The French labour market is characterised by a low employment rate of the 15-24, which has been around 30% for the last 20 years (twice as low as in Denmark, and 1.5 times lower than in the UK or Germany). In 2012, the average overall unemployment rate for young people aged 16-25 reached 23.9%, its highest level in the last 30 years. In September 2013, the rate was 24.6%. The unemployment rate of young people is nearly 2.5 times higher than the overall unemployment rate (9.8% in 2012). Low-qualified young people experience even higher unemployment rates. In 2011, 40% of young people who left school with no diploma and 30% of those who left school after completing only lower secondary education (after the “collège” and not going to the “lycée”) were unemployed.

The unemployment rate on its own is, however, only a limited indicator for the situation of young people on the labour market. This rate relates only to the active population. However, a majority of young people aged 16-24 are still in training.

Longitudinal studies highlight the impact of initial training and diplomas. Low-qualified young people face many difficulties in accessing stable employment (only one third of them according to a cohort survey led by CEREQ from 2004 to 2007). The Emplois d’Avenir scheme directly targets these young people with no or low qualification.

Furthermore, some territories are particularly affected by even greater difficulties in offering access to the labour market for young people:

• First, there are the “zones urbaines sensibles (ZUS)” (disadvantaged urban areas), where young people with low qualifications are over-represented. In these areas, the youth unemployment rate was 42% in 2010. (Quantin (2011))
• Second, some rural areas are also disadvantaged. Access to employment is rendered more difficult by the lower presence of employers on the territory and by problems of mobility for young people.
• Third, French overseas territories also face significant issues with youth unemployment. Around one active young person out of two is registered as unemployed in these territories (Martinique, Guadeloupe, Guyane, Reunion Island). In 2007, between 26% and 58% of young people in the overseas territories have left the school system with no qualification. (Doligé (2009))

The aim of this programme is to ensure that 150,000 young people will have better opportunities in their future (hence the name of the scheme which can be translated as: “Jobs for the future”). This passes through a long-term contract up to three years and access to training leading to a qualification. Both these elements (a job experience and access to training and qualification) are supposed to enhance the beneficiaries’ opportunities on the labour market.

The programme represents a new layer in a long series of French employment policies setting up subsidised work contracts in the non-profit or private sector, in particular for the young people. However it contains several new objectives, in particular a better targetting of low qualified young people, through specific eligibility criteria as follows:

• Beneficiaries must be aged 16-25 (up to 30 if the young person is disabled)
• They must have a qualification level inferior or equal to a lower secondary level, that is to say a CAP or BEP, which are vocational grades. These levels correspond to the level V of the French qualification framework, equivalent to ISCED level 3c.
• In disadvantaged urban and rural areas, as well as in overseas territories, eligibility rules have been enlarged, so as to take into account the greater difficulties faced by young people, even those with higher qualification levels. According to this priority rule, young people with qualification levels up to Bachelor levels can access EA, provided they have been looking for work for at least 6 months out of 12 for the holders of a CAP-BEP, and 12 months out of 18 for higher levels.

• The “Emplois d’avenir” correspond to subsidised job contracts in the non-profit or private sector. The level of the subsidy is equal to 75% of the minimum wage in the non-profit sector and 35% in the private sector. Additional financing may come from local authorities.
• The non-profit sector has been given priority. It has been scheduled that approximately 10% of the contracts should be dedicated to the private sector.
• In each of the 22 French regions, a “regional orientation plan” was set up at the launch of the EA, identifying the economic sectors to be given priority in the implementation of the measure. In practice however, these plans have not proved to be very selective.
• The job contract can last up to three years and should at a minimum last one year. In the private sector open-ended contracts are given priority.
• EA have been from the start conceived as full-time jobs. The possibility is however left for local operators to conclude a part-time job (no less than a half-time i.e. 17.30 hours a week) if the situation of the young people calls for it (for instance young people with specific problems to solve, like in the health or housing fields).
• The EA must incorporate an individual training plan that should mix on-the-work training, mentoring, guidance and a possible access to a formal qualification.
• The local management of the EA scheme is ensured by the Missions locales, which are specific agencies belonging to the Public employment service dedicated to young people. Missions locales should work in cooperation with the other components of the PES in particular Pôle Emploi.
• A tripartite engagement is signed by the employer, the young people and the Mission locale, where the nature of the job, the training plan and the follow-up activities are synthetised.
• Specific job contract named Emplois d’Avenir Teachers (Emplois d’Avenir Professeurs) have been designed to create teaching professions (around 8,000 jobs created in 2013). This scheme is managed in parallel to the EA measure by the National Education and does not follow the same target groups or rules of implementation.

Main quantitative outcomes (December 2013):

In total, 76,160 jobs created under the EA scheme since its launching

• In the non-profit sector, 62,722 EA (Nov 2012-Dec 2013). This represents 82% of the contracts.
• In the profit sector, 13,438 EA (Nov 2012-Dec 2013). This represents 18% of the contracts.

In addition, around 8,000 teachers have been recruited under the companion “EA Teacher” scheme. This latter figure is sometimes added to the former one in order to get closer to the objective of 100,000 jobs created by the end of 2013.

Source : DARES, Ministry of Employment

http://travail-emploi.gouv.fr/IMG/pdf/synthese1213.pdf

Characteristics of the beneficiaries:

• 51% are women
• 46% are aged under 22
• Around 30% of beneficiaries living in a disadvantaged area

Qualification levels:

• Higher education (I, II or III level): 4%
• Upper secondary level (IV): 19%
• Graduates from lower vocational secondary education (V with a diploma): 39%
• Lower vocational secondary education (failed examination) (V with no diploma): 20%
• Left school after completing only lower secondary education (V bis): 10%
• Left school before completing lower secondary education (VI): 8%

Job characteristics:

• Full-time job: 89%
• Fixed-term contracts in the non-profit sector: 95%. Duration of contracts: 75% over two years in the non-profit sector
• Open-ended contracts in the private sector: 66%. Duration of contracts: 55% over two years in the private sector
• Main industries in the non-profit sector: personal services or community service activities (33%), accommodation and food service activities, tourism, leisure and amusement (21%), support service activities (13%)
• Main industries in the private sector: accommodation and food service activities, tourism, leisure and amusement (22%), trade, retail and sale (20%), construction, civil engineering (15%)

Training:

• Vocational training included in 99% of cases
• Skills training included in 38% of cases in the non-profit sector and 25% in the private sector

Broken contracts:

• 3% of the contracts in non-profit sector have been broken before 1 month, compared to 5% in the profit sector. In total 3% of the contracts have been broken before 1 month.
• 5% of the contracts in non-profit sector have been broken before 3 months, compared to 13% in the profit sector. In total 6% of the contracts have been broken before 3 months.
• 7% of the contracts in non-profit sector have been broken before 6 months, compared to 16% in the profit sector. In total 8% of the contracts have been broken before 6 months.