Unemployment: the Council of State suspends the new calculation rules, victory for the unions

The summary judge of the Council of State suspended the rules for calculating the amount of unemployment benefit which were to come into force on 1er July as part of the controversial reform of unemployment insurance, according to an order made public this Tuesday, June 22.

Unemployment: the 5 ulterior motives of a contested reform

“The uncertainties about the economic situation do not allow us to set up” to 1er July the new rules, “Which are supposed to promote job stability by making unemployment compensation less favorable for employees who have alternated short contracts and inactivity. On the other hand, the judge does not question the principle of the reform itself ”, indicates the Council of State in a press release.

Victory for the unions

For the Minister of Labor, Elisabeth Borne, “The Council of State asks us to wait a little longer” and “Censorship only the date of entry into force”.

“We are going to examine the answers that we can bring to reassure the economic recovery and the dynamics of employment” to allow “Rapid application of the reform”, she added to AFP.

“After this order issued urgently, the appeals to the bottom of the unions against the decree reforming unemployment insurance will be judged by the Council of State within a few months”, specified the highest court of the administrative order.

The Council of State had been seized by all the major centers, with the exception of the CFTC which, while being opposed to the reform, had considered that there was no “Legal basis”. The summary judge “Observes that even though the economic context has improved in recent weeks, many uncertainties remain as to the evolution of the health crisis and its economic consequences on the situation of those companies which largely resort to short contracts to meet temporary needs “, indicates the press release.

“However, these new rules for calculating unemployment benefits will significantly penalize employees in these sectors, who suffer more than they choose to alternate between periods of work and periods of inactivity”, continues the Council of State.

“It’s a victory for job seekers who would have been severely punished by this reform”, immediately tweeted the secretary general of the CFDT, Laurent Berger.

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