EurActiv Logo
EU news & policy debates
- across languages -
Click here for EU news »
EurActiv.com Network

BROWSE ALL SECTIONS

France seeks own employment solutions

Printer-friendly version
Send by email
Published 02 September 2010

Despite the EU's clearly-defined employment policies and 2020 job target, France will seek its own ways of responding to its citizens' main concerns – access to the job market and job security. EurActiv France reports.

Employment is a major concern in France, even more so since the economic crisis. Though the employment rate among 15-64 year olds increased during the first trimester of 2010, reaching 63.8%, the proportion of short-term and temporary contracts rose. Only 49.3% of this age group have permanent contracts (contrat à durée indéterminée; CDI).

In July 2010, the government presented its most recent figures with optimism: the number of unemployed people had fallen by 14,400 – the largest reduction since February 2008. Moreover, it was the first time since the onset of the crisis that unemployment had decreased for two consecutive months.

However, there are still 2,676,600 job seekers in France. Furthermore, 1,436,200 of them have been out of work for more than a year – a figure which rose by 27% in the previous twelve months.

Laurent Wauquiez, secretary of state for employment, confirmed on 25 July that ''employment has been, is and will be one of the major concerns of the government''. He was optimistic about a phase-out of unemployment before the end of 2010 and an actual decrease in 2011. On the other hand, he said the government would be ''cautious and realistic'' in the coming weeks.

EU target not a key objective for France

The EU's employment target, part of the 'Europe 2020 strategy and which aims to raise the employment rate among 20-64 year olds to 75% by 2020 – is not viewed as a major objective in France. According to Claude Emmanuel Triomphe, director of Metis (a media site dedicated to European work issues), "the French employment policy goal has never been to follow European policy".

Moreover, many French trade unions and observers believe that Europe 2020 does not offer genuine solutions to tackle unemployment. Denis Meynent, European affairs advisor at the trade union Confédération générale du travail (CGT), has ''strong reservations'' about the strategy's objectives. Even if the quantitative target is 5% higher than before, he said, a qualitative target is needed – particularly as short-term contracts are on the increase.

Both young and old workers in France are seriously concerned about unemployment: 23% of under-25s do not have a job, while the number of unemployed citizens above the age of 50 has strongly increased – a 17.6% rise within the last year. These figures explain why the government wants to bring in measures for the two age groups.

Government measures under fire

Government support for apprenticeships, which contributed to the improved employment rate among young people, is set to continue. Meanwhile, since 1 January 2010, companies with over 50 employees are obliged to set up three-year plans to boost jobs among older people. The government has also proposed the removal of costs for companies hiring older employees.

Nevertheless, Triomphe believes that the new measures will not solve the problems surrounding young and old recruitment. There may be a ''staggering turnover of measures'' aimed at improving France's employment policy, he noted, but the system ultimately lacks stability.

In addition, the measures will not change French habits – which are largely responsible for unemployment among senior citizens – and most policies are devised with large companies in mind, he stated.

The French government is also being criticised for its reform of the pension system, which will increase the retirement age from 60 to 62 years old. Trade unions have been particularly opposed to the reform, with a large demonstration set for 7 September.

Positions: 

In an article in Le MondeJean Pisani-Ferry, director of European think-tank Bruegel, describes the French employment situation as ''notoriously poor'', even though a lot of money has been spent on important tools such as unemployment compensation and the Pôle Emploi service, which helps jobless people find work and provides financial aid.

The economist explains that 4% of GDP has been spent on employment policy since 1990 – the same as in Scandinavia – but France has not been able to match the strong results in these countries. According to Pisani-Ferry, budget cutbacks will force French decision-makers to choose between policies that require financial support and those that do not.

In a joint statement on 'Europe 2020', the European Trade Union Confederation (ETUC) stated that the strategy must ''strike the right balance between measures to address the employment impact of the crisis and reforms aimed at addressing Europe's medium and long-term labour market challenges''. Analysts in France have also highlighted this issue.

Background: 

Raising the employment rate to 75% is one of the five priorities of a draft ten-year economic plan unveiled by the European Commission in March, called 'Europe 2020' (EurActiv 03/03/10).

The strategy defines five headline targets at EU level, which member states will be asked to translate into national goals reflecting their differing starting points:

  • Raising the employment rate of the population aged 20-64 from the current 69% to 75%.
  • Raising the investment in R&D to 3% of the EU's GDP.
  • Meeting the EU's '20/20/20' objectives on greenhouse gas emission reduction and renewable energies.
  • Reducing the share of early school leavers from the current 15% to under 10% and making sure that at least 40% of youngsters have a degree or diploma.
  • Reducing the number of Europeans living below the poverty line by 25%, lifting 20 million out of poverty from the current 80 million.

In a series of articles, the EurActiv network will present the state of play in individual EU countries on each of the targets. This series looks at how member states react to the employment target.

The EurActiv network has found that Eastern countries are doubtful about the poverty target and face an uphill battle to attain the climate goals (EurActiv 06/05/10; EurActiv 16/07/10). The education picture is mixed, while most member states will adopt R&D targets below the EU-wide goal of 3% of GDP (EurActiv 23/08/10; EurActiv 04/06/10).

More on this topic

More in this section

Advertising

Communication Partners

Sponsors

Videos

EU Priorities 2020 News

Euractiv Sidebar Video Player for use in section aware blocks.

EU Priorities 2020 Promoted videos

Euractiv Sidebar Video Player for use in section aware blocks.

Advertising

Advertising