The CSE in companies with fewer than 50 employees: a limited but meaningful role in group insurance
In France, within companies employing fewer than 50 people, the Social and Economic Committee (Comité Social et Économique – CSE) has more limited powers compared to its counterparts in larger organizations. This directly affects its involvement in matters related to group insurance, such as health coverage and disability or life insurance. Below is a detailed overview of its responsibilities in this context.
In France, within companies employing fewer than 50 people, the Social and Economic Committee (Comité Social et Économique – CSE) has more limited powers compared to its counterparts in larger organizations. This directly affects its involvement in matters related to group insurance, such as health coverage and disability or life insurance. Below is a detailed overview of its responsibilities in this context.
What is the Social and Economic Committee (CSE)?
The CSE is the official employee representative body within a company.
Its establishment is mandatory in companies with at least 11 employees, provided this threshold is met for 12 consecutive months.
In companies with 50 or more employees, the CSE takes on broader responsibilities, including overseeing or participating in the management of social and cultural activities intended for employees, former employees, their families, and interns.
General scope of the CSE's role in companies with fewer than 50 employees
In smaller companies, the CSE primarily serves as a representative for both individual and collective employee interests in dealings with the employer. Its main responsibilities include:
- Addressing individual or collective complaints (e.g., regarding compliance with labor laws or collective bargaining agreement)
- Monitoring health, safety, and working conditions
- Acting as a whistleblower in cases of serious danger or violations of employee rights
Unlike in larger companies, the CSE in businesses with fewer than 50 employees does not have decision-making authority or a mandatory consultation role on the company’s economic strategies or HR policies.
CSE responsibilities related to group insurance
What the CSE can do:
Report employee concerns related to mandatory complementary private health insurance or life plan (e.g., issues with coverage, non-compliance with contractual terms, lack of transparency)
Request information about the setup or changes to a group insurance policy if employees request it
Provide non-binding opinions if solicited by the employer, particularly for feedback or informal consultation
What the CSE cannot do:
- It is not required to be formally consulted on the implementation, modification, or cancellation of group insurance plans (health, life, disability, etc.)
- It does not have authority to negotiate group insurance policy or determine their content
- It does not handle the administration of benefits or manage relationships with insurers
Setting up group insurance plans in companies with fewer than 50 employees
In small businesses or SMEs, group insurance schemes (such as supplemental health plans) can be implemented via:
- A unilateral decision by the employer (DUE)
- A company-wide referendum
- A collective bargaining agreement (rare but possible if a union or a mandated employee is involved)
The CSE plays a minimal role in these processes, unless the employer proactively seeks broader consultation.
Special case: CSE's role in occupational health matters
If a group insurance plan negatively impacts employee health or safety, the CSE may:
- Act within its remit relating to health, safety, and working conditions (SSCT)
- Refer the situation to the labor inspectorate or request expert assessment in serious or complex scenarios
While the CSE in companies with fewer than 50 employees lacks formal authority over group insurance arrangements, it still serves an important role by representing employee concerns and fostering constructive social dialogue within the company.