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France’s Salaried Employment Falls 0.3% in Q3 as Apprenticeship Hiring Slows

Reduced apprenticeship aid is the chief driver, economists say.

Overview

  • Provisional INSEE data show 60,600 jobs lost in the quarter and a 0.5% decline year over year, marking a fourth straight quarterly drop.
  • About two thirds of the quarterly decrease stems from fewer alternance and apprenticeship contracts following February cuts to hiring subsidies, with the September intake hit hardest.
  • Market services shed 38,300 jobs (-0.3%), agriculture fell by 5,000 (-1.6%), and industry slipped by 3,200 (-0.1%), while construction declined 0.3% and temporary work eased 0.2%.
  • With market-sector output up 0.6% and employment down 0.3%, economists estimate a quarterly productivity jump of roughly 0.9% that is contributing to job destruction.
  • Registered unemployment at France Travail rose 1.6% in Q3, a figure influenced by automatic RSA enrollments and fewer removals, and overall salaried employment remains about 5.2% above late-2019 levels.