France announces minimum wage increase, fuel support measures amid social mobilization

French Prime Minister Sebastien Lecornu on Monday announced a 1.6% increase in the minimum wage and measures to support purchasing power, as social mobilization continued across the country.

The minimum wage increase, announced by Labor Minister Jean-Pierre Farandou, will take effect on Dec. 1, bringing the net monthly minimum wage to €1,502 ($1,740).

Lecornu described the 1.6% increase as the second-largest minimum wage rise in France in 20 years, saying it was "not just symbolic."

He also argued that a larger increase would have led to significant job losses in the long term.

Lecornu said the government would use the tools available to it in the short term to address purchasing power concerns, including energy-related bonuses, higher tax-free overtime allowances and tax exemptions for profit-sharing bonuses.

The government plans to introduce amendments to the 2027 budget bill to implement the measures.

€1,000 cap on fuel allowance

Economy and Finance Minister Roland Lescure said the government would propose an amendment to maintain the €1,000 ($1,120) cap on the fuel allowance for employees in 2027.

He said the ceiling had been raised from €300 ($336) to €1,000 ($1,120) last year in response to the crisis in the Strait of Hormuz.

"We want to limit uncertainties over inflation and purchasing power," Lescure said.

Lecornu also said he no longer believed in announcements without tangible results, citing the release of 10 million barrels of diesel as an example of a measure that could produce concrete results.

"The revaluation of the minimum wage is not enough, but it has a major benefit: it launches a cycle of discussions on wage increases," Lecornu said, adding that a wage monitoring committee would meet with trade unions and employers in the coming days.

"There are concerns about the future ... tensions are emerging. There are social issues that the government must address," he said.

A new week of social mobilization began Monday, with a social conference organized by Lecornu’s office, bringing together trade unions and employers’ organizations.

More strikes to follow

Several trade unions and youth representatives who were not invited to the conference have called for a strike and demonstrations on Tuesday.

A total of 31 high schools across France were blocked as of 9.30 am local time (0830GMT) Monday, representing 0.8% of the country’s approximately 3,700 high schools, according to the Education Ministry, broadcaster BFM reported.

The ministry said no disruptions had been reported in nearly three-quarters of the country’s departments.

In the Ile-de-France region, 50 high schools were disrupted, according to the regional authority, which said many attempted blockades had been prevented by police or school staff.

The authority also reported around 30 incidents involving mortar fireworks, about 10 of them inside school premises. It said it would file complaints over damage at three high schools during the weekend, including a damaged gate, an intrusion followed by a fire and graffiti.