August 15, 2023

In Q2 2023, the unemployment rate was virtually stable

In Q2 2023, the number of unemployed people as defined by the International Labour Office (ILO) rose by 20,000 over the quarter and reached 2.2 million people. The ILO unemployment rate in France (excluding Mayotte) was thus virtually stable at 7.2% of the labour force. Over the year, it decreased by 0.2 points and stood 3.3 points below its peak level reached in Q2 2015. It remained very close to its lowest level recorded since Q2 1982 (7.1%).

Over the quarter, the unemployment rate was virtually stable for all ages. It stood at 16.7% (+0.1 points) for those aged 15 to 24, 1.1 points below its Q2 2022 level, and at 6.5% (+0.1 points) for those aged 25 to 49, almost at the same level a year ago (-0.1 points). For those aged 50 or more, the unemployment rate stood at 5.1% (-0.1 points), at the same level a year ago.

Over the quarter, the men’s unemployment rate decreased by 0.2 points, to 7.2%, and got closer to the women’s unemployment which rebounded by 0.3 points over the quarter to 7.1%.

The halo around unemployment was virtually stable over the quarter

Among the inactive people as defined by the ILO, 2.0 millions wanted a job without being considered unemployed, because they either do not seek a job or are not immediately available: they made up the halo around unemployment. This number was virtually stable over the quarter (‑7,000) and increased over the year (+90,000). The share of halo in the population of people aged 15 to 64 stood at 4.7%. This share was virtually stable over the quarter (+0.1 points) and rose by 0.3 points over the year. Among young people, the share of halo increased very slightly over the quarter (+0.1 points to 7.2%), bringing the year-on-year rise to 0.9 points. However, it was stable or almost stable over the quarter and over the year for those aged 50 to 64, at 3.1%, and for those aged 25 to 49, at 4.7%.

The long-term unemployment rate was stable

Among the unemployed, 564,000 people on average in Q2 2023 declared being jobless and having been job seeking for at least one year. This number decreased barely over the quarter. Thus, the long-term unemployment rate was stable over the quarter at 1.8% of the labour force. It stood 0.2 points below its Q2 2022 level and at its lowest since Q1 2009 (1.7%), with the exception of the “trompe-l’oeil” fall in Q2 2020 (1.4%) during the first lockdown.

The 15-64 employment rate remained at its highest level since 1975

On average, in Q2 2023, the employment rate of people aged 15 to 64 rose was stable at 68.6%. it stood 0.5 points above its Q2 2022 level and at its highest since INSEE started measuring it (1975).

Over the quarter, the employment rate was virtually stable for those aged 15 to 24 at 35.1% (‑0.1 points) and remained slightly above its level a year ago (+0.2 points). For those aged 25 to 49, the employment rate was virtually stable at 82.8% (-0.1 points) and rose by 0.5 points over the year. Finally, for those aged 50 to 64, it increased by 0.3 points over the quarter and by 0.8 points over the year to 66.8%, its highest level since INSEE started measuring it (1975). In particular, the employment rate for those aged 55 to 64 rose by 0.7 points over the quarter and by 1.6 points over the year.

The share of part-time employment rate fell back very slightly

The full-time employment rate stood at 57.2% in Q2 2023. It stood at its highest since INSEE started measuring it on a quarterly basis (2003). It was stable over the quarter and 0.4 points above its level a year ago. The part-time employment rate was virtually stable over the quarter, at 11.3% (-0.1 points), after a 0.2 point increase in the previous quarter. As a result, the share of part-time employment in total employment fell back by 0.1 points over the quarter, to 17.3%. This share stood at the same level a year ago and 1.5 points below its level at the end of 2019.

Underemployment was virtually stable over the quarter

In Q2 2023, 4.5% of employed people were underemployed. This share was virtually stable over the quarter (+0.1 points) and stood 1.5 points below its pre-crisis level (at the end of 2019).

On average, in Q2 2023, 16.6% of participants in the labour market (active people or in the halo around unemployment) were constrained in their labour supply, either by the absence of a job (unemployed or halo around unemployment), or in a situation of underemployment. This share was virtually stable over the quarter (+0.1 points) and over the year (-0.1 points) but stood 2.3 points below its pre‑crisis level.

In Q2 2023, the average number of hours worked per week and per job was 31.1 hours (seasonally-adjusted), down by 1.9% compared to its level a year ago. This drop over the year may be explained by a lower number of working days in Q2 2023 than in Q2 2022 (calendar effect), while the number of non worked days due to sick leave decreased over the year.

Permanent employment rate barely decreased over the quarter, fixed-term employment was stable

The permanent employment rate for people aged 15 to 64 was decreased very slightly over the quarter (-0.1 points) to 50.5%. It stood 0.7 points above its pre-crisis level. The employment rate on fixed-term contract or temporary work was stable over the quarter, at 6.8%, 0.4 points above its level a year ago. The self-employed employment rate was stable over the quarter, at 8.5%, while the work-study employment rate increased very slightly (+0.1 points) to 2.4%.

The activity rate remained at its highest since INSEE started measuring it

The activity rate of people aged 15 to 64 was stable over the quarter at 73.9%. It grew by 0.3 points over the year and by 1.1 points compared to its end of 2019 level. It stood at its highest since INSEE started measuring it (1975).

Over the quarter, the activity rate for people aged 15 to 24 was virtually stable, at 42.2% (‑0.1 points). It was stable for those aged 25 to 49 at 88.6%, 0.5 points above its level a year ago. Finally, for those aged 50 to 64, it was virtually stable at 70.4% (+0.1 points), 0.8 points above its level a year ago.

The share of young people aged 15 to 29 neither in employment nor in education or training decreased again very slightly

In Q2 2023, the share of young people aged 15 to 29 neither in employment nor in education or training (NEET) decreased again very slightly to 12.2% (-0.1 points). This share stood 0.2 points above its Q2 2022 level and almost at its end of 2019 level (-0.1 points).

Source: INSEE
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