After a drop in the spring, the unemployment rate in France increased by 0.1 point between July and September 2024, reaching 7.4% of the active population, according to INSEE. This increase, although modest, mainly affects young people, whose unemployment rate now stands at 19.7%. At the same time, seniors have a record employment rate, partly supported by pension reform.
A moderate increase in unemployment
INSEE announced that the unemployment rate in France increased slightly in the third quarter of 2024, from 7.3% to 7.4%. In figures, this represents 35,000 additional job seekers, bringing the total number of unemployed to 2.3 million people. Although moderate, this development marks a break after the decline recorded in the second quarter. However, INSEE describes this trend as “quasi stable”, emphasizing that the rate remains significantly lower than the peak of 10.5% reached in 2015.
The unemployment rate, harmonized according to European standards and calculated according to the International Labor Office (ILO), is, however, stable over one year. At 7.4%, it also remains close to the historic low level observed at the end of 2022, at 7.1%, a figure not seen since the early 1980s. However, certain age groups are feeling the repercussions of this increase more harshly than others, especially young people.
The most marked change concerns 15-24 year olds, for whom the unemployment rate jumped by 1.8 points in one quarter, reaching 19.7%. This increase is explained in particular by the difficulties of professional integration encountered by young people leaving studies, as well as by a less favorable economic situation for first jobs.
Reduction of the “halo around unemployment”
This situation contrasts sharply with other age groups: the unemployment rate for those aged 25-49 fell by 0.1 point, and that of those aged 50 and over fell by 0.3 point. For the latter, the employment rate even reached a record of 68.8%, the highest level observed since 1975, supported by recent pension reforms aimed at keeping seniors in work.
Unemployment also shows a differentiated increase between the sexes. Among men, it rose by 0.3 points to 7.6%, while the rate fell by 0.2 points among women, to 7.2%.
In addition to the unemployment figures, INSEE notes a significant drop in the “halo around unemployment”. This halo groups unemployed people who do not meet the ILO criteria to be considered unemployed – either because they are not actively looking or because they are not immediately available. In one quarter, 89,000 people left this halo, and over one year, this number fell by 187,000 individuals. This decrease could indicate renewed dynamism in the job market, with some people on the margins having potentially found work or started looking for work.
Despite the slight rise in the unemployment rate, the labor market remains relatively stable in France, according to INSEE analysts. However, the situation of young people continues to worry, while the employment of seniors continues to increase, partly thanks to public policies aimed at extending working lives.
