Higher employer unemployment insurance contribution on short fixed-term contracts and exemption for hiring young people on permanent contracts
On the basis of Article 11 of the Act of 14 June 2013 on job security, the amendment of 29 May 2013 to the unemployment insurance agreement, made binding by an order of 17 July 2013, modulated employer contributions. The employer share, normally 4%, rose to 7% for fixed-term contracts for increased activity of one month or less, 5.5% for those of more than one month and up to three months, and 4.5% for customary fixed-term contracts of three months or less (excluding seasonal jobs). Hiring a person under 26 on a permanent contract exempts the employer from its share for three months (four months in companies with fewer than 50 employees), provided the contract continues beyond the trial period.
Measure originators
No official estimate found for this measure.
Measure impact
According to Unédic, the surcharge was expected to raise €150-200 million a year and the exemption to cost a similar amount, with an overall neutral effect on the scheme. It applies to contracts starting on or after 1 July 2013.
Official references
Procedure timeline
Follow the progress of this fiscal measure through the different stages of the parliamentary procedure.
Publication in Official Journal
Entry into force
Immédiate ou à la date prévue