3/15/2006

French Employers Can Now Fire More Easily

In a right-to-work state, we may take advantage of the ease with which we can hire and fire employees. In a post on the Atlantic Blog, it is explained that, for the first time, French employers may now fire employees without giving any reason. This only applies to employees under 26 years of age that have been in the job for less than 2 years. Some in France are upset by this new law. However, it seems that this could be a step in the right direction if France is to overcome their unemployment issues. According to the blog, unemployment rates are at 20% among young workers, with some areas reaching as high as 50%. Because it is so difficult for employers to release employees, many inefficient workers have held onto jobs that they should not have. By allowing employers to fire workers, unproductive workers will no longer be guaranteed a job, resulting in two possible consequences. First, unproductive workers will become more productive, allowing the employer to be more profitable. Second, unproductive workers will be fired, making room for productive workers. Either way, this new law will allow better opportunities for workers looking for jobs and for employers looking for better workers.

2 comments:

Dr. Tufte said...

Ashton's point is correct as far as it goes, but there is also the issue that there is little way for a poorer young worker in France to establish any sort of work record whatsoever. So, it isn't so much unemployment as never being employed which may change.

Commenting on this 3 weeks after the post went up, we now know that the French government caved in on this proposal.

Curtis W. Jackson said...

Hello,

How do you French citizens feel about the American economy? We just had some, significant job losses of major corporation. You may read more of today's posting,
http://curtisonthenews.blogspot.com

There are also videos about the economy. You may comment on my blog if you wish.