Cleaning company: the transfer of staff (Annex VII) in 2026
When a contract changes provider, the staff follow. What Annex VII of the cleaning agreement changes for your payroll, your social liabilities and your margin by site.
Expert note: This article was written by our chartered accountancy firm. Information is current as of 2026. For a personalised review of your situation, contact us.
Quick answer. In cleaning, Annex VII of the national collective agreement for cleaning companies organises the automatic transfer of the employment contracts of staff assigned to a contract when it changes provider, under conditions of seniority and assignment. Winning a contract may therefore require taking on staff, and losing one transferring employees. In 2026, this mechanism remains the specificity that weighs most heavily on your payroll and your margin, in a trade where the wage bill is by far the leading cost item.
You run a cleaning company and you have just won (or lost) a tender. The first question is not commercial, it is social: what happens to the operatives who worked on that site? In most sectors, a change of provider starts from scratch. In cleaning, it does not. The staff assigned to the site follow you, with their seniority, their paid leave and their contract. This particularity radically changes the way you must keep your accounts, run your payroll and read your profitability.
What is the transfer of staff in cleaning?#
Annex VII of the collective agreement for cleaning companies provides that, when a contract changes provider, the incoming company takes on the employment contracts of the staff assigned to that contract, provided they meet conditions of seniority and assignment to the site concerned. The employment contract continues without interruption: no dismissal on the outgoing side, no new hire on the incoming side, but a transfer.
In practice, three parties are involved:
- The outgoing company, which loses the contract and must pass on to the incoming one the list of transferable staff, with their contractual details.
- The incoming company, which takes on these employees under their acquired conditions (seniority, grade, leave entitlements).
- The employee, whose job is preserved despite the change of employer.
The mechanism resembles the statutory transfer under article L1224-1 of the French Labour Code, but it differs from it: Annex VII is a sector-specific contractual scheme that applies on its own criteria, even where the conditions of the statutory transfer are not met. It is this interaction between contractual and statutory rules that calls for careful reading, case by case.
Why this rule changes everything for your management#
In a trade where the wage bill is the dominant cost item, the fate of staff at each tender is not an administrative detail: it is the core of your economic equation. At each contract movement, you have to manage several issues at once.
First, the social liabilities attached to transferred staff. You inherit their seniority, and therefore greater exposure in the event of a future termination (severance pay calculated on total seniority, longer notice). You also inherit their accrued and untaken paid leave, which must be properly valued and, where relevant, re-billed between the outgoing and incoming company.
Next, the entries-and-exits mechanics. In a single month, you may bring ten operatives onto a site you have won and transfer eight from a site you have lost. Each exit requires a rigorous final settlement; each entry, a reliable carry-over of contractual details. An error on leave balances or seniority is paid for in full during an employment tribunal dispute.
Hayot Expertise tip. Before responding to a tender, systematically ask your firm to cost the real social burden of the staff to be taken on: seniority, grade, leave balances, any ongoing absences. A contract that looks profitable on gross margin can become loss-making once these liabilities are included.
Transfer of staff: what you gain, what you inherit#
The table below summarises the concrete consequences of an Annex VII transfer depending on your position in the operation.
| Item | Incoming company (you win the contract) | Outgoing company (you lose the contract) |
|---|---|---|
| Employment contracts | Take on assigned and eligible staff | Transfer to the incoming company, no dismissal |
| Seniority | Preserved and now your responsibility | Leaves your scope, but must be documented |
| Accrued paid leave | To take on and value | To settle or re-bill depending on the case |
| Wage bill | Increases immediately | Decreases, sometimes with transitional understaffing |
| Hidden risk | Mis-costed social liabilities | Challenge to the transfer list |
| Cash | Payroll due before the first collection | Lag on final settlements |
Margin is read contract by contract, not globally#
Here is the most common steering mistake we see in cleaning files: reasoning on an overall result. A cleaning company's profitability is not read at the level of the consolidated income statement, it is read site by site. Analytical tracking by contract is essential, and it rests on a few simple indicators.
- The billed hourly rate compared to the cost hourly rate (loaded wages, supervision, consumables) for each site.
- Productivity, that is, the surfaces cleaned relative to the hours actually paid.
- Absenteeism and replacements, which inflate the real cost of a site when stand-ins are paid on top of absent permanent staff.
- The weight of the social liabilities taken on for the contracts concerned by Annex VII.
Without this dashboard, two contracts with identical revenue can have opposite margins without your knowing it. This is precisely the steering tool most often missing in the sector, and the first thing we set up as part of an outsourced finance director engagement.
Payroll, the most sensitive item to make reliable#
Widespread part-time work, staggered hours early in the morning or late at night, multi-site assignments, frequent replacements, soiling or sorting bonuses: payroll in cleaning is one of the most technical there is. Each month, the slightest mis-entered parameter spreads across dozens of payslips.
