15,000 subsidized jobs will be eliminated in 2024 (Olivier Dussopt)

2023-08-29 06:14:00

Postponement of the final disappearance of the Contribution on the added value of companies (CVAE), increase in the deductible on drugs… The government is multiplying the avenues for savings, within the framework of the preparation of the finance bill. Monday, it was the turn of the Minister of Labor.

Taxation: the executive struggles to reassure the bosses

« There will be a drop in the number of subsidized contracts » et « the decrease will be around 15,000 or so “, declared Olivier Dussopt, on the sidelines of the Medef summer school in Paris. And to specify: “cis an order of magnitude on which we are still working today and all the arbitrations have not been made ».

Retarget device

To justify these deletions, the Minister of Labor mentions the number of subsidized contracts, which is ” levels much higher than what we experienced for example in 2018 or 2019 ». « We are at almost 120,000 assisted contracts between the PEC (Skills Employment Course) and the CIE (Employment Initiative Contract) for the year 2023. In 2018, 2019, we were more around 65,000, 70,000 » he thus explained.

However, in his eyes, the current context, marked by stronger job creation and recruitment tensions, no longer justifies as many subsidized jobs. The unemployment rate remained almost stable in the second quarter, at 7.2% of the active population in France (excluding Mayotte) once morest 7.1% in the first quarter, according to the latest figures published by INSEE.

Why the full employment law risks increasing unemployment

Olivier Dussopt specified that the subsidized contracts should therefore be ” mobilized as a priority for those furthest from employment, seniors, people with disabilities, those under 25 with qualification difficulties, recipients of social minima “. As a reminder, subsidized jobs are initially intended to promote the integration of people furthest from employment, through aid (direct aid, subsidies, exemption from contributions, etc.) to reduce the cost of hiring, for companies.

The executive cajoles the employers

Not sure, therefore, that the measure can delight employers. The latter, however, is more concerned regarding corporate taxation. Emmanuel Macron and Elisabeth Borne promised Monday at the start of the Medef to continue the business-friendly policy initiated since 2017, while confirming the spreading over several years of the abolition of the CVAE, a tax initially supposed to disappear completely in 2024.

“We are pursuing a pro-business policy”, says Elisabeth Borne to the bosses, despite the regarding-face on the CVAE

« Since 2017, I think it’s new, we have been carrying out a pro-business policy because we are convinced that it’s good for our country and good for its employees. I assure you that we will continue “said the Prime Minister, promising that he” there will be no tax increases “. The executive’s charm offensive will continue by Tuesday, since a dozen members of the government are expected at the Meeting of French Entrepreneurs (REF), the Medef summer school.

While awaiting the government’s arbitrations for the 2024 budget at the end of September, the 150 speakers announced will debate at the REF various subjects: energy transition, future of transport, role of the State in the economy but also women’s rights, education system, artificial intelligence and even the future of religions. On Tuesday, the leaders of TotalEnergies Patrick Pouyanné and EDF Luc Rémont will work on how to ” support growth without damaging the climate with climatologist Jean Jouzel and Agnès Pannier-Runacher. Over the two days of the event, just over 10,000 people are expected by the organizers.

(With AFP)