Labor market. The Council of State validates the reform of unemployment insurance

The ax has fallen. The summary judge of the Council of State rejected, on Friday, the appeal of the CGT, FO, CFDT, CFTC and CFE-CGC unions asking for the suspension of the new method of calculating unemployment benefits which entered into force on October 1, announced the high administrative court in a press release. He estimates that “The general tendency of the labor market is no longer an obstacle to the implementation of the reform”. “We are disappointed, but not surprised, comments Denis Gravouil, in charge of employment issues at the CGT. There is certainly an economic improvement, but we do not know how long it will last. There is little doubt that the government put pressure on the Council of State. “

Last June, the unions had yet obtained a second time, in summary proceedings, the suspension of the method of calculating the daily reference wage (SJR) which was initially to come into force on July 1. To suspend the application of these rules penalizing the compensation of job seekers alternating periods of work and inactivity, the Council of State had then put forward, unlike today, “Uncertainties about the economic situation”.

Ignoring this decision, the government then issued a new identical decree, simply postponing the date of entry into force on October 1. “I am thinking of the tens of thousands of unemployed who will see their benefits reduced at the beginning of November, denounces Denis Gravouil. The Pôle Emploi advisers will have to announce to precarious workers that they will lose 300 or 400 euros per month. This will create tension. “ For the record, this reform will lose rights to 1.15 million unemployed new entrants to the system in the first year. It will also allow Unédic (joint management body for Aussrance Unemployment) to achieve 2.3 billion euros in savings per year.

For her part, the Minister of Labor, Élisabeth Borne, welcomed this judgment, taking up the government’s arguments: “This is an important reform which will encourage work at a time when our economy is picking up very strongly and when companies have massive recruitment needs” , adding “It will also make it possible to fight against the excessive recourse to short contracts which keeps a large number of workers in precariousness”. An aberration for Denis Gravouil: « By reducing allowances, we will just force job seekers to take contracts in degraded mode. Precarious workers will still not be in a strong position to demand a permanent contract from their boss … “ For the unions, the showdown is not yet over. Several “substantive” appeals against this reform will be judged by the end of November before the Council of State.

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