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Why labor is more expensive in France than our neighbors

2024-03-18T16:57:15.081Z

Highlights: The cost of labor in France is among the highest in Europe, behind Luxembourg, Denmark and Belgium. Despite the efforts of successive governments, France remains one of the leading countries in terms of labor costs in Europe. In the rest of Europe, only Denmark and Norway were higher. The notion of hourly labor cost takes into account, on the one hand, the net salary received by the employee, as well as the social security contributions he assumes and those accruing to his employer. On this criterion of the costs borne by salaries, France ranks among the countries where they are the highest.


DECRYPTION - The cost of labor in France is among the highest in Europe, behind Luxembourg, Denmark and Belgium.


Despite the efforts of successive governments, France remains one of the leading countries in terms of labor costs in Europe.

On data for the third quarter of 2023 published by Eurostat, the cost of a working hour in France in industry and the commercial sectors was the third in the euro zone, at 43.35 euros, behind Belgium (47.20 euros) and Luxembourg (54.55 euros).

Compare with an average of 36.29 euros in the euro zone.

In the rest of Europe, only Denmark and Norway were higher.

Also read: Anne de Guigné: “In France, you can work more to earn less”

The notion of hourly labor cost takes into account, on the one hand, the net salary received by the employee, as well as, on the other hand, the social security contributions he assumes and those accruing to his employer.

On this criterion of the costs borne by salaries, France ranks among the countries where they are the highest: remuneration after deduction of contributions only reaches 68% of the hourly cost, compared to 75% on average in the euro zone. , or 90%…

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Source: lefigaro

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