According to the latest INSEE data, France’s unemployment rate rose to **7.9 %** in the fourth quarter of 2025, the highest level recorded since the third quarter of 2021. The increase is largely driven by young people, with more than one in five workers aged 15‑24 now unemployed.
Key numbers at a glance
- Unemployed population (excluding Mayotte): 2.5 million, up 0.2 percentage points quarter‑on‑quarter and 0.6 points year‑on‑year.
- Unemployment among 15‑24 year‑olds: **21.5 %**, a jump of 2.4 points in three months.
- NEET (Not in Education, Employment or Training) rate for 15‑29 year‑olds: **12.9 %**, up 0.4 points.
- Unemployment for ages 25‑49 fell by 0.2 points; rates for those over 50 remained unchanged.
Why the rise?
Economists point to a combination of factors. After a post‑COVID boom backed by generous fiscal and monetary support, growth has slowed to just 0.9 % in 2025. At the same time, public‑sector austerity aimed at rebalancing the budget has reduced hiring incentives.
Matthieu Plane, deputy director of the OFCE’s Analysis and Forecast department, notes that the labour market is moving from a period of rapid expansion to one of cautious consolidation. Nathalie Chusseau adds that heightened national and international uncertainty is prompting firms to delay new hires.
Young people bear the brunt
The surge in youth unemployment is partly linked to changes in the apprenticeship system. Vladimir Passeron of INSEE observes that fewer apprentices are receiving public subsidies, leading many students to postpone job searches until after their training ends.
Meanwhile, the proportion of young people not in work, education, or training (the “NEET” category) has risen, highlighting a growing disconnect between education pathways and labour‑market demand.
Government reaction
The Ministry of Labour stresses that structural indicators remain robust and that the overall employment rate for the 15‑64 age group is at a historic high, thanks in part to the 2023 pension reform which kept older workers active.
Minister Jean‑Pierre Farandou reaffirmed the priority of youth integration and job creation, while Economy Minister Roland Lescure warned that “the fight against youth unemployment is far from over” and called for more entry‑level positions.
Proposals such as a flexible permanent contract (CDI) with a short‑term termination clause, floated by the Medef, have been rejected by trade unions and have not been adopted by the government.
Looking ahead
President Emmanuel Macron’s pledge to reach “full employment” by 2027 – targeting an unemployment rate around 5 % – now appears out of reach. In comparison, the EU average stood at 5.9 % in December 2025, underscoring France’s relative lag.
Analysts expect the upward trend to continue into 2026 unless decisive policy measures are introduced to spur hiring, especially for young workers.