PARIS (MNI) – French unemployment continued to mount in September,
Prime Minister Jean-Marc Ayrault said Wednesday ahead of the release of
official data later in the day.
The jobless trend “cannot be good,” Ayrault said in a radio
interview, putting the blame largely on the previous government for 17
straight months of rising unemployment.
Most analysts expect a slightly steeper rise in the number of
registered jobseekers in September. After a surge of more than 41,000 in
July, the increase in August slowed to slightly less then 30,000. The
median forecast for September in an MNI poll is for rise of 24,500 in a
range of +15,000 to +30,000.
Ayrault said he would unveil the thrust of the government’s
strategy to bolster competitiveness on November 5, including public aid
for producers to boost investment and innovation and measures to contain
labor costs.
The announcement will come the day after the former industry
executive Louis Gallois releases his already controversial proposals to
shore up competitiveness. According to media leaks, the report argues
for a E30 billion reduction in employer payroll taxes to be financed
mainly through higher taxes on incomes and or consumption. Several
ministers have warned that a massive increase in the tax burden on
households could have recessive consequences.
Ayrault assured that the report would provide an “essential
contribution” to the government’s plan, even if not all measures would
be adopted.
–Paris newsroom +331 4271 5540; Email: ssandelius@mni-news.com.
[TOPICS: MFFBU$,M$F$$$,M$X$$$,MGX$$$]
