THE French are returning from their holidays in a depressed mood, disappointed by economic weakness and continued budget austerity which could lead to a difficult autumn for the government.

According to a poll published in the Le Parisien newspaper yesterday, 54 per cent of the French are pessimistic about "La Rentree" the big return to work, school and politics.

Strikes, poverty and job losses topped voters' worries, the CSA survey of 1,005 people showed. The poll also found that 78 per cent of those polled expected troubles for the centre right government when the summer holidays end.

Of the people surveyed, 52 percent feared strikes and social unrest the most.

Unions have vowed to challenge plans to cut spending by around 60 billion francs in real terms next year in a budget due to be unveiled in September.

Around 7,000 civil service jobs may go as part of government initiatives to close the gap between spending and revenues and qualify for a single European currency from 1999.

President Jacques Chirac on Sunday said he did not know whether there would be unrest after the summer break as threatened by unions, who say conditions are right to revive unrest to match a crippling 24 day wave of strikes in late 1995.

But financial markets are uncertain and the franc, bonds and shares remain fragile due to worries about the reaction to France's 1997 austerity budget, due to be unveiled in September.

Economists are sceptical the budget - marrying spending restraint with tax cuts - will be, enough to reach government's goal of a budget deficit of 3 per cent of gross domestic product, needed to qualify for European monetary union.