The Minister of Labor, Muriel Pénicaud, in Paris on April 1, 2020. - Romain GAILLARD / POOL / SIPA

Even if it is an aid device, the figures communicated by the government on partial unemployment give an idea of ​​the emerging economic crisis. The health crisis has hit businesses hard. The use of partial unemployment now concerns five million employees in 473,000 companies, or a quarter of the private sector, announced Friday evening the Minister of Labor, Muriel Pénicaud.

Thanks to partial unemployment:
▶ ️ 5 million employees keep their jobs: 1/4 of the private sector
▶ ️473,000 companies keep their skills to bounce back.
In the USA in 2 weeks: 10 million workers made redundant
Proud of our model 🇫🇷 which protects employees and companies

- Muriel Pénicaud (@murielpenicaud) April 3, 2020

In two days, it is a million additional employees for whom companies have asked for help after almost three weeks of confinement to fight against the coronavirus. “In the USA in 2 weeks: 10 million employees made redundant. Proud of our model that protects employees and businesses, ”enthuses the Minister, while the principle of partial unemployment does not exist across the Atlantic.

Avoid waves of mass layoffs

The government is betting on partial activity to avoid waves of mass layoffs during the Covid-19 crisis in France. The employee is then compensated up to 70% of the gross salary and 84% of the net salary. This compensation is now fully paid by the State up to a gross remuneration of 4.5 times the minimum wage. The employer always has the option of supplementing the employee's compensation so that the latter does not suffer a drop in income. According to a decree published Friday, the company will be able to use it for a maximum of one year (1,607 non-working hours) instead of six months so far.

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