Unemployment insurance: Government agrees to demands from social partners

Wednesday 28 January 2026 - 15:30

By: Sahili Aya

Unemployment insurance: Government agrees to demands from social partners

The French government has agreed to key demands from social partners in ongoing negotiations over unemployment insurance, notably by withdrawing a previously contested policy framework, according to official correspondence obtained on Wednesday.

In a letter addressed to social partners, Prime Minister Sébastien Lecornu confirmed that instructions had been given to begin approval procedures for provisions included in the November 15, 2024 unemployment insurance agreement concerning first-time claimants. These measures reduce the minimum contribution period required to qualify for benefits from six to five months over a 24-month reference period.

The government also approved an amendment adopted in July 2025 related to the bonus-malus system, which limits the scope of employer contribution adjustments linked to the use of short-term contracts. This decision was welcomed by employer organizations, particularly after business representatives had warned they would boycott negotiations without a clear government response.

Negotiations resumed after criticism of a previous policy guideline issued by former prime minister François Bayrou, which aimed to generate significant annual savings and was challenged by trade unions before the Council of State. Labor unions argued that the framework placed excessive constraints on negotiations and reduced job seekers’ rights.

Current talks are expected to conclude by February 25 for unemployment insurance and by March 25 for short-term contract regulations. While the government expressed confidence that an agreement could be reached, it also warned that it would intervene directly should negotiations fail.