French employers with more than ten staff woke up to higher payroll costs on 1 January 2026 as new ‘versement mobilité’ rates took effect. The transport contribution—earmarked exclusively for funding local public-transport networks—has been re-indexed, with rises of 0.05 to 0.15 percentage points across 12 metropolitan areas, including Paris, Lyon and Toulouse. The Ministry of the Economy also activated a new ‘Versement Mobilité Rural et Régional’ (VMRR) that allows regions to impose the levy in rural communes previously exempt.
For global-mobility teams the change matters because many multinationals use shadow payrolls or split contracts for expatriate staff. Mis-calculating the levy can lead to URSSAF audits and back-payments with 5 % interest and penalties. Companies seconding staff to multiple French sites must now track the employee’s physical workplace by commune each month to apply the correct rate—a task complicated by hybrid working patterns.
In this context, VisaHQ can be a valuable ally. The company’s online platform simplifies the process of securing French work visas and residence permits for expatriates, provides status dashboards for HR teams, and issues automated compliance reminders—services that dovetail neatly with the new need for precise localisation of staff for payroll purposes. More details are available at https://www.visahq.com/france/.
![Employers face higher ‘Versement Mobilité’ payroll levy and new regional zones from today]()
HR specialists recommend updating payroll software immediately and reviewing assignment cost projections: for a gross monthly salary of €6,000 in the Grand Paris zone, the rate shift from 2.95 % to 3.05 % adds roughly €60 per month per assignee. Mobility budgets that include transport-allowance ‘gross-ups’ should be re-calculated or risk cost overruns.
The government argues the hike is essential to cover operating subsidies for new low-emission bus fleets and to offset revenue lost during the 2025 fuel-tax freeze. Business-lobby group MEDEF warns, however, that the cumulative payroll burden undermines France’s attractiveness for head-office functions and may deter near-shore relocation projects post-Brexit.
Looking ahead, policymakers plan a mid-year review on 1 July 2026, leaving the door open to further increases if fare-box recovery ratios do not improve. Companies with large commuter populations are encouraged to promote tele-working on high-rate days or offer sustainable-mobility packages, which remain exempt from social charges up to €800 per year.
For global-mobility teams the change matters because many multinationals use shadow payrolls or split contracts for expatriate staff. Mis-calculating the levy can lead to URSSAF audits and back-payments with 5 % interest and penalties. Companies seconding staff to multiple French sites must now track the employee’s physical workplace by commune each month to apply the correct rate—a task complicated by hybrid working patterns.
In this context, VisaHQ can be a valuable ally. The company’s online platform simplifies the process of securing French work visas and residence permits for expatriates, provides status dashboards for HR teams, and issues automated compliance reminders—services that dovetail neatly with the new need for precise localisation of staff for payroll purposes. More details are available at https://www.visahq.com/france/.
HR specialists recommend updating payroll software immediately and reviewing assignment cost projections: for a gross monthly salary of €6,000 in the Grand Paris zone, the rate shift from 2.95 % to 3.05 % adds roughly €60 per month per assignee. Mobility budgets that include transport-allowance ‘gross-ups’ should be re-calculated or risk cost overruns.
The government argues the hike is essential to cover operating subsidies for new low-emission bus fleets and to offset revenue lost during the 2025 fuel-tax freeze. Business-lobby group MEDEF warns, however, that the cumulative payroll burden undermines France’s attractiveness for head-office functions and may deter near-shore relocation projects post-Brexit.
Looking ahead, policymakers plan a mid-year review on 1 July 2026, leaving the door open to further increases if fare-box recovery ratios do not improve. Companies with large commuter populations are encouraged to promote tele-working on high-rate days or offer sustainable-mobility packages, which remain exempt from social charges up to €800 per year.
