ING economist Charlotte de Montpellier said France’s unemployment rate should continue to rise slightly.
The unemployment rate rose to 7.2% in the second quarter, slightly higher than the previous quarter, according to data released by the French National Institute of Statistics on Friday.
Montpellier said that the French labor market remains very solid and the employment rate remains at record highs, but there are signs that the job market is currently cooling.
The worse economic outlook should slow business hiring in the coming months, she said, and total employment will begin to shrink starting next year, pushing up the unemployment rate.
ING expects unemployment in France to reach 7.4 percent of the working-age population next year and 7.5 percent the year after.
