Tunisian Parliament Adopts New Law to Regulate Subcontracting and Strengthen Worker Protection
The Tunisian Parliament has adopted a new law aimed at regulating subcontracting and reinforcing the protection of workers. This text introduces several amendments to the Labor Code, particularly regarding sanctions, regularization of contracts, and integration of affected employees.
Sanctions for Non-Compliance with Legal Provisions
The law introduces a new Article 234 to the Labor Code, which provides for sanctions against any violation of the provisions governing subcontracting. Any non-compliant company will be liable to a fine ranging from 100 to 300 dinars per employee employed in breach of legal, regulatory, or contractual provisions, with a ceiling set at 10,000 dinars. Furthermore, several previous articles governing subcontracting have been repealed to harmonize the legislation.
Conversion of Fixed-Term Contracts
The law also provides for transitional measures directly impacting employment contracts. Henceforth, fixed-term contracts (CDD) that do not fall under exceptional cases defined by law will be automatically converted into open-ended contracts (CDI), regardless of their initial duration or the nature of the work. This provision applies to contracts concluded before the law comes into effect and are still in progress. The seniority acquired under these contracts will be taken into account, provided the employment relationship has been continuous, without interruption exceeding one year.
Moreover, the probationary period provided for in contracts signed before the law comes into effect remains valid, provided it does not exceed six months.
Integration of Subcontracted Workers
Another key measure concerns workers employed under prohibited labor subcontracting arrangements. These workers will now be considered full-fledged employees of the beneficiary company as of the law's entry into force. Their seniority will also be taken into account if their employment relationship with the beneficiary company has been continuous and without prolonged interruption.
Furthermore, fixed-term contracts terminated between March 6, 2024, and the law's entry into force, whether by the employer or under a now-prohibited labor subcontracting arrangement, will result in the automatic integration of the employee into the beneficiary company, provided the employment relationship has lasted at least four years. In the event of dismissal after integration, the employee will be entitled to an indemnity equivalent to two months' salary per year of seniority, with a minimum set at four months' salary.
Compliance Deadline for Companies
Finally, companies concerned by these new provisions have a maximum of three months to comply with the requirements of the Labor Code. This reform aims to limit abuses related to subcontracting and ensure more stable working conditions for affected employees.
With this law, the Tunisian legislature is strengthening the legal framework for labor and attempting to provide better protection for precarious workers, while holding companies that resort to subcontracting accountable.
