The government is challenged to calm social anger, without budgetary room for maneuver. This Monday morning, Sébastien Lecornu brought together unions and employers in Matignon for a social conference. It was intended to “provide answers to questions of purchasing power and wages”, according to the Prime Minister’s services, i.e. the issues at the heart of the demands of the mobilizations of recent weeks.
Around the table sat five representative trade union organizations (CFDT, CGT, FO, CFE-CGC and CFTC) and three employers' organizations (Medef, Les Entrepreneurs, and U2P). “Social tensions are strong, there are political concerns about the future,” recognized Sébastien Lecornu during a press conference at the end of this social conference, alongside his ministers Jean-Pierre Farandou (Labour), Serge Papin (SME, Commerce and Purchasing Power) and Roland Lescure (Economy and Finance). Smic, salaries, index point... Le Figaro takes stock of the government's announcements.
An increase in the minimum wage of 1.6% on December 1
The Minister of Labor Jean-Pierre Farandou announced an anticipated increase in the minimum wage, to which was added a “boost”. The minimum wage will thus be increased by 1.6% on December 1. As announced last week, it will pass the 1500 euros mark. It will amount to around 1,502 euros net per month, compared to 1,477.93 euros today, or 24 euros more. “During the year 2026, the minimum wage will have increased by 5.3%, which is considerable, or an additional 75 euros net over the year 2026,” underlined Jean-Pierre Farandou.
“We worked on this increase so that it would not be a source of job destruction,” said Sébastien Lecornu. “I think we should not despise” this increase, declared the Prime Minister, noting that it was “the second largest increase in 20 years”.
A decree to push the branches to increase minimum wages
As already indicated last week, the government confirmed that it would publish a decree this week to push the sectors to increase minimum wages. “We asked that the branches take up the subject and open rapid negotiations from next week, to raise the conventional minimums,” declared Jean-Pierre Farandou, who announced the establishment of a “salary monitoring committee to encourage the branches to negotiate”. This decree will condition general reductions in charges “at the effective level of conventional minimums”. “If necessary, we give ourselves the possibility of strengthening the power of this decree,” he added.
The fuel premium ceiling of 1,000 euros extended to 2027
Apart from the increase in the minimum wage, the government has announced other purchasing power measures. Roland Lescure thus indicated that the government would propose an amendment to the 2027 draft budget to keep the fuel premium ceiling at 1,000 euros next year.
The extended value sharing bonus
Serge Papin, for his part, announced a modification to the value sharing bonus, the former Macron bonus. Until now, an exemption from CSG was possible for companies with fewer than 50 employees, it will now be open to companies with more than 50 employees. In total, 4 million employees will be affected by this bonus, or 1.5 million more than today.
Tax exemption for overtime extended
While overtime is today exempt from income tax up to 7,500 euros per year, Serge Papin indicated that the government would propose a reduction of the ceiling up to 10,000 euros.
Extension of the tax exemption up to 75% of the coverage of transport costs
Finally, Serge Papin announced that the government would propose extending in 2027 the income tax exemption of up to 75% of the coverage of public transport costs for employees.
