The agreement on the labor market is crucial for the notation

PARIS (Reuters) - The agreement on the reform of the labor market could raise a mortgage on the creditworthiness of France in the eyes of rating agencies and reassure international investors stung by a renewed interventionism étatique.

representatives of employers and trade unions are part of an agreement reached Friday combining greater job security for employees in return for greater flexibility market travail.

"This is a historic negotiation. Certainly by its immediate impact but also it will echo internationally," said Louis Gallois at a meeting with the editor of Reuters before the final phase of negotiations .

The former leader of EADS and SNCF had pleaded in its report on the competitiveness of the French economy for the introduction of flexibilities in the CDI in exchange for limiting the use of temporary contracts (CDD, temporary ...) .

If

nearly 85% of 17.7 million private sector employees have permanent contracts and 14% on temporary contracts (3.6% in temporary assignments and 10.1% in CDD), the proportions are very different flows on hiring, according to data from the Urssaf .

On

20.7 million excluding temporary hires recorded in 2011, only 16% were made permanent, the proportion is even lower if the 18.6 million hires in temporary assignments are taken into account.

"The idea that it moves in France through social dialogue is a very strong signal to the international level," Louis Gallois insisted that did not hesitate, like others, to intervene in the midst of final negotiations pressing social partners conclure.

MARGINS MANOEUVRE

They have seemed quite insensitive to this aspect of the negotiation until the last minute camping on positions very traditionnelles.

The Head of State had urged repeatedly to reach an agreement which he himself had stressed the historical significance immediately, warning that if the government would have to légiférer.

The successful negotiation of room for maneuver gives an executive whose popularity continues to fall and which must lead two other major social reforms in the coming months: the financing of social security and that of retraites.< / p>

It is also capable of correcting international investors an image of a France paralyzed by a sterile opposition between the social partners agreed prisoners of postures or openly hostile to capital étrangers.

The major rating agencies, all of which have a negative outlook on the rating they give to France, they justify their doubts about continuing on France by the rigidity of the labor market and the need to emphasize reforms structurelles.

Without going to evoke an increase in their rating, Standard