France: Could the reforms drive up the employment rate?

France’s employment rate is abnormally low and has risen less than in other OECD countries. But could its reforms (corporate taxation, education, vocational training, apprenticeships, redundancy payments, unemployment benefits, etc.) drive up its employment rate? To answer this question, we compare OECD countries and seek to determine what the employment rate is correlated with: Labour force skills? Labour costs? Corporate social contributions? The generosity of unemployment benefits? Labour market rules? The high correlation s between the employment rate and skills, corporate social contributions and employment protection show that France’s reforms will drive up the employment rate.