French Government Spending Cuts Threaten Public Services and Jobs

Recent French governments have pursued aggressive public spending cuts as part of efforts to reduce the public deficit, with significant consequences for state services and workers. The Attal government proposed a 2.5% reduction in state spending for 2023, planning savings of €10 billion in 2024. Prior to its dissolution, the Barnier government aimed to cut public finances by €40 billion, targeting approximately €30 billion in state expenditures reduction. The Bayrou government projected an even larger fiscal effort of €43.8 billion in 2026, primarily through further spending cuts including an additional €10 billion reduction impacting state operators, with some facing the risk of closure. These fiscal measures have rapidly led to cuts in mission credits, public sector job losses, a freeze on salary indexation for public agents, elimination of the purchasing power guarantee (GIPA), and reduced compensation for short-term sick leaves. Such measures risk further deterioration of public services and damage the attractiveness of careers in the public sector. Sébastien Lecornu previously estimated these efforts could reduce the public deficit to 4.7% of GDP by 2026, involving about €30 billion in cuts. Overall, state bodies and their operators are bearing the brunt of these austerity policies, fueling concerns about service quality and workforce sustainability in the public sector, according to Force Ouvrière union analysis.