đź”´ What changes on February 1, 2023: reduction of the duration of compensation
The principle of calculation
Gone is the principle of “one day worked, one day compensated”. This Monday, November 21, 2022, Olivier Dussopt, Minister of Labour, signaled the end of this system. From 1 February 2023, the duration of your unemployment benefits will depend on the labor market situation.
Come on, let’s try to make it simple:
- If the overall unemployment rate is below 9% and has not increased by more than 0.8% over a quarter, your benefit period will be reduced by 25%.
Example: you have worked for 24 months, you find yourself unemployed, the economic situation is “good”, you will receive 18 months of unemployment benefit.
Note the maintenance of a floor of 6 months for the minimum duration of compensation. - If the unemployment rate is above 9% or has increased by more than 0.8% over a quarter, it will be back to the old system.
Example: you have worked for 24 months, you find yourself unemployed, the situation is “bad”, you will receive 24 months of unemployment benefit.
For the labor market situation to return to “green” and therefore for your benefit period to be reduced again, the unemployment rate will have to fall below 9% for 3 consecutive quarters.
Who is concerned ?
All job seekers (including seniors from the age of 53) who will register as unemployed from February 1, 2023.
Recall
This law is not retroactive, so if you are currently eligible for the return to work allowance (ARE), you continue to benefit from the current duration of compensation (24 months) until exhaustion of your rights.
Exceptions
These new rules therefore apply to everyone except for:
- the intermittents du spectacle,
- the beneficiaries of the professional security contract (CSP),
fisherman, - the dockers,
- expats
- and overseas residents.
The reaction of the social partners
These new rules valid from February 1 to December 31, 2023, obviously divide the social partners. The trade unions are upwind.
- For the CGT, “it’s a scandal”.
- The CFE CGC, which represents the management, specifies for its part that “after the degressivity, this 25% reduction in duration becomes totally unbearable and turns solidarity into a racket”.
- The Medef (employer’s union) welcomes a reform that allows “to go in the right direction”. So towards the return to full employment, the leitmotif of the government. With this reform, Olivier Dussopt, hopes “100,000 to 150,000 additional returns to work” in 2023.
And after 2023?
By the end of 2023 precisely, the social partners will have to negotiate new unemployment insurance rules. However, the Minister of Labor has already warned that the modulation of the duration according to the economic situation should be part of the future system.
[Que l’assurance-chĂ´mage soit] stricter when too many jobs are unfilled, more generous when unemployment is high.
Emmanuel Macron’s campaign promise
🟢 What does not change: the conditions of access to compensation remain unchanged
As of February 1, 2023, you will always have to have worked at least 6 months over a 24-month period (or 36 months for those over 53), to be able to open rights to receive the return-to-work assistance allowance (ARE).
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🟢 What does not change: the amount of compensation is not affected
On average, the ARE will continue to be 57% of your old salary. The rule of 30% degressivity of the ARE from the 7th month of compensation if your monthly salary before exceeded 4500 euros gross, continues.
The method of calculating the daily reference wage
The daily reference salary (SJR) will always be calculated on the total of your salaries divided by all the days worked.
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