the president of the Republic announced, in a meeting with the leaders of the employers ‘ organisations and trade unions which lasted several hours, Wednesday, June 24, at the Elysée palace, a part of his battle plan to avoid massive layoffs in the coming months. It is for support of partial unemployment. The containment is completed, the plan exceptional put in place at the beginning of the health crisis will be reviewed on the 1st October, in order to further encourage the resumption of activity, and to limit the cost to the budget already estimated at 30 billion euros for 2020.

from 1 October, companies will be able to always put their employees in part-time workers up to 6 months, but they will not be reimbursed to the extent of 60% of the compensation paid to the employee, instead of 85 % today, up to 4.5 times the minimum wage pay. The employees, too, must make an effort. They will not receive more than 60 % of their gross salary, representing 72 % of their net pay for hours not worked, compared to 84 % currently. The employees paid the smic will keep 100 % of their net salary, a level which gradually decrease up to 72 %, from 1.3 times the minimum wage pay. The companies will then not have the right to terminate a person activity partial. The Élysée says and want to do converge on the French regime of partial unemployment to those in force in Germany. Employers who would like to benefit from it to train their employees will see the cost of the training supported at 70 % by the State, compared to 100% today. So much for the new regime of common law that could be triggered on a unilateral decision of the employer.

Read also Covid-19 – The double punishment which threatens companies

plan long-term for sectors most affected

For areas durably affected by declines in activity, as in the air, a plan of activity long-term partial, which strongly resembles the current plan, will be put in place. It will, however, be conditioned to the signature of a company-wide agreement (or industry professional), that is to say, obtain the approval of the union representatives or the employees themselves in the small business.

This agreement does not guarantee necessarily the maintenance of the employment, in view of the extremely difficult situation of some companies. “The goal is to have a discussion at the time of the agreement that sharing the diagnosis, sets out the forecasts of economic activity and jobs, and to define the commitments that go with the new organisation of work “, says one in the entourage of the head of State. With an agreement, a company may put its employees on partial unemployment while being reimbursed 80 % by the State, and even up to 85 % for agreements signed from 1 October. This is to encourage directorates to negotiate very quickly with the representatives of the employees. A floor support 90 % of the cost of time not worked for the employer is intended for people paid the smic. The employee will then be better protected, also, with the retention of 84% of its net, as in the exception system current, from 1.15 times the minimum wage pay and up to 4.5 times the minimum wage. Beyond, the net remuneration will fall to 70 %. For employees earning the smic, the employer will pay 100 % of the net, as now. The agreement can last for up to two years. The cost of training employees will be supported to 85 % by the State.

Comparison between the different schemes of support of the activity partial. © Elysée

Maintaining the current regime until October

The board has obtained the maintenance of the current system with an 85% refund of the cost of time not worked up to 4.5 times the minimum wage from July to September, the new system of common law introduced coming into effect in October. A clause revoyure is scheduled in September to make the point with the social partners on the situation and prepare for the possible arrival of a second wave of the virus, which could come any upset.

The minister of Labour, Muriel Pénicaud, took advantage of the meeting at the Elysée palace to unveil a plan to limit the use of the work is detached, and thereby promote employment in France.

The discussion on the best way to avoid a lost generation among young entrants on the labour market, beyond the aid of massive already announced for the learning, will continue next week, as the consultation on the future of the controversial reform of unemployment insurance.

writing will advise you

” I don’t want to trust the State, it is finished ! “”My loss of revenue is significant “”If the epidemic takes, it’s going to be very complicated, “” My boss has stitched a mouth and demanded the return of the employees in the office “