During the first quarter of 2024 in France, the number of unemployed individuals without any activity (category A) remained nearly stable after a period of increase in the second half of 2023. According to statistics released by the Ministry of Labor (Dares) on April 25, there was a slight decrease of 0.1% in the unemployment rate, with a total of 3.028 million people registered as unemployed (a decrease of 4,300 compared to the previous quarter). When including those with reduced activity (categories B and C), the total number of job seekers also remained stable with an increase of 2,600 compared to the previous quarter, totaling 5.4 million. This stability followed two consecutive quarters of increase in unemployment rate.
The overall unemployment rate in France saw a slight increase over the past year, with a 0.1% increase in the number of unemployed individuals without activity and a 0.6% increase in the total number of job seekers when including those with reduced activity. In metropolitan France, the unemployment rate among young people under 25 continued to increase, albeit at a slower rate than in the fourth quarter of 2023. It rose by 0.5% during the quarter and by 5.3% over the year. On the other hand, the unemployment rate among individuals aged 50 and older decreased by 0.5% during the quarter and by 1.8% over the year.
In response to the high unemployment rates, the French government announced plans to tighten the rules of unemployment insurance and increase monitoring of individuals receiving benefits. The Prime Minister, Gabriel Attal, aims to incentivize employment by implementing stricter regulations, particularly regarding the period of work required to be eligible for benefits. Currently, individuals must have worked six months within the past twenty-four months to qualify. The government plans to issue new rules for unemployment benefits, effective from July 1, in an effort to address situations where individuals exploit the system through a series of short-term contracts.
The goal of achieving full employment by 2027, set by President Emmanuel Macron, has faced challenges due to the recent rise in unemployment rates in France. The government’s focus on reforming the unemployment insurance system aims to encourage more individuals to return to work and reduce reliance on benefits. By increasing controls and tightening rules on eligibility, the government hopes to create a more balanced and fair system that prioritizes those in genuine need of support. These changes are part of broader efforts to boost the economy and create a more stable job market for all age groups, especially young people and older workers who face specific challenges in finding employment.
