Labour Research March 2006

European news

Young worker dismissal law passed

The French parliament has agreed new rules governing the employment of young workers despite nationwide demonstrations against the legislation.

The new arrangements, known as the CPE, allow employers to dismiss those aged 25 and under during the first two years of their employment, without giving a reason. This effectively extends the probation period, which previously ranged from a week to at most six months, to two years.

The government argues that the changes are necessary to cut unemployment among the under-25s, which at 22.7% (December 2005) is more than twice the overall average.

It also says that in practice young workers are already often employed on a series of short-term contracts and that the new arrangements should replace this.

Unions reject these claims and on 7 February organised protests in more than 180 locations across France.

François Chérèque, general secretary the CFDT, one of the two major union confederations in France, said: “The public is turning against the CPE”. A recent opinion poll showed 60% of the French public thought the CPE would leave more young people in precarious employment.

The CGT, the other main union confederation, has called for further action in opposition to what it describes as “discrimination against young people”.