State Funds Short-Time Work for Evacuated Businesses in Gironde and Landes

Bordeaux – 04.08.2026: The French state will fully cover short-time work compensation for employees of microenterprises as well as small and medium-sized businesses in areas of Gironde and the Landes department evacuated because of wildfires. The Ministry of Labour announced the measure on Tuesday. It applies to companies that have had to temporarily suspend operations as a result of official evacuations or access restrictions.

The commitment is intended to prevent the forced shutdown from quickly leading to layoffs or unpaid absences. Those affected include retail, service and accommodation businesses whose premises are inaccessible or whose customers are staying away because of restricted zones. Especially during the peak tourist season, even a few days of closure can place a considerable burden on smaller businesses.

The president of the regional employers’ association Medef welcomed the decision. Businesses had been heard in their demand for full coverage of the compensation. Pharmacies and other essential service providers also reported difficulties because restrictions limited access for employees, suppliers and customers.

Short-time work allows employers to temporarily reduce their employees’ working hours without terminating employment contracts. Those affected receive compensation for the hours lost. Companies must generally demonstrate that their work stoppages are directly linked to the exceptional situation. The relevant factors are therefore the evacuation and restricted zones defined by the authorities, as well as the specific operational constraints.

The aid is also clearly limited: it concerns compensation for hours not worked. It does not cover damage to buildings, machinery or inventory, nor lost revenue or the costs of reopening at a later date. Insurance benefits or other support measures may be available for such burdens. The Nouvelle-Aquitaine region refers businesses and agricultural operations to advisory services.

The wildfires have triggered extensive evacuations and road closures in Gironde and Landes. According to the Gendarmerie, more than 1,200 emergency personnel have been mobilized in the two departments. They are securing evacuated areas, keeping access routes clear for firefighters and emergency services, and accompanying residents’ return once the authorities permit it.

The economic consequences therefore extend beyond damaged or directly threatened areas. Even unaffected businesses may temporarily be unable to receive staff, obtain goods or serve customers. By fully funding short-time work compensation, the state assumes part of this loss risk and provides employees with income replacement during the ordered interruption.