French Government Unveils 2025 Financial Strategy and Employment Services Reorganization
The French government reveals budget cuts and structural changes to employment services for 2025.
Key Points
- • Significant budget cuts planned in employment services.
- • The 'Work and Employment' mission sees a 29.4% budget increase over 2019.
- • 1,000 to 1,500 jobs to be cut in reorganization efforts.
- • Reforms to unemployment insurance under discussion.
In a recent session with the National Assembly's Finance Committee, French Minister of Public Accounts Amélie de Montchalin announced significant budgetary adjustments and a major reorganization of employment services for 2025. The government's plan includes substantial cuts to sectors associated with employment, particularly impacting France Travail and other operator organizations like OPCO and AFPA.
Despite these reductions, the budget dedicated to the 'Work and Employment' mission will be 6.6 billion euros higher than in 2019, representing a notable increase of 29.4%. Montchalin emphasized the government's intention to carefully balance necessary budget cuts while still investing in initiatives aimed at combatting unemployment, albeit through indirect methods rather than targeting the unemployed directly.
The restructuring will result in the elimination of between 1,000 to 1,500 jobs within the employment services, highlighting a shift in how these services will be delivered moving forward. She noted that this will be part of a wider effort to enhance efficiency in training programs and combat fraud.
Montchalin's address also touched upon ongoing discussions regarding reforms to unemployment insurance and conditions related to employment access. Among potential proposals is the introduction of two additional working days annually, aiming to increase productivity and state revenue.
As the government prepares for these changes, Montchalin's initiatives reflect an effort to streamline employment services while still addressing the critical areas of job creation and workforce training in France.