Unemployment insurance: benefits fell by 16% on average with the previous reform

Unédic has prepared a first balance of the previous unemployment insurance reform that shows an average drop of 16% in daily allowances for the unemployed affected, according to internal documents. This reform, launched in 2019 and fully valid at the end of 2021, has notably tightened the compensation conditions for job seekers, particularly those alternating periods of work and inactivity.

The joint body, which manages unemployment insurance, observes in view of the results related to the data from the end of June 2022 that the beneficiaries affected by the reform have an average daily allowance 16% lower than what they would have received with the old rules. At the same time, the average potential duration of the rights has increased, up to 18 months on average (+3 months).

20% drop in openings or recharges of rights compared to 2019

Unédic also notes a 20% drop in the opening or recharging of rights compared to 2019, due to the new rules and economic effects. The decrease is greater among those under 25 years of age (-26%), beneficiaries who leave fixed-term contracts (-30%) or temporary contracts (-37%). The proportion of benefit recipients among those registered with Pôle emploi was 36.6% in June 2022 (compared to 40.4% in December 2021).

The reform also introduced a degressivity of 30% for the unemployed under 57 years of age who received a gross salary of more than 4,500 euros. Unédic points out that this affected 31,000 beneficiaries in June and potentially another 52,000 in the following months.

Some 300,000 fewer beneficiaries of benefits with the new reform

In another document, Unédic evaluates the effects of the new reform presented at the end of November that will mean, by decree, a 25% reduction in the duration of compensation for all job seekers who open rights as of February 1.

On average, at cruising speed (after 5 years), the number of indemnified beneficiaries would be reduced by 12%, or some 300,000 people, and the reform would generate “less spending of some 4,200 million euros.”

In a press release, the CGT believes that “it was not wrong in its forecasts when denouncing a dismantling.” “The 2021 reform not only excluded a very high number of unemployed workers from compensation, but it especially affected young people as well as workers who lost a CDD or a temporary contract,” writes the union, which denounces a ” next twist”. with the new reform.