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President meets with union bosses
A ‘social summit’ is being held with a view to finding ways to boost jobs and competitivity
A ‘SOCIAL’ summit is being held at the Elysée Palace this morning, to find new solutions for businesses and work.
President Nicolas Sarkozy is meeting with union bosses and leaders of employers’ organisations in the fifth such summit since the start of his mandate.
With the worsening economic situation, it is considered that priority action is needed, especially to help the young and the long-term unemployed.
Since the end of May last year, 175,700 people signed on as jobseekers – 3.5 times more than the same period for the previous year. Unemployment is at 9.7% and could reach 10% by mid-year – last seen 12 years ago. Worse still, the number of new jobs created in the third quarter of 2010 fell to 3,600 – just 7% of what it had been three months previously.
The competitivity of French firms will also be on the agenda. It has suffered in comparison to German ones – the hourly cost of employing people in industry and sales is 10% more, and President Sarkozy is expected to negotiate ways to lower the social charges paid by firms.
The hours worked by the French is also likely to be discussed, with one study, by the think tank COE-Rexecode, having said full-time workers work 225 hours less per year than Germany. Some pundits have pointed out, however, that this body is closely linked to businesss bosses, some of whom seek the end of the 35-hour working week. Its figures are, for exmple, contradicted by ones from the Organisation for Economic Co-operation and Development, which say French workers worked an average of 1,562 hours in 2010 - more than the Germans on 1,419.
The lowering of France’s credit rating by Standard & Poor’s gives especial urgency to today’s summit – and the president will also be seeking to make sure the symbolic barrier of three million unemployed is not crossed before the presidential elections.
Photo: Medef