The Nobel of Economy acknowledges the unpopularity of the law El Khomri but calls for “making teaching” to reform the labor market.
for the Nobel Economy Jean Tirole, the AFP news agency interviewed, it is necessary that France reform its labor market by pedagogy.
In your book “Economy of the common good” (PUF), why do you say that unemployment is a societal choice?
“Our institutions not only create unemployment but also the discomfort. As the available jobs are CDD, CDI remains at the same job unless it satisfies the most (…) France is 129th in the world from the perspective of well-being at work. People are stuck in their jobs, or it is normal in life to change jobs, but it is very difficult in the absence of job creation permanent.
With technological changes, in 5-10 years, many jobs have disappeared or have changed in nature. Employers are increasingly reluctant to create jobs CDI current formula. I think tomorrow it will be even more the case. Currently, it is not in the interest of businesses to create permanent, so they abuse the CSD. But delete create massive unemployment. All governments use CSD and subsidized jobs to contain unemployment. This reduces the unemployment statistics, but it creates public debt and does not solve the problem
“” THE ECO SCAN. – In France, 70% of hires are for CSD … less than a month
What is the solution?
For me it is a whole system reform. I propose to maintain the current CDI for those who have one, but that all new contracts are under the new single contract regime (…) The idea is to create a new CDI playing on flexibility and on accountability.
We keep the judge in cases of abuse (…) but the economic decision of whether a job is justified economically returns to the company manager. The company must be empowered: it must pay compensation to the employee but also to unemployment insurance as a dismissal can be very costly to society. This is the principle of the polluter pays. Protect employees rather than protecting jobs
“SCAN THE ECO – duration, amount, ceiling …. Everything about the compensation of the unemployed in France
in this regard, the El Khomri bill he goes in the right direction and it must be adopted by forceps?
I signed a forum in (his) favor because I thought that certain provisions were in the right direction. (…) It is true that half of our fellow citizens are still against the reform of the labor market (…) We must force himself to go beyond appearances, protect CDI is good, hand there are more, so it helps some people and left others to the door (…) is used too often patches, and finally 30 years later, it does not move. Worse, it gets worse.
Do you understand the revolt of a part of youth?
We are not very generous to young people. We let them global warming, high public debt, pensions are not funded, unemployment, expensive housing, a fairly efficient education system and involving strong inequalities: the French education system is an insider trading (. ..) It is not easy to be young today. Then “Night Stand” is a response to this malaise, the risk is that it remains in the realm of utopia, which would create new frustrations, anteroom populism.
“THE ECO SCAN – young people are 2.5 times poorer than the elderly
the government must resist it to pass its reform
we need to make? pedagogy and recall some fundamentals. Public expenditures were 35% of GDP during the 30 boom. Now they are 57%, we see the skid. Keep a quality public service, but we tend to confuse public service and number of staff. The public service is a result, it brings in terms of health, education, for example. It takes a lot of pedagogy and social consensus.
At all levels, social dialogue is terrible in France, the unionization rate is too low, it is necessary for people to be more involved. Eventually all discussions on El Khomri law are held with unions representing little French “
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