It's paid by the state while you look for another job (national employment agency). If your plan is to create a new company instead of looking for a new job you can get the aid as well. They'll usually leave you (almost) alone as long as you prove that you created a company and that you're not getting any salary of course.

It's great and something that doesn't make the news so much. It could be viewed as a state funding program. The state will get back much more in taxes and employment when and if the startup takes off.

Wow, that's neat. I'm assuming there are regulations around it, like being a French national or something along those lines?

Either way, thanks for pointing this out. That's an incredible benefit.