Macron Law Jolts French Labor Market

PARIS—Some of France’s largest employers are seizing on President Emmanuel Macron’s labor-system overhaul to undertake mass layoffs, heralding a sea change for a country that has long coddled its workforce.

Peugeot SA, the country’s biggest car maker, plans to cut 1,300 jobs under new rules for voluntary layoffs that came into force at the start of the year. Société Générale SA, France’s third-largest listed bank by assets, and IBM Corp. are also preparing to take advantage of the measures.