France Reduces the Duration of Unemployment Benefits for Certain Employees
In France, the duration of the unemployment insurance benefit is now shorter for employees whose contracts end as the result of an individual termination by mutual agreement. This change went into effect on September 1, 2026.
“Termination by mutual agreement” occurs when an employee and their employer agree to end a permanent employment contract. In France, it is distinct from a dismissal and a resignation; both parties must freely consent to the termination by mutual agreement.
The following maximum benefit periods now apply for these employees:
| Employee category | Duration of unemployment benefits |
|---|---|
| Employees who are under the age of 55 on the date their employment contract ends | 15 months |
| Employees aged 55 or older | 20.5 months |
A review clause was added that allows for negotiation to adjust the duration of benefits during periods of poor economic conditions. Beneficiaries aged 55 and over can only request an extension up to the duration set forth in general law, which is slightly longer. The France Travail advisor determines whether the duration of benefits can be extended. If the extension is denied, the beneficiary has 30 days to appeal the decision.
Source: Dentons
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