We can raise the SMIC as long as it doesn’t hurt employment: Jean‑Pierre Farandou aims for €1,500 net, but rejects any hike threatening jobs
Ahead of the national works council conference at Matignon, Labour Minister Jean‑Pierre Farandou declared his support for a rise in the SMIC beyond €1,500 net, while warning that an overly steep increase could…
On the eve of the opening of the social conference tomorrow in Matignon, the question of purchasing power and wages is at the heart of the discussions. While the CGT is demanding an immediate 10% increase in the minimum wage (an increase of around 150 euros) and the CFDT is pleading for an increase of 100 euros net per month, the Minister of Labor and Solidarity, Jean-Pierre Farandou, presented his position in an interview with La Tribune Dimanche. “I will give the Prime Minister a final copy this afternoon to restart the salary dynamic on the minimum wage and beyond, at all salary levels,” he indicated.
The minister intends in particular to act on the minimum wage, which concerns more than 2 million employees, but also to encourage compulsory annual negotiations in companies and branches, which affect "all 21 million employees in the private sector". On the amount of a possible revaluation, Jean-Pierre Farandou is however cautious. “I will not propose a measure that would harm employment,” he said, believing that raising the minimum wage to 1.
700 euros net would lead to the destruction of more than 230,000 jobs. Cross the 1 mark.
500 euros net “We can increase the minimum wage provided that we do not harm employment,” he insisted. “At a time when unemployment is on the rise again and young people are having difficulty finding work, preserving employment is also a social responsibility.” As a reminder, the net monthly minimum wage is now 1.
477.93 euros. Also asked about the desired level of revaluation, the minister believes that a possible increase in the minimum wage should make it possible to cross the threshold of 1,500 euros net.
However, he warns against too significant an increase, which could further weaken certain businesses or be "passed on to sales prices", with the risk of worsening "the cost of living". On the implementation timetable, Jean-Pierre Farandou wants rapid application of the measure: "We must not waste time", he says, referring to a possible entry into force from December 1, provided that the discussions are concluded quickly. Also regarding the consequences of an increase in the minimum wage on the activity bonus, Jean-Pierre Farandou wants to be reassuring: "The increase in the minimum wage does not cancel the amount of activity bonus received.
" The minister recalls that this aid, endowed with 11 billion euros, constitutes a "major public policy" intended to "guarantee that work pays more than inactivity". He also emphasizes that this aid was increased by 50 euros per month on July 1. The Minister of Labor and Solidarity also confirms the renewal of the Christmas bonus, affirming that the 2027 draft budget plans to protect "all employees 100% from . social minima", as well as small pensions.
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- BFM Business8 Nov, 08:46
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