Never seen since 1958! The Council of Ministers adopted 25 ordinances on Wednesday, March 25, as part of the state of health emergency caused by the epidemic of coronavirus. Sign, according to Edouard Philippe, that “It will also be, more and more, an economic shock, a social shock”. Car “We are only at the beginning of the crisis”, warned the head of government. Rules on working hours and paid holidays will in particular be revised. These exceptional measures are intended, in principle, to apply only during the health crisis period.
Financial aid for very small businesses
The ordinances set up a solidarity fund of one billion euros, including 250 million euros provided by the regions. In addition, some companies, including insurers, have indicated that they will contribute up to 200 million euros.
Companies with less than 10 employees and whose annual turnover is less than one million euros will be able to benefit. They must also be the subject of either a closure measure or a “Very significant decrease” of their turnover. Beneficiaries will receive assistance of 1 euros paid "At the beginning of April", according to Matignon. Additional aid of 2 euros may be paid "case by case" for very small businesses that risk bankruptcy, but only if they have at least one employee.
Relaxation in the payment of rents and energy for very small businesses
In addition, companies eligible for the solidarity fund will not be able to suffer energy cuts due to unpaid bills and will be able to obtain a six-month deferral of payment without penalty. For rents, during the two consecutive months in the state of health emergency, penalties for unpaid bills are prohibited. “We will not leave anyone behind”, underlined the Minister of the Economy, Bruno Le Maire, at the end of the Council of Ministers, adding that the solidarity fund “Will be maintained as long as the crisis lasts”.
Derogations to the length of working time in certain sectors
The texts provide, in certain sectors of activity, for a modification of the dates of paid leave and exceptions to the maximum working time and to weekly and Sunday rest, “To allow the organization of a real war economy in vital sectors and under conditions”, underlined Edouard Philippe. It means that “Companies will be able to derogate temporarily and with subsequent compensation from the maximum working hours and from the weekly and Sunday rest rules”. It is expected that these exemptions - both for paid leave, working hours or Sunday work - will be possible until December 31, 2020 and “Not beyond”.
An overhaul of the partial unemployment system
The Minister of Labor clarified the “Complete overhaul of the partial unemployment benefit system”, which compensates an employee up to 70% of the gross salary and 84% of the net salary, with a contribution from the State up to the minimum wage. Muriel Pénicaud indicated that 37 companies had already applied to benefit from this device, half of which have less than 000 employees.
Developments in the social sector
Five ordinances relating to social affairs also set up a funding guarantee for health establishments, the possibility for childminders to look after up to six children, with a family information service to know in real time the availability. .
The ordinances also provide for the extension of open rights for several social minima, and that of the winter truce, extended until May 31, including as regards the supply of energy, which cannot be interrupted due to non-payment.
Measures to support economic life
Companies in the travel sector will be able to reimburse canceled services in coupons. If these credits are not used, customers will be reimbursed after eighteen months.
The ordinances also provide for simplification measures for the benefit of companies: additional deadlines for the publication of the accounts and the possibility of organizing general meetings and boards of directors by videoconference, or even mail. The principles of public procurement are also simplified.
Finally, the text provides for a simplification in the authorizations issued to telecom operators for interventions on the roads and roofs.
Reduction of sentence and suspension of prescription
Regarding justice, an ordinance suspends the prescription of public action and the execution of sentences, widens the use of the single judge for correctional hearings, and allows the use of videoconferencing, in particular for the assistance of a lawyer in police custody or the presentation of a suspect before the public prosecutor or the judge of freedoms and detention.
The orders also create new two-month sentence reductions for inmates, converted to house arrest. However, they cannot concern people convicted of terrorism or domestic violence. The possibility of ruling in camera is also extended.
Regarding residence permits, all documents that expire between March 16 and May 15 have an extended validity of 90 days, “This in order to prevent the people concerned from having to go to the prefecture”, explained Matignon.
Relaxation of public account management rules
Two orders relating to the management of public accounts aim to ensure the continuity of payments by relaxing the rules, in particular with a derogation from the provisions relating to the responsibility of public accountants.
An extension of the delegations granted to the presidents of regional councils for the granting of aid to companies in difficulty is also planned.
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