Wednesday, October 12, 2016

The decryption eco. Renault re-employment, the industry French escapes does it decline ? – Franceinfo

Worker on a chain of the Renault plant of  Cléon.
a Worker working on a line of the Renault plant of Cléon. (CHARLY TRIBALLEAU / AFP)

The hiring announced 1000 people into permanent contracts by the end of the year at Renault is undeniably a positive sign, and it is all the more interesting, as it was with the automobile manufacturer, a case. This is a large industrial company where the management, the social partners have a solid culture of negotiation, this know-how where this is often the most lacking in business French. At Renault, trade unions and management know to put around a table, they are pushing hard but they know how to trust each other, they respect each other, and they can negotiate difficult things.

In 2013, at a time when Renault was suffering particularly as the French market in the automotive industry ; the trade unions, in the case of CGC, CFDT and Force Ouvrière had agreed to sign an agreement of competitiveness consisting of clauses very painful : an increase in working hours of 6.5 percent, a salary freeze temporary, nearly 7 500 voluntary redundancies for the most part retired. In exchange, the management undertook not to close to industrial site, to relocate in France a part of its production and to be re-employed as soon as the economic situation would improve. This is exactly what happens, Renault will be better, the efforts have paid off, the market will be better. In the past two years, the group has therefore re-employed 3 000 CDI. And the management and the unions find themselves these days to talk about the outlook for the coming three years. This is a striking proof of the impact of a culture of social negotiation in the company.

And beyond Renault, the situation of the French industry to take advantage of the upswing in form ?

This goes a little better, but the situation remains very fragile. First, because the French industry overall has suffered a lot, as we all know : its share in the economy has dropped in 15 years, from 20% to 12%, it is a very violent contraction with its attendant closures. Some have believed for a moment that it could happen to the industry and factories, and bet everything on the services : but it was a gross error because with the services, the job market is highly polarized : the top jobs to a very high added value, and at the bottom of the jobs very low-skilled. And this is not good for social cohesion. Conversely, the industry relies on a number of jobs and business intermediaries. This is why it is so important.

Is the YEAR and the tax concessions that the government granted had stopped the decline of the industry ?

The topic is controversial. But there are at least two truths on the subject :

1 – The issue of the competitiveness of the French industry is unfortunately in front of us. It is still probably a significant case for the next ten years.

2 – The SIEC and these payroll tax cuts have not paid in the short term, in any case on the job, but we knew from the start : these policies do not work in the long term. The SIEC will need to be simplified and adjusted to the evidence. But certainly not deleted. The great debate will be whether it is necessary to strengthen these payroll tax cuts for touch, not just low-skilled jobs, but the jobs that paid up to 3 and a half times the smic. To precisely help with the upscaling of the industry is in full transformation, with digital technology and robotics. This increase in range is the only plank of salvation, the only solution for the French industry. And this topic will be obviously one of the best economic debates of the campaign.

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