Observation (CEACR) - adopted 2018, published 108th ILC session (2019)

Employment Policy Convention, 1964 (No. 122) - France (Ratification: 1971)

The Committee notes the observations of the General Confederation of Labour–Force Ouvrière (CGT–FO), received on 20 October 2017. The Committee requests the Government to provide its comments in this regard.

Article 1(2) of the Convention. Implementation of an active employment policy. In response to the Committee’s previous comments, the Government indicates in its report that several measures to reduce the cost of labour have been approved and implemented in order to promote employment. In this context, it indicates that, since 2015, the Tax Credit for Competitiveness and Employment (CICE) has been supplemented by exemptions from social security contributions introduced in the framework of the Responsibility and Solidarity Pact. The first phase of the Pact, implemented in 2015, reduced employer social security contributions for wages lower than 1.6 times the minimum interoccupational growth wage (SMIC) and the social security contributions of the self-employed. The Government adds that, since 2016, small and medium-sized enterprises (SMEs) have benefited from support for the recruitment of low-skilled workers through the “SME recruitment” mechanism, which provides a quarterly bonus of €500 when a worker is recruited with a fixed-term contract (CDD) of more than six months or a permanent contract (CDI), earning up to 1.3 times the SMIC. It indicates that this mechanism, which came to an end in 2017, aimed to boost recruitment. The Government indicates that, since 2015, job creation in the commercial sector has been growing, with 290,000 jobs created since the first quarter of 2015. It adds that the recruitment bonus for fixed-term contracts of more than six months and permanent contracts benefited over 2 million workers, with the creation of 30,000 jobs in 2016 and 45,000 jobs in 2017. The Committee notes that combating unemployment and precarious employment has been one of the Government’s ongoing priorities and it has strengthened the capacities of enterprises to adapt to their circumstances, facilitated recruitment with permanent contracts through quality training that matches workers’ skills with the needs of enterprises and improved the unemployment insurance system. The Government also indicates that a policy of increasing the minimum wage has supplemented these measures in order to avoid penalizing the employment of low-skilled workers. It indicates that the unemployment rate fell by 0.3 points in 2015 and 0.2 points in 2016. In the final quarter of 2016, unemployment affected 10 per cent of the workforce, not including the island of Mayotte. However, the Government reports negative economic consequences of a split between persons with stable employment and those in precarious employment or who are unemployed. The Committee notes the observations of the CGT–FO indicating a deterioration in the overall employment situation. The CGT–FO adds that, between 2014 and 2017, unemployment grew by 1.6 per cent, increasing from 6,284,920 persons in December 2014 to 6,653,790 persons in December 2016. The CGT–FO asserts that, in 2015, including unemployment and hidden unemployment, 11.5 per cent of persons between 16 and 64 years of age were without employment and seeking employment throughout the country. It highlights a serious deterioration in the employment situation characterized by long-term unemployment, which has been increasing since 2008. Indeed, 42.6 per cent of unemployed persons report that they have been out of work for a year or more. The CGT–FO also reports a sharp increase in the number of jobseekers in part-time work: more than 2,105,000 persons in August 2017, while 89.3 per cent of persons who are involuntarily unemployed are seeking full-time employment. It also indicates an explosion in the number of very short contracts from 1.6 million to more than 4 million since the year 2000. The Committee requests the Government to continue providing information on the current active labour market policy and its impact. It requests the Government to continue to evaluate the measures implemented, indicating their impact with regard to the creation of productive employment and combating unemployment and underemployment, and to indicate whether any other mechanism is envisaged to replace the “SME recruitment bonus”. The Committee requests the Government to provide statistics disaggregated by age and sex on employment trends.

Article 3. Participation of the social partners. The Government indicates that the Act of 5 March 2014 reforming vocational training updated the regional and national rules governing the vocational training system by allowing the State, the social partners and regional governments to establish new dialogue procedures. In that regard, at the national level, the National Council for Employment, Vocational Training and Guidance (CNEFOP) has replaced the National Employment Council and the National Council for Lifelong Vocational Training. The Government adds that this Council brings together the State, represented by 12 ministries including those responsible for employment and vocational training, national education, the regions, and the representative social partners at the national and interoccupational, multi-occupational or other concerned levels, as well as the consular chambers and the leading operators. It indicates that the Council is a consultation body for all the legislative and regulatory texts in this area. It is also a body for dialogue, monitoring, coordination and evaluation of policies on employment and lifelong initial and continued vocational training and guidance. At the regional level, the Government indicates that the Regional Council for Employment, Vocational Training and Guidance (CREFOP) ensures coordination between stakeholders regarding vocational training and guidance and employment policies and the consistency of training programmes. It indicates that the Council brings together representatives of the State, the regions, the social partners and the public employment service. The Government adds that the Council promotes the formulation and implementation of a concerted regional strategy on vocational guidance, the development of alternance training and vocational training of employees and jobseekers, and that it conducts an evaluation of the actions taken. The Committee requests the Government to continue providing further examples of the participation of the social partners in the formulation of an active policy designed to promote full, productive and freely chosen employment. It also requests the Government to indicate the manner in which the consultations with the social partners held in the CNEFOP and the CREFOP have contributed to the formulation of employment policies and the manner in which their experience and views are fully taken into account when formulating such policies.

The Committee is raising other matters in a request addressed directly to the Government.