A few hours before President Emmanuel Macron’s speech and while the hypothesis of a curfew is emerging, INSEE published a report on Wednesday assessing the effects of confinement on the financial situation of French households.
Unsurprisingly, the confinement has hurt the French wallet very badly. In a study published Wednesday evening, INSEE stresses that“A quarter of households declare a drop in their financial situation following confinement”. If the introduction of teleworking has enabled many employees to continue to exercise their activity, this is not the case for all. The precarious employees (CDD, Interim) lost their jobs and saw their incomes melt overnight. Release makes the top 3 households most affected by containment.
1- The poorest households
Unsurprisingly, it is the poorest households that have been most affected by the consequences of containment. “Among the 10% of the most modest households, 35% assured to perceive a deterioration of their financial situation”, says the study. The proportion is half as low at the other end of the income pyramid, among the 10% of the wealthiest households. Explanation put forward by INSEE: “These differences observed between socio-professional categories can be explained in part by the fact that measures aimed at maintaining employment and income are not accessible to all in the same way. “ Neither precarious employees, nor the self-employed, nor self-employed people, nor traders have benefited from partial unemployment measures, for example.
Other explanation, heterogeneous access to teleworking: while executives have been able to use it massively, this has not been the case in the working class. “While 80% of active executives say they telework the week before the survey [réalisée du 2 mai au 2 juin, ndlr], this is only the case for 6% of workers ”, underlines INSEE.
2- Households with children
Households with children also wiped casts. Almost a third of them say they have suffered a deterioration in income against less than 20% for those who do not. The closure of schools and the obligation to keep children at home have a lot to do with it, “Forcing parents to restrict their working time“, Notes INSEE without surprise.
Not only have these households sometimes seen their income decline, but in addition they have had to cope with increased food expenses to feed their children for lunch. “The families had to pay for these meals without benefiting from the subsidies that constitute the social tariffs [dans les cantines]», notes the study. On the ground, associations fighting against poverty have witnessed the influx of families during confinement, who came to ask for food aid to deal with the situation.
3- young workers
Among young people, confinement has sounded the death knell for newly signed fixed-term employment contracts. Faced with uncertainty, many companies preferred to freeze hiring or not to perpetuate temporary contracts. In its report, INSEE affirms “That more than a third of young people in employment before confinement were unemployed the week preceding the survey”. This observation comes at a time when the debate on the establishment of an Active Solidarity Income (RSA) for those under 25 resurfaced earlier this week. But, interviewed on France Info, the Prime Minister, Jean Castex, swept aside this possibility. On the other hand, he should pronounce on Saturday on the support measures for the people most affected by the Covid crisis.