It is one of the main announcements of Emmanuel Macron, Tuesday July 14, on television: the executive plan for the employment of the young people will pass by a measure of exemption from charges in favor of the companies which will recruit youth. It will take a few days to know the precise contours.
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Emmanuel Macron did not go into detail about the device. He was content to fix the principle: no more social contributions to be paid by the employer for one to two years for any hiring of a young person, provided that his salary does not go beyond 1, 6 times the minimum wage, in other words 2,400 euros gross). This eliminates the bac + 5 whose hiring salary is generally higher. Hence the dissatisfaction of student organizations and technology companies.
"This help can really make a difference"
Nevertheless, in today's context, this is THE measure that needed to be taken, says economist Stéphane Carcillo, labor market specialist at the OECD: "It is quite effective in current period because there are a lot of companies that hesitate to take the hiring stage, given the uncertainty. This help can really make a difference. In 2009-2010, during the financial crisis, had had similar arrangements which had had a fairly significant effect on hiring at a very reduced cost in the end because there had been relatively little windfall effect ".
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It remains to specify the calibration of the measurement. In particular the age beyond which the exemption will no longer apply. 25 years ? 30 years ? In terms of budgetary cost, it will not be the same thing. As it will not be the same if all hires are affected, or only hires on permanent contracts.