Barthélémy Philippe / Photo credit: MAGALI COHEN / HANS LUCAS / HANS LUCAS VIA AFP 2:47 p.m., March 28, 2024

At 8 p.m. on TF1 on Wednesday evening, Gabriel Attal announced a new reform of unemployment insurance by the fall. According to the executive, our social system does not sufficiently encourage a return to work. Certain indicators actually make France one of the most generous countries on the Old Continent.

Unraveling the welfare state. This is the executive's stated desire to fundamentally transform France's social model. Guest of 8 p.m. on TF1 on Wednesday evening, the Prime Minister, Gabriel Attal, spoke of the objective of full employment in 2027 while the unemployment rate is around 7.5%. And while the head of government announced that a new reform of unemployment insurance would take place by the fall, how does France compare to its main European neighbors?

Its unemployment rate remains higher than the continent's average. Only Spain and Greece are doing worse with around 10% unemployed. For the government, this poor performance is not unrelated to our overly generous system. Unemployment insurance would not provide sufficient incentive to return to work. According to economist Bertrand Martinot, this is rather true regarding the maximum duration of compensation that Gabriel Attal wants to reduce. 

A six-month compensation period in the United Kingdom

"France remains among the most generous with 18 months. With 12 months, we would really be average. Some countries go further like the Netherlands where it can reach 24 months. But in Germany, it is 12 months and in the United Kingdom, it is six months,” says the expert. On the other hand, Gabriel Attal seems less inclined to lower the level of compensation. “France is approximately the European average. Your net allowance amounts to approximately three-quarters of your previous salary.” 

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Finally, there is the connection between the duration of work and the duration of compensation. On this point, France is very generous, because one month of work gives the right to one month of allowance. In Germany, you must have worked 12 months to receive one month of unemployment.