To reform unemployment insurance, the government is inspired by Canada


Benoit Tessier via Reuters The Minister of Labour, Full Employment and Integration, Olivier Dussopt and Prime Minister Élisabeth Borne, leaving the Élysée Palace on June 14, 2022.

Benoit Tessier via Reuters

The Minister of Labour, Full Employment and Integration, Olivier Dussopt and Prime Minister Élisabeth Borne, leaving the Élysée Palace on June 14, 2022.

UNEMPLOYMENT – Extend the reform by setting an objective: to turn all the rules, in particular those of compensation, towards the return to employment. The Minister of Labor, Olivier Dussopt presents this Wednesday, September 7 in the Council of Ministers the new reform of unemployment insurance, announced by Emmanuel Macron during his interview on July 14.

This will be subject to consultation with the social partners. “from the start of the school year”, after a first round of discussions on the governance of the regime. The text must be discussed very quickly in Parliament.

On philosophy, the government found inspiration abroad. “Our compensation rules must take into account the situation of the labor market, as does, for example, Canada”, explained in July to the Parisian the former Minister of the Budget, who replaced Élisabeth Borne rue de Grenelle. He then recalled that the first part of the reform, which tightened the conditions for compensation, expires on November 1, 2022 and that it must be extended. ” The principle is simple: when things are going very well, the rules have to be more incentivizing and when things are not going well, they have to be more protective. “, summed up Olivier Dussopt this Wednesday morning on franceinfo.

Towards an evolutionary duration of compensation?

New rules subject to the economic situation and the dynamism of the job market, what does that mean? “This evaluation will go through either criteria, such as the number of consecutive quarters with an improvement in employment, or by a committee that gives us an opinion. The modalities are not fixed »then slipped Olivier Dussopt, while his ministry announced at the same time a new drop in the number of unemployed registered with Pôle Emploi between April and June (3,165,900 in category A, i.e. a drop of 15.1% over one year, and 5,436,100 for A, B and C, i.e. -8.9% over one year).

“The latest reform modified the daily reference wage and the period for recharging rights. Tracks can be opened, on the duration of compensation and its decreasing nature “, adds the Minister. In Canada, there is no degressivity in the amount of compensation linked to the unemployment rate. On the other hand, the number of hours worked necessary to open one’s rights and the duration of the compensation vary at the level of each province according to the health of the labor market.

The higher the unemployment rate, the more the number of hours worked required to open one’s rights decreases. In a region with an unemployment rate below 6%, you must have worked 700 hours to be eligible for unemployment compensation, compared to 525 if this rate is between 10.1 and 11%.

Duration of affiliation to open rights to compensation according to the regional unemployment rate

Unedic Duration of affiliation to open rights to compensation according to the regional unemployment rate

Unedic

Duration of affiliation to open rights to compensation according to the regional unemployment rate

In the same philosophy, the higher the unemployment rate, the longer the duration of compensation. “Thus, a person who has worked for 700 hours will be eligible for 14 weeks of compensation if he resides in a region with an unemployment rate below 6%, while he will be eligible for 36 weeks of compensation in a region with an unemployment rate above 16%”explains the Unédic study.

“In Canada, 40% of job seekers remain unemployed for less than a month, and only 7% are there for more than a year. In France, it’s the exact opposite! »argued the Parisian Éric Chevée the vice-president of the Confederation of Small and Medium-Sized Enterprises (CPME), an employers’ organization which defends and pushes this idea to face the “recruitment tension” feedback from employers in many sectors.

“The labor market does not work like that”

A doctrine that is not shared by all economists and trade unions. Many of them warn of a model that cannot necessarily be transposed to the particularities of economic activity and the labor market in France, or even to the level of training of our job seekers. “The labor market does not work like that”recently explained the number two of the CFDT, Marylise Léon, to our colleagues from the World.

“In the vast majority of cases, the labor problems of companies refer rather to shortages of skills, working conditions and remuneration and also to the fact that, unfortunately, many employers do not know how to recruit », she adds. The CGT fears for its part a reform synonymous with “pauperization” increased for the unemployed and introducing “reduced rights”.

Unions also point to the fact that the government has not yet assessed the impact of the measures that will come into force from 2021 before” go further “ on the reform of unemployment insurance. In addition, at the end of 2021, 30% of people registered with Pôle emploi were not compensated. The reduction in the duration of rights – when the unemployment rate drops – would therefore not encourage them any more to accept job offers.

See also on The HuffPost: How this 52-year-old, dismissed at 52, was able to recover

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