TLDR: Partial unemployment corresponds to a temporary reduction in working time when your company's activity is reduced or suspended. Compensation may then be provided depending on the applicable scheme.
Definition of partial unemployment
You are affected by partial unemployment when your working hours are reduced below the statutory working hours due to a temporary reduction or suspension of your company's activity.
This situation may notably result from economic difficulties, supply problems, a disaster, exceptional weather conditions, a transformation or restructuring of the company, or another exceptional circumstance.
Compensation provided
Compensation may take the form of a specific allowance, additional compensation, or a supplementary allowance paid by your employer. Depending on the scheme concerned, the State may cover all or part of these amounts.
Partial unemployment therefore does not mean that the staff disappears from the company: it involves a temporary reduction in activity or working time.
Tax treatment of allowances
According to the tax extract provided, allowances related to partial unemployment are subject to income tax in the category of salaries and wages. This tax reference dates from 2013 and does not necessarily describe the rules currently applicable to each situation.