the manager will tighten the principles to attain 3.6 billion euros in financial savings per 12 months | EUROtoday

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The Minister of Labor, Catherine Vautrin, in Paris, April 3, 2024.

The contours of the unemployment insurance coverage reform have gotten clearer. On Wednesday May 22, the Minister of Labor, Catherine Vautrin, initiated a collection of conferences with union and employer officers to current the avenues favored by the manager. She advised them that the copy might nonetheless evolve following these exchanges, the ultimate choices having to be made public on Sunday by Gabriel Attal, the top of presidency. But the social companions imagine that the mass has been stated.

A decree, deliberate to come back into drive staggered between 1er July and 1er December, might be taken to tighten the principles relevant to job seekers. These modifications ought to enable the creation of 90,000 positions. They would additionally in the end generate 3.6 billion euros in financial savings per 12 months – or just a little greater than 10% of the entire quantity of allowances paid in 2023. An quantity “monstrous”in response to Marylise Léon, the final secretary of the CFDT. “This is the worst reform in the entire history of the regime”provides Denis Gravouil, confederal secretary of the CGT.

The situations revealed Wednesday by Mme Vautrin started to leak the day earlier than into The echoes earlier than being virtually fully revealed by The Parisianwhereas the Minister of Labor had accomplished just one interview out of the 9 scheduled with representatives of staff and enterprise leaders (three of them to happen on Thursday and one other on June 5).

Expand the “bonus-malus” for companies

Mme Vautrin confirmed to his interlocutors that the federal government needs to make the situations for granting rights extra stringent. The resolution that holds the rope could be to elongate the “affiliation period” as follows: to any extent further, you would need to have labored eight months over the past twenty to acquire a profit, in comparison with six over the past twenty-four months at the moment (thirty-six for individuals aged at the very least 53). A change in parameter which might primarily have an effect on younger individuals and probably the most precarious (short-term employees, seasonal employees, staff on quick contracts).

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Another essential orientation: the “countercyclicality” mechanism, created by a regulation of December 2022, ought to be supplemented. It has the impact of introducing extra extreme guidelines when the financial scenario is nice and of enjoyable them when exercise deteriorates. Such a system has already shortened the period of compensation by 25%, so long as the unemployment price is beneath 9% – which is at the moment the case, since it’s rises to 7.5%. In the longer term, a brand new threshold might be established, with a further discount within the period of compensation if the unemployment price falls beneath 6.5%: on this configuration, the discount could be 40%, which might lead to roughly fourteen and a half months of unemployment insurance coverage rights (in comparison with eighteen immediately and twenty-four earlier than the entry into drive of the regulation of December 2022, with regard to individuals beneath 53 years).

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