From July 1, Unédic will increase unemployment insurance benefits by 1.2%. This decision was made during a board of directors meeting where representatives from employees and employers voted in favor of the increase. The organization, which is jointly managed by trade union and employer entities, defended its decision by stating that it takes into account both the economic situation and the financial stability of the unemployment insurance system.
The increase will affect about 2 million job seekers out of a total of around 2.7 million beneficiaries. This follows two previous increases in 2023 (1.9% on April 1 and 1.9% on July 1). Over the past five years, the average annual increase has been 1.68%. Unédic estimates that the increase for 2024 will amount to 150 million euros for the unemployment insurance system, and 210 million euros for 2025.
The CGT, however, criticized the minimal rate of adjustment and considered the increase inadequate. The union emphasized that government and employers are failing to address inflation rate concerns and pointed out that a controversial unemployment insurance reform is scheduled to be implemented on December 1. Furthermore, the CGT accused employers and government officials of being obstinate, targeting unemployment insurance recipients while far-right politicians benefit from social distress. The union expressed concern about how this upcoming reform may negatively impact those relying on unemployment benefits without considering their economic conditions.
In summary, Unédic has announced an increase in unemployment insurance benefits starting on July 1st by 1.2%, which will affect around two million job seekers out of a total of approximately two and a half million beneficiaries. However, this decision has faced criticism from various organizations such as CGT who believe it’s inadequate due to its minimal rate of adjustment.
It’s worth noting that this is not just an isolated incident as Unédic has previously increased benefits twice in
