An unemployment rate of 7.2% of the active population, its lowest level since 1982, and which has fallen for the seventh consecutive year. An employment rate of 15 to 64 years at 68.1%, its highest level since it was measured by INSEE in 1975. An underemployment rate (part-time people who want to work more) at 4.6% of people employed, their lowest level since 1992. This is the evaluation that INSEE prepared this week of the year 2022 on the employment front.
However, the Head of State, who is aiming for full employment by 2027 (unemployment rate below 5%), does not count on this downward trend to achieve his goal.
Especially since some forecasts point to a return to growing unemployment in a context of a return to inflation and a contraction in consumption. In these medium-term projections published this week, the Banque de France estimates that the rate could rise to 7.5% this year and exceed 8% in 2024.
After Muriel Penicaud’s Labor Law in 2017 (cap on labor compensation, primacy of company agreements over branches, etc.), the apprenticeship reform of 2018, the transformation of the CICE into a reduction of contributions for wages low in 2019 or unemployment insurance reforms of 2019 and after 2023, the government is preparing again to legislate on employment.
As Emmanuel Macron recalled during his speech on March 22, the government is preparing a new “full employment law” project that should be unveiled in the coming weeks before a first vote in the Senate that the government expects next month July.
RSA target
What will this text initially desired by the Head of State last summer contain? He will resume most of the measures announced by the candidate for his re-election, particularly those on the RSA, as he recalled on March 22.
While France has 1.8 million RSA beneficiaries, this forthcoming law aims to bring them closer to work from which they are sometimes distant.
“Our current system has a weak link: the way we follow RSA beneficiaries, acknowledged in February Jean Bassères, general director of Pôle Emploi in Le Parisien. Once registered with CAF, they are directed by the department towards a social support, Pôle emploi or other partners. However, we find that a large fraction of people remain for a long time in an exclusively social course. We also have to work on employment.”
France has 1.8 million RSA beneficiaries of which only 40% are registered with Pôle Emploi, we recall from the Ministry of Labor. Therefore, these beneficiaries of the social minimums will be automatically registered in Pôle Emploi if their state of health allows it.
This is the principle that governs the creation of France Travail, which should replace Pôle Emploi if the new law is approved. In this new agency, the departmental teams in charge of monitoring RSA beneficiaries for the social component will work with those of Pôle Emploi for reinsertion.
Better monitoring but also more homework. As Emmanuel Macron had announced during his campaign, the RSA should be conditional on 15 or 20 hours of weekly activity that should consist of internships, training, support or immersion in business.
Some twenty departments are preparing to experiment and define appropriate activities that will inspire the future bill.
The text that will be presented by the Minister of Labor Olivier Dussopt will also include a series of other provisions: on the sharing of value with the transcription of the agreement concluded by the social partners last February (sharing of profits and participation in the companies of 11 employees in particular) in the Labor Code but also on the universal time account and the possible provisions on wear and tear mentioned by the Head of State on Wednesday without further details.
Source: BFM TV
