France Sees Unemployment Rise by 2% in October 2025 Amid Statistical Changes

Unemployment in France Hits New Heights in October 2025

France experienced a notable rise in unemployment in October 2025, with the number of job seekers without any activity growing by 2%, reaching approximately 3.37 million people. This increase marks the highest monthly level in several months and follows significant changes in how unemployment statistics are calculated and reported.

Why Are The Numbers Rising? The Impact of the RSA Reform

Several structural reforms have contributed to these changes in unemployment reporting. Notably, beginning January 2025, automatic registration of Recipients of the RSA (Revenue de Solidarité Active, a social welfare allowance), young job seekers tracked by local missions, and persons with disabilities followed by Cap emploi became part of France Travail’s unemployment rolls.

This automatic inclusion has inflated unemployment numbers, making it essential to interpret the statistics carefully. The RSA reform and changes in sanctions policy from June 2025 dramatically shifted official figures, with a drastic reduction in the number of job seeker removals due to sanctions from 45,000 per month to just 2,000 per month.

Annual and Quarterly Trends: A Closer Look at the Numbers

On a quarterly basis, unemployment among those with no activity increased by 1.6% during Q3 2025 compared to Q2.
Year-on-year growth indicates a significant rise of 7.6% in unemployment numbers.
Excluding the newly registered RSA recipients and other automatic inclusions, real market-driven increases are somewhat lower but still notable, standing at 0.7% over the quarter and 6.3% annually.
The official unemployment rate, as calculated by INSEE using international labor standards, rose slightly to 7.7% in Q3 2025, up 0.1 percentage points from the previous quarter.

Understanding the Broader Economic Context

While these rising figures might raise concerns, France’s overall economic indicators tell a slightly more nuanced story. The labor market is adjusting to new social policies, and inflation remains relatively contained around 0.9%. Manufacturing shows steady activity, and real GDP growth persists at moderate levels around 0.9% annually.

Nonetheless, the rise in unemployment highlights ongoing challenges in job creation and integration, particularly for vulnerable groups newly captured by the expanded registration system.

What This Means for Job Seekers and Policymakers

For job seekers, the evolving landscape means increased competition and the need for enhanced support programs tailored to specific populations. Policymakers face the delicate task of balancing expanded social protections with incentives for employment and updating statistical frameworks to better reflect the labor market realities.

Key Takeaways

Unemployment (category A) in France rose by 2% in October 2025 to 3.37 million.
Statistical reforms, including RSA automatic registrations, significantly affected unemployment data.
The annual increase in unemployment stands at 7.6%, with the rate hitting 7.7% in Q3 2025.
Economic growth remains moderate with inflation steady but challenges persist in labor integration.