Unemployment of cross-border workers: an agreement to reduce compensation

Unemployment benefits for cross-border workers could well fall in the future. Thursday evening, French employers and unions agreed to make this proposal to the government, reports “Le Temps”. Called on to find ways to save money, the social partners took up this thorny issue: French residents who have lost their jobs in Switzerland (but also in Luxembourg, Germany and Belgium) are compensated in relation to their last treatment Swiss. Given the level of Swiss salaries, their unemployment benefits sometimes far exceed what an employee working in France can earn.

According to a report from Unédic (the entity which manages unemployment insurance in France), the average compensation for a cross-border worker is on average 2,670 euros per month (in 2023). The idea put forward is as follows: reduce these allowances by applying a reduction coefficient taking into account the difference between the salary (Swiss for example) and the cost of living in France.

This solution would have a double advantage in the eyes of its proponents: avoiding an additional cost of 800 million euros per year to French unemployment insurance, and encouraging unemployed cross-border workers to find employment as quickly as possible, even in France, while They have little interest in it to date.

Séverine Guessé, from the Unédic press service, confirms that an agreement between the social partners was reached Thursday evening. However, nothing comes into effect immediately. “The agreement will result in an unemployment insurance agreement which will then be subject to the approval of the Prime Minister,” said the speaker.

Guylaine Riondel-Besson, doctor of law and expert with the Fédération desentreprises romandes (FER), reviews the history of this Franco-Swiss issue. “Before the bilaterals, Switzerland returned 90% of the unemployment contributions paid by cross-border workers.” Then, the system changed: Switzerland began to return compensation over a period of only three to five months. “Which turns out to be much less interesting for France,” specifies the expert. Hence the desire of the French state to “target cross-border workers” to “find money”.

According to Guylaine Riondel-Besson, the application of a reduction coefficient goes against the principle of equality between residents and people working abroad. “In the past, the European Court of Human Rights has also condemned an attempt to establish a similar system.” Voices are already being raised to take legal action over this new agreement. Guylaine Riondel-Besson calls for a discussion between states instead of “hitting the border worker”.

“This decision stigmatizes the cross-border worker”