The French will never accept this idea, but labour costs are too high in France

At a time when the French are demand ing increased purchasing power, the message that labour costs are too high in France is obviously not going down well. Yet: A reduction in low-skilled labour cost would reduce low-skilled unemployment ; In sectors that are not subject to foreign competition, labour costs are high relative to the level of sophistication of production, and there are market shares losses , leading to a continuation of the deindustrialisation. So what can be done? A fall in wages , as in Spain , is not conceivable; Negative social contributions on low wages; Improvement in labour force skills.