Infotech Contractual terminations are on the rise again in 2021

Contractual terminations are on the rise again in 2021

Individual contractual terminations rose again in 2021 and reached a record number, with nearly 454,000 terminations (6.1% more than in 2020), according to data published by the Ministry of Labor on Tuesday, August 2. .

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But despite this record number, the figures for 2021 “confirm(s) the slowdown (in the increase) observed in the years preceding the pandemic”says the report of the Statistics Department of the Ministry of Labor (Dares).

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With the exception of 2020, the number of mutually agreed terminations has increased continuously since their creation in 2008, but the increase has been less marked since 2018.

Increase in employees and workers

Developed by the Fillon government, the contractual termination of the indefinite term contract must obtain the agreement of the employee and the employer.

Unlike dismissal, this procedure allows the employee to receive compensation, and the employer to avoid industrial tribunals. But it is pointed out by some unions who see it as a disguised resignation or early retirement.

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No age group, socio-professional category or professional sector escaped this increase, with the exception of the information-communication (-4.5%) and insurance (-0.4%) sectors.

In detail, the number of conventional terminations is on the rise again among employees (+ 7.7%), workers (+ 7.6%) and technicians (+ 5.7%). Among executives, the good health of employment explains a much lower increase (1.6%) than before Covid (+10% in 2019).

Better compensation for executives

Another trend confirmed, executives leave with better compensation than employees: 0.3 months salary per year of seniority, against 0.25 (the legal minimum) for employees.

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According to Dares, the“median compensation (for executives) thus amounts to 5,280 euros, against 1,000 euros for employees”. The check received by executives has however decreased since 2020: it then amounted to an average of 5,510 euros.

In France, the experts called upon by AFP relativize the phenomenon of “great resignation” appeared following the health crisis. This notion, originating in the United States, is difficult to apply in France, where resigning workers do not leave the labor market.

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