Unemployment insurance will see further tightening by July 1. Main avenue studied: extend the waiting period. A measure which would mainly affect executives. Explanations.
At the end of January, Prime Minister Gabriel Attal indicated that he wanted to go further in reforming unemployment insurance. New measures are taking shape. This time, it is the extension of the waiting period which is favored by the government.
The waiting period is the period of time after a dismissal or a contractual termination during which the former employee must wait before receiving his allowance, if he received compensation greater than the legal minimum. The greater the amount received as part of severance, contractual or transactional termination compensation, the longer this period.
Currently, the waiting period cannot exceed 6 months. This ceiling could be pushed for eight months, or even more, according to information from the Parisian. A measure which, if officially validated, would mainly target executives, as Sophie Binet, general secretary of the CGT, explained to the daily newspaper after an interview with the Minister of Labor, Catherine Vautrin.
Application by July 1
The trade unions and employers’ organizations will be received in mid-May for consultation. This new measure should in any case apply from July 1. Stated objective: to contribute to the achievement of full employment, by promoting the rapid return to employment of unemployed people receiving compensation, indicated the government in a press release on April 22. No agreement had been reached with the unions and employers’ organizations on the Pact for Life at Work. The government announced that the measures will be set by a decree published by June 30.
Other options on the table include strengthening the bonus-malus for short contracts to further encourage long fixed-term contracts or permanent contracts, or even a generalization of the reduction in unemployment benefits.