Unemployment insurance benefits increased by 0.5% on July 1

Unemployment benefits will be increased by 0.5% on July 1, Unédic announced on Wednesday, specifying that "2.1 million beneficiaries are affected."

"This decision takes into account both the current economic situation and the need to preserve the financial balance of the system," the body, jointly managed by trade union and employer organizations, said in a press release.

It was taken during a board meeting, and was voted on "by a majority of votes" , adds Unédic.

The minimum allowance thus increases from 31.97 euros per day to 32.13 euros.

300 million euro deficit

"For the unemployment insurance scheme, the amount of revaluation expenditure would amount to 58 million euros for 2025 and 81 million for 2026," the press release adds.

In its latest financial forecasts in mid-June, Unédic indicated that it expected a deficit of 300 million euros in 2025 and pointed to a "paralyzed" debt reduction with 59.8 billion euros of debt expected in 2025.

In France, employees are insured against unemployment. But not all job seekers receive benefits, far from it—some because they haven't worked long enough.

At the start of 2024, 40% of job seekers registered with France Travail were receiving benefits.