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Unemployment insurance: El Borne announces the withdrawal of the part of the decree that reduces compensation by 40%

Elisabeth Borne announces the withdrawal of the controversial part of the decree on unemployment insurance announced on December 23, which consisted of reducing the duration of compensation by 40% if unemployment fell below 6%.

Elisabeth Borne announced on Tuesday the withdrawal of the controversial part of the decree on unemployment insurance announced on December 23, which consisted of reducing the duration of the compensation by 40% if unemployment fell below 6%.

Unveiled on Christmas Eve, this provision of the new unemployment insurance reform – a reduction in the length of compensation by 40% if unemployment falls below 6% – had angered unions and the political opposition, especially left.

“We wanted to be transparent by showing all the situations and the rules that would apply, even if the unemployment rate falls below 6%,” Elisabeth Borne explained to franceinfo.

As announced at the end of November, the project provides for a 25% reduction in the duration of compensation for all job seekers who open rights from February 1 in mainland France.

The government renounces part of the decree

But as a novelty, it was expected that the duration of the compensation would be reduced by 40% and not by 25%, when the unemployment rate falls below 6% (it is currently at 7.3%).

“The decree is not a surprise. The Minister of Labor has been consulting for months with employers’ organizations and unions on a principle that we want to introduce for unemployment insurance, which is that the rules evolve according to the situation of the workers. market”, Elisabeth Borne also declared.

The Ministry of Labor clarified this Tuesday morning, after this announcement, that “the principle of countercyclicality is already in the law published on December 21 and will therefore be one of the central elements of the future negotiation of the social partners in the issue of compensation rules from January 24.

Author: SA with AFP
Source: BFM TV

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