° 07.03 du 26 février 2007 relative aux stages dans les entreprises
• Arrêté Ministériel n° 2020-897 du 21 décembre 2020 portant modification du règlement d'attribution des bourses de stages
• Loi n° 1.341 du 3 décembre 2007 relative au contrat d'apprentissage
• Loi n° 1.334 du 12 juillet 2007 sur l'éducation (art. 40)
• Loi n° 1.047 du 28 juillet 1982 sur l'exercice des professions d'avocat-défenseur et d'avocat, modifiée
• Loi n° 975 du 12 juillet 1975 portant statut des fonctionnaires de l'État, modifiée
• Loi n° 1.096 du 7 août 1986 portant statut des fonctionnaires de la Commune, modifiée
• Loi n° 1.228 du 10 juillet 2000 portant statut des Greffiers, modifiée
• Loi n° 1.231 du 12 juillet 2000 relative aux professions d'expert-comptable et de comptable agréé, modifiée
• Loi n° 629 du 17 juillet 1957 tendant à réglementer les conditions d'embauchage et de licenciement en Principauté, modifiée
• Arrêté Ministériel n° 2008-354 du 9 juillet 2008relatif aux travaux dangereux auxquels les apprentis ne peuvent être soumis

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