France imposes $87,000 fine per unsolicited telemarketing call
The new law aims to protect consumers from intrusive sales calls.
1France's new telemarketing law takes effect
France has introduced a new law to protect consumers from unsolicited sales calls and shield vulnerable individuals from fraud. Backed by President Emmanuel Macron's government, the law came into force on June 18, 2024. Unlike the previous opt-out system, it prohibits businesses from contacting consumers without explicit prior consent. French authorities estimate about three-quarters of the population receives at least one unwanted sales call per week.
2Heavy penalties to be imposed
Under the new law, individuals making unauthorized telemarketing calls face fines up to €75,000 ($87,000) per call, while companies risk penalties up to €375,000 ($435,000). Exceptions include cases where consumers give explicit consent or when companies contact existing contractual customers with new commercial offers. In 2023, an Ireland-based company was fined €6 million for calling numbers on France's do-not-call list.
3Joint appeal from 11 consumer organizations
In early 2024, 11 consumer groups jointly called for the ban, condemning the 'relentless harassment of consumers through countless unwanted telemarketing calls to both landlines and mobile phones.' Alice Vilcot of France's Directorate-General for Competition emphasized that consent can be withdrawn at any time. The law was approved by parliament last year.
450,000 jobs at risk in Morocco
The new law has raised concerns in Morocco's call center industry. Employment Minister Younes Sekkouri warned up to 50,000 jobs could be at risk. The sector generates over $1 billion in annual revenue in Morocco and has attracted about $100 million in investment. Youssef Chraïbi, head of the Moroccan Federation for Outsourcing Services, noted the French market historically accounted for over 80% of the industry's revenue.
5Morocco's advantages and industry transformation
Low labor costs, a large French-speaking workforce, and relatively weak unions made Morocco an attractive outsourcing destination. Chraïbi revealed pure telemarketing now represents just 15-20% of total activity as the sector diversified beyond traditional call center services. French companies particularly favored Morocco for cost reduction.
6Similar measures in Europe
Germany has had a comparable ban since 2009. The Netherlands recently tightened telemarketing rules, now prohibiting companies from making promotional calls even to existing customers without prior authorization. Opt-out systems prevail in the US (National Do Not Call Registry), Canada (Do Not Call List), and UK (Telephone Preference Service). UK companies face fines up to £500,000 ($670,000) per unauthorized call.
7Consumer complaints persisted for years
Previously in France, consumers could register their numbers with a government-run service to avoid marketing calls, but consumer groups reported many call centers ignored the list. Authorities describe the law as a response to years of consumer complaints. Consumers can report unwanted calls through a government website.
8Will the opt-in system prove more effective?
France hopes its mandatory opt-in approach will yield better results than the opt-out systems many countries use. Experts believe explicit consent requirements will strengthen consumer rights but necessitate significant changes in marketing practices. The law's economic impact, particularly on outsourcing hubs like Morocco, will be closely monitored.