The social partners begin their discussions on Monday to overhaul the compensation scheme for the unemployed, whose debt explodes.
And that’s go again! The social partners have an appointment on Monday at Medef to start new negotiations on unemployment insurance. The representatives of employers and trade unions must agree on the terms of the new agreement that will govern the unemployment benefits for two years from 30 June. Their mission is overwhelming: UNEDIC, the organization that manages unemployment insurance, is virtually bankrupt.
With the crisis, deficits have accumulated. And debt explodes: it exceeded 25 billion end 2015 and reach 35 billion at end 2018, if nothing is done. For now, the system takes into debt because UNEDIC on State guarantee. But the European Commission has sounded the alarm and called for fundamental reforms. But abruptly cut off supplies of unemployed (almost 3 million are compensated in France) is not an option. To find a pathway will require all a lot of good will, and no doubt a lot of imagination. The negotiation is even more difficult announcement that the government has not done in lace to put participants on.
For months, the executive up to the plate demanding negotiations “responsible” or “courageous.” Hollande himself went there of his short sentence in January. “In France, the duration of benefits is the longest in Europe, but the unemployed training duration is shorter. This is what needs to change, “he has advanced. There are two, he thought instead that “this is not a time of high unemployment it is necessary to reduce the rights of the unemployed.” But meanwhile, the number of unemployed jumped by nearly 300,000 …
“Our goal is to further support the unemployed through training and encourage more people to work who can work “
a few days later, Myriam El Khomri suggested the reduction in the allowance could be an interesting avenue to reform the regime. Finally – and this is a first – the government presented to members in late January a report highlighting the very protective nature of the French regime, providing a bonus list of possible savings tracks: increased contributions, reduced duration compensation, the replacement rate of the old wages …
the unions have very little tasted this interference. Reading the law PreProject El Khomri, which gives pride to the recommendations of the employers – new definition of redundancy, cap prud’homales benefits, easing the duration of working time … – fed a little more their bad mood and will play heavily on the content of the negotiations. Employers became its discreet side not to shine the most. “Our goal is to further support the unemployed through training and encourage more working people who can work,” simply warned Pierre Gattaz, president of Medef. His entourage promises to mobilize to implement “innovative and effective solutions.”
During this first session, participants will focus on the case of Intermittent. It is indeed expected that employers and employees of the sector agree on their own rules, in parallel with the negotiation of the general unemployment insurance scheme. This negotiation in the negotiation will be framed by the general recommendations that will be defined on Monday afternoon.
Once the case of Intermittent sliced, trade unions and employers will then attack the hot spots of the discussions. The government expects the future convention 800 million euros in savings in a full year.