The government announced changes to unemployment insurance rules from July 1. MP Renaissance reacts on franceinfo.
Published
Reading time: 9 min
“The eligibility lever is the most effective in encouraging people to return to work”declared Monday April 22 Marc Ferracci, Renaissance deputy for French people established outside France and economist, while the government announced it would set new rules to define unemployment insurance from 1er July. For the moment, the executive has not yet revealed the changes that will be made, but three levers could be activated: the duration of compensation, the amount of compensation and the eligibility criteria. For the economist, it is this last lever which would be “the fairest and most efficient”.
According to Marc Ferracci, it would be more relevant to “ask employable people to work more”. Furthermore, modifying the eligibility criteria is a more effective measure than modifying the duration of compensation, since it is a measure with medium-term effects: “we will have to wait until people reach the end of their compensation period before having an impact on employment”, he fears. The elected Renaissance recognizes that “unemployment insurance is not the miracle potion to achieve full employment”but considers it as “a lever with effects”which will need to be coupled with other measures, such as “invest in professional training” Or “act on the peripheral brakes” (such as health, housing, or childcare issues).
The reform must also take into account the companies for which Marc Ferracci proposes to expand the “bonus/malus” system. This system, which notably limits short contracts, already affects several sectors. Generalizing it to the entire economy would allow “all companies must contribute to the collective effort in favor of job quality”since short contracts are very precarious for employees, recalls MP Renaissance.