French here. I think he is stating the obvious, nobody is denying that. It's also the same reason it's hard to find a house in France: protective laws make both tenants and employers worried, and they filter quite hard the hiring/renting prospects.
On the other hand, once you are hired, being fired is pretty hard. So you don't have to worry about your boss being as abusive as you can find in the US because you can talk back.
Well, that's the theory. In practice I've rarely been talked badly by most people, the one time somebody was abusive, I told them to piss off, and they fired me. And I've never had any trouble finding a gig in my life ever since.
So your milage may vary as usual, but most people around me do report having a hard time with hiring/renting because of high steaks for both parties.