Mastering payroll, together with productivity tracking and the rigorous treatment of Annex VII transfers, directly drives profitability. Outsourced and secured payroll, supported by dedicated payroll and HR management, avoids mass adjustments and URSSAF reassessments linked to contributions mis-applied to modulated part-time contracts.
Points to watch for 2026#
- The transfer list. On both the incoming and outgoing side, formalise and, where appropriate, challenge the list of transferable staff: it is the number-one source of disputes.
- The payroll/collection lag. You pay the wage bill at each month-end while the service is collected later. On a contract you have won, anticipate this cash requirement from the start.
- The leave and seniority balances taken on. An approximate carry-over surfaces months later, at the worst moment, during a final settlement or a dispute.
- The interaction with article L1224-1. Depending on the configuration, the transfer may fall under the statutory scheme, the contractual scheme, or both. The classification has practical consequences for each party's obligations.
- Accounting consistency. The social liabilities taken on (paid leave, seniority) must be properly provisioned at the closing, or the true result of the year will be distorted.
Our analysis as chartered accountants#
We support cleaning companies of all sizes, and one observation recurs: in this trade, accounting is managed through payroll before it is managed through the balance sheet. The annual result is merely the outcome of a multitude of decisions taken site by site, month by month.
We supported a cleaning company that had won several office-sector contracts within a few months. On paper, the growth was spectacular. In reality, each contract won came with a transfer of staff whose real social cost had never been costed in advance. By setting up analytical tracking by contract and properly provisioning the social liabilities taken on, we revealed that two contracts were destroying the margin of the others. Management was able to renegotiate one and terminate the other within the rules, before cash was lastingly depleted.
Our conviction is simple: the value of a firm, in this sector, is not to produce a balance sheet once a year. It is to set up tracking by contract, make each transfer of staff reliable, anticipate the lag between monthly payroll and collection of services, and turn Annex VII into a decision parameter rather than an accounting surprise.
Frequently asked questions
Is the transfer of staff in cleaning mandatory?+
Yes, when the conditions of Annex VII are met. The contractual scheme requires the incoming company to take on the staff assigned to the contract who meet the seniority and assignment criteria. It is not an option left to the new provider's discretion. A case-by-case analysis remains necessary to check each employee's eligibility.
What is the difference between Annex VII and article L1224-1?+
Article L1224-1 of the Labour Code is a statutory transfer that applies when an autonomous economic entity is transferred. Annex VII is a contractual scheme specific to the cleaning sector that organises the carry-over of contracts on its own criteria, sometimes even where the conditions of the statutory transfer are not met. The two may overlap or substitute for one another depending on the situation.
What happens to the paid leave of staff taken on?+
Accrued and untaken paid-leave entitlements follow the employee. The incoming company inherits these balances and must value them correctly. Depending on the situation, re-billing between the outgoing and incoming company may be provided for. A rigorous carry-over of balances avoids later disputes during final settlements.
Why track margin contract by contract rather than globally?+
Because in cleaning, two contracts with identical revenue can produce opposite margins. The billed hourly rate, productivity, absenteeism and the social liabilities taken on vary widely from one site to another. Overall tracking hides the contracts that destroy margin. Only analytical tracking by contract lets you act in the right place.
Can a chartered accountant help anticipate a transfer of staff?+
Yes, and it is a decisive contribution before responding to a tender. The firm costs the real social burden of the staff to be taken on (seniority, grade, accrued leave), checks eligibility for the transfer, provisions the social liabilities and sets up margin tracking by site. The aim is to decide with full knowledge rather than to discover the costs after the fact.
Key takeaways#
- Annex VII of the cleaning agreement requires taking on staff assigned to a contract that changes provider, under conditions of seniority and assignment.
- Winning a contract means taking on staff and their social liabilities; losing one means transferring employees.
- As the wage bill is the leading cost item, every poorly anticipated transfer turns into a hidden cost.
- Profitability is read site by site, through analytical tracking of the hourly rate, productivity and absenteeism.
- Payroll is the most technical and most sensitive item: making it reliable drives margin.
- The firm's role is to anticipate transfers, provision the liabilities and set up steering by contract.
Every company has its own portfolio of contracts and its own constraints. To go further, discover our support for cleaning companies and our accounting and review services, then let's discuss your organisation.

Article written by Samuel HAYOT
Chartered Accountant, registered with the Institute of Chartered Accountants. Certified Pennylane trainer.
Regulated French accounting and audit firm based in Paris 8, built to support companies across France with a digital and decision-oriented approach.
Sources
Official and operational sources cited for this page.
- Convention collective nationale des entreprises de propreté et services associés, Légifrance
- Code du travail, article L1224-1 (transfert des contrats de travail), Légifrance
- FEP, Fédération des entreprises de propreté
- Reprise du personnel et changement de prestataire, service-public.fr (entreprises)
- Cotisations sociales et déclarations employeur, URSSAF
- Provisions pour congés payés et passifs sociaux, BOFiP
This topic is part of our service French payroll outsourcing | DSN, payslips, HR
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