No plans to raise minimum wage

Group tells government that a rise in the hourly rate would endanger 'the financial health of businesses'

THE MINIMUM wage looks unlikely to rise next year in an attempt to keep costs down for businesses struggling in the current economic climate.

A group of experts commissioned by employment minister Xavier Darcos to look into the case for the rise has submitted its final report, recommending the rate stays the same.

About 2.5 million people in France earn the minimum wage (SMIC or salaire minimum interprofessionnel de croissance) which this year is set at €8.82 an hour - or €1337.73 gross per month for a 35-hour working week.

According to Les Echos, the committee concluded that a rise in this rate might harm the "financial health of businesses".

The group said there were other ways of helping France's lowest earners, including the prime pour l'emploi which helps people returning to work and the RSA income support (revenu de solidarité active).

A final decision from the government is expected in mid-December.