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Europe

inflation is slowing, but the purchasing power of the French has decreased

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Inflation is slowing, but the purchasing power of the French has decreased

The inflation observed over the last twelve months is much lower than that observed the previous year. But the French have become poorer since the end of the Covid-19 crisis. – (franceinfo)

The inflation observed over the last twelve months is much lower than that observed the previous year. But the French have become poorer since the end of the Covid-19 crisis.

The slowdown in price increases was confirmed in France on Friday December 1, with inflation of 3.8% over one year. Twelve months earlier, it peaked at 7.1%. After the Covid-19 pandemic, an inflationary wave swept across Europe. “The first trigger was the end of the Covid crisis. The factories got into working order, consumers also returned to the shops”, explains Stéphanie Villers, economist. Secondly, the war in Ukraine caused an energy crisis.

No help from the government for the minimum wage

On average, the French are poorer today than when they emerged from the pandemic. The most modest are the most affected, and for good reason: salaries have not kept up. On January 1, the minimum wage should be increased by 1.7%, or 23 euros more for a net minimum wage which would reach 1,406 euros net. On the other hand, no help from the government. “For me, it doesn’t change anything at all”, regrets a woman. Another pleads for “a minimum of 1,500, and even then, 1,500 is difficult”. 3.1 million of people should receive the minimum wage in January. A record for 30 years.



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