Compliance
Unemployment Reform Launch 2025

A new unemployment insurance agreement came into effect in early 2025, bringing a number of updates to benefit eligibility, duration, and calculation methods. While the overall framework began on 1 January 2025, most operational measures take effect from 1 April 2025.


These reforms aim to modernize the unemployment insurance system, improve fairness between age groups, and simplify benefit administration. Here’s a breakdown of what’s changing and how it may affect both employers and jobseekers.


Monthly Benefit Payments Standardized to 30 Days


Until March 2025, unemployment benefit payments varied depending on the number of days in each month — slightly higher for 31-day months and lower for 30-day months.


From 1 April 2025, payments will be standardized on a 30-day basis for all recipients. This means that benefit amounts will remain consistent month to month, regardless of calendar length.


This change applies to all beneficiaries under the standard unemployment system, including those already receiving benefits when the rule takes effect.


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Adjusted Duration of Benefits by Age


The new framework also revises the maximum duration of unemployment compensation based on the claimant’s age when their employment contract ends. From 1 April 2025, the entitlement periods will be:

  1. 22.5 months (685 days) for individuals aged 55–56 (previously 53–54)
  2. 27 months (822 days) for individuals aged 57 and above (previously 55 and above)
  3. 18 months remains the maximum for all other jobseekers


These changes reflect the government’s intent to provide extended support to older jobseekers while encouraging earlier re-entry into the workforce for younger groups.


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Revised Reference Period for Work History


Eligibility for unemployment benefits depends on recent employment history. From April 2025, the period within which previous work is considered will change:

  1. For jobseekers aged 55 and above, work periods will now be reviewed within the last 36 months before the end of the employment contract (previously 24 months).
  2. For all other jobseekers, the reference period remains 24 months.


This revision allows older workers to qualify for benefits more easily, acknowledging that re-employment can take longer for this age group.


Training-Related Extensions Adjusted


The age criteria for extending benefits during training programs will also shift. Previously, jobseekers aged 53–54 could receive an additional 137 days (or 182 days in overseas regions) of benefits during vocational training.


From 1 April 2025, this extension will apply to individuals aged 55 and above, aligning with the new age-based structure of the overall system.


Degressivity Threshold Lowered to Age 55


The degressivity rule, which reduces unemployment benefits by up to 30% after the 7th month for recipients with a daily allowance above €92.12, will now apply differently.


Starting in April 2025, this reduction will no longer apply to claimants aged 55 and above (previously 57 and above). The change ensures that older jobseekers maintain a stable income level during longer job searches.


Adjustments for Seasonal Workers


Seasonal workers will also see relaxed conditions for eligibility. From April 2025, they can access unemployment benefits after working at least 5 months within the previous 24 months, compared with 6 months under the previous rule.


The minimum compensation period for seasonal workers will now be 5 months, reflecting the same reduction.


Extended Flexibility for Job Reacceptance


Another important update concerns jobseekers who briefly return to work while receiving unemployment benefits. Under the new rule, if a recipient accepts a job but leaves it within 88 working days (around 4 months), they may retain their entitlement to unemployment benefits.


This revision provides more flexibility to explore short-term opportunities without permanently losing benefit rights. Previously, the limit was 65 working days (around 3 months).


Clarification of “Reasonable Job Offer” Criteria


The updated regulations also clarify what constitutes a “reasonable job offer.” It must correspond to the candidate’s skills, qualifications, geographic area, and expected pay level.


A decree published on 21 March 2025 specifies that the expected salary must now be based on wages practiced in France, rather than those in neighboring countries. This prevents cross-border wage comparisons that previously allowed frontier workers to base claims on higher foreign pay levels.


Rejecting two reasonable job offers without legitimate reason may lead to removal from the jobseeker register and suspension of benefits.


Tax Rate2024 Income Range (€)2025 Income Range (€)Difference (€)
0%up to 11,294up to 11,777+483
11%11,295 – 28,79711,778 – 30,567+1,770
30%28,798 – 82,34130,568 – 87,574+5,233
41%82,342 – 177,10687,575 – 188,699+11,593
45%over 177,106over 188,699+11,593


What These Changes Mean


The 2025 unemployment reform represents a technical yet significant evolution of the system. While the adjustments are mostly administrative, they bring clearer age-based distinctions, more predictable monthly payments, and improved flexibility for older and seasonal workers.


Employers and HR teams should stay informed, particularly when managing end-of-contract procedures, terminations, or rehiring processes, as these updates can influence employee entitlements and administrative timelines.