Economic emergency declared in France

Date: January 19, 2016

price rise inflation labour problem

French President Francois Hollande has announced what he called "a state of economic and social emergency" involving a €2 billion plan to revive hiring and catch up with the world’s economy.

The measures he proposed, however, are relatively modest, and he said they would not “put into question” the 35-hour workweek. With his country under a state of emergency since extremist attacks in November, Hollande did not seek to assume any new emergency powers over the economy.

d

Under the ambit emergency, government has proposed series of economic measures to boost long-stagnant economic growth and reduce chronic unemployment. Proposed economic measures are Training half a million jobless workers, greater use of apprenticeships and aiding companies for hiring young workers. Updating country’s labour-friendly business model in an increasingly online and border-free economy. Loosening rigid working time rules including 35-hour workweek and a bonus of 2,000 euros to small businesses that hire young people.

He stressed the need to integrate youth from France’s troubled suburbs, including minorities who face job discrimination, into the global economy. High unemployment in France’s North African and African communities is seen as one of the factors driving some youths to violent extremism or the drug trade.

Some measures will be included in draft economic reform laws the government is presenting to parliament in the coming weeks.