At a time when public finances are in the red, every economy is worth taking. This is why the government announced last February the imminence of a future reform of unemployment insurance. At the time, Bercy had set a target of 3.6 billion in annual savings. Forecasts revised upwards by Unédic this Tuesday, June 11. According to the body responsible for managing unemployment insurance, the reform would make it possible to generate between 4 and 5.4 billion per year within four to five years. Savings would reach between 3.2 and 4.4 billion in 2027.
A “massive” makeover of unemployment insurance
And for good reason, with the reform “there is either a delay in the acquisition of unemployment rights, or the exclusion of these rights, so it is quite massive”, explained the general director of Unédic Christophe Valentie during a presentation to the press.
To do this, the government chaired by Gabriel Attal intends to operate by decree. Thus the maximum duration of compensation for the unemployed will be lowered to 15 months for those under 57, compared to 18 months currently for those under 53. Obtaining rights will also be more difficult: you will need to have worked 8 months out of the last 20 months, compared to 6 months out of 24 months currently.
A reform threatened by dissolution?
Supposed to come into force on December 1, the reform remains suspended from the results of the legislative elections which will take place on June 30 and July 7. The National Rally and the left-wing parties, formed within a “Popular Front”, have already announced that they would abandon the project. Especially since regardless of these adjustments desired by the executive, Unédic should generate increasing surpluses until 2027, due to the effects of previous unemployment insurance reforms.
Details could be given by Emmanuel Macron this Wednesday June 12 during his press conference on the future of this reform to which the unions are fiercely opposed. Will it be implemented without waiting for the result of the legislative elections? The same day, the National Commission for Collective Bargaining, Employment and Vocational Training (CNNCEFP) must meet to issue an opinion on the government’s draft decree, previously submitted to the Council of State.