Unemployment in France picks up slightly in the second quarter

The fall in unemployment, anticipated by the government to justify cuts in employment at Pôle emploi, is still waiting: after two good quarters, the lists of the operator have further lengthened (+ 0.2% ) in the 2nd quarter.

"It is considered that it is reasonable to think that the unemployment will fall, the means of the public service of employment will have to accompany this diminution", one explained recently to Matignon to defend future cuts in the public employment service

But for the moment, the unemployment curve continues to make its own.

The number of unemployed increased slightly in the second quarter (+6,700, +0,2 %), to reach 3.70 million people in France, according to figures released Wednesday by the Ministry of Labor. At the same time, the number of unemployed jobseekers, which has been rising steadily since the 2008 crisis, has also increased by 0.2% to 2.24 million.

In total, with or without without activity, there were 5.94 million job seekers on average in the second quarter (+ 0.2%). Over a year, this figure has increased sharply (+ 1.5%), despite a fall in the number of unemployed (no activity, -1.1%).

The publication of Pôle emploi fits into a context slowdown in economic recovery, after an exceptional year 2017. Growth slowed in the first quarter (+ 0.2%), after five quarters around + 0.7%, and INSEE expects + 0.3% in the second quarter. At the same time, hirings, which peaked at the end of 2017, have since stabilized.

– Downsizing –

The poor figures of Pôle emploi fall badly for the government, which is looking for a drop in unemployment to be able to implement a reform of the public operator, with staff reductions at the key.

The General Inspectorate of Social Affairs (Igas) reflects, at the request of the Minister of Labor Muriel Pénicaud, a " robust methodology "allowing" indexing "possible downsizing of Pôle emploi on that of unemployment. Mrs Pénicaud badured that any cuts will be "not decided a priori" but only "if there is a recorded decline" of the indicator.

The chosen mechanism will appear, before the end of the year, in the tripartite agreement 2019-2021, the roadmap of employment center set in consultation with Unédic and the State

Another reform of the public employment service is in the pipes. Adopting a recommendation of the report Committee public action 2022 (CAP22), the government will launch "in September" a concertation to "promote mutualization" between Pôle emploi and what Matignon calls its "satellites", namely Cap employment, which accompany the disabled, and the local missions, which accompany the young people.

"Behind the subjects of mutualisation, there is also topics of downsizing and efficiency of the means ", explained recently to Matignon.

Of the 15.2 billion euros allocated to the Ministry of Labor this year, nearly 1.5 billion finance Employment center. But the ministry is looking for savings to keep its budget path set last fall. This provides for an overall budget reduced to 12.9 billion euros for 2019, 2.3 billion less than in 2018.

This year, the workforce of Pôle emploi have already decreased by 297 full-time equivalents (FTE), out of about 50,000. The figure of 4,000 job cuts in the coming years has been circulating since the spring, but Ms. Pénicaud badured that "nothing (was) decided".