Premium of 1000 euros reassessed, more flexible solidarity fund ... the government is strengthening its support for employees and businesses

Support at all costs this " second line " in the fight against the pandemic. In factories, warehouses, transport and shops, many employees go to work with fear in their stomachs. To support and encourage them, the Minister of Economy and Finance, Bruno Le Maire has hinted that the premium of 1000 euros could be reassessed. " I am open to anything that will reward employees for their courage " declared the minister on BFMTV / RMC Monday morning.

Ten days ago, the Bercy tenant called on companies to pay their employees present a bonus of 1,000 euros. " I am completely open for it to go beyond 1000 euros," he said on Monday. I don't know if it will be a doubling or a simple increase ”. In the sight of the government: caregivers, but also cashiers, truckers, farmers, postal agents, banking agents. " This France of work, which is dignified, solid, courageous and deserves our respect ", summarized Bruno Le Maire.

Read also: Coronavirus: those employees at the front who drive the economy

Relaxation of the solidarity fund for businesses

While the containment measures have been extended at least until April 15, for small businesses penalized by the epidemic, the solidarity fund will be maintained " as long as the state of health emergency (...) as long as there is containment, "also announced the Minister of Economy and Finance. As a reminder, this solidarity fund, set up by the government, was endowed with two billion euros, for the months of March and April. The regions and insurers, for example, have put in the pot.

As part of this solidarity fund, to benefit from aid of 1,500 euros - a monthly lump sum - businesses had hitherto been forced to close; or have recorded in this month of March 2020, a loss of 70% of their turnover compared to March 2019. Bruno Le Maire announced that this figure of 70% " will be reduced to 50% loss of turnover" business in April, to cover an even larger number of people . ”

The Minister also stressed that during the review of the operation of this fund scheduled for early April with professional organizations and regions, the additional sum of 2,000 euros which may benefit on a case-by-case basis all companies threatened with bankruptcy would probably be revised upwards.

Companies called to responsibility

In addition, the Minister once again called on businesses to show responsibility. “ I invite (...) all the companies which have access today to partial unemployment, that is to say which have their employees paid by the state, to show the greatest moderation as regards dividend payments , ”said the minister.

And to hammer: " Be exemplary. If you use short-time working, don't pay dividends. (...) I invite all companies that benefit from partial unemployment either to show moderation, or - better - to set an example, not to pay dividends. The use of partial unemployment was requested Friday evening by 220,000 companies for 2.2 million employees in total, according to figures released Sunday by the Minister of Labor, Muriel Pénicaud.

" Neither will we tolerate companies buying back shares and paying dividends to their shareholders, " added Bruno Le Maire. “ The share buybacks will not be compatible with the benefit of support from the State treasury. Several major French companies have already announced that they have waived the payment of a dividend, in particular the advertising display specialist JCDecaux, the aircraft manufacturer Airbus, the flooring specialist Tarkett, the motorway restoration company Autogrill and the retail giant Auchan Holdings. Or the engine manufacturer and aeronautical equipment supplier Safran.

Read also: The State will ask companies in which it is a shareholder not to pay dividends in 2020

No more new growth forecasts

In addition, the Minister of the Economy indicated that he would not make a new growth forecast before the end of the containment. In his eyes, the forecasts of the INSEE which estimated that a month of confinement would make lose 3 points of GDP (gross domestic product) to the French annual growth are realistic. " It seems a reasonable assessment to me ," he said, without going further.

Before the coronavirus crisis, the government was banking on 1.3% growth in 2020. Last week, it warned that the health crisis would cause a fall in gross domestic product "much more" than 1%.