Economy

Elisabeth Borne wants to convince of the balance of her project

Throughout her presentation of the pension reform, Tuesday evening January 10, Prime Minister Elisabeth Borne kept chanting these three words: balance, justice, progress.

Accelerating the Touraine reform

Balance first, because it is good for the government to preserve the pay-as-you-go pension system. Wishing to put an end to the pension deficit, which could reach 13.6 billion euros in 2030 according to him, the executive therefore wishes to increase the legal retirement age.

From 1er next September, this one, announced Élisabeth Borne, “ will be gradually increased by three months per year to reach 64 years of age in 2030 “. “ We will therefore be at 63 years and three months at the end of the quinquennium. “Said the Prime Minister, aware that the measure will provoke an outcry from the unions.

In addition, the pace of the Touraine reform, which planned to reach a contribution period of 43 years in 2035 to obtain a full pension, will be accelerated. By going from an increase of one quarter every three years to one quarter per year, the target will be reached by 2027. No question, however, of touching the age of cancellation of the discount of 67 years.

Increase in employer contributions

Finally, very unexpectedly, employer contributions will be increased. As the government nevertheless refuses to increase the cost of labour, this increase will be painless for companies because it will be offset by a symmetrical reduction in their contribution to the excess, industrial accident and occupational disease plan.

According to the Minister of Economy and Finance Bruno Le Maire, this measure will guarantee the financial balance of the reform. This must indeed bring in 17.7 billion in 2030. If the deficit of 13.6 billion will therefore be filled, there was nevertheless a lack of 600 million euros to finance the social justice measures announced on Tuesday evening.

Measures of “justice”

Because, in presenting her reform, Elisabeth Borne largely insisted on the measures of “ justice ” and of ” progress which accompany it. The long career system will be preserved. The legal retirement age will thus remain at 58 for those who have started working before the age of 16. Between 16 and 18, the age of apprenticeship on which the government also insists a lot, an intermediate level to the current system will be instituted allowing a departure at 60, and at 62 for those who started between 18 and 20 years old.

In addition, periods of parental leave will now be taken into account, which should concern a large number of women with cut careers.

On professional wear and tear, the government will strengthen the professional prevention account, in particular with regard to the consideration of night work. On the other hand, the reintroduction of hardship criteria abolished in 2017 (and in particular the carrying of heavy loads) was not mentioned.

Early departures

Military and civil servants in the active categories, who can retire earlier, will be able to continue to do so, but the early departure will be postponed for two years. However, the length of service required to benefit from this early departure will not be modified.

Similarly, early departures for disability or incapacity will be maintained and the years spent as a family caregiver will now be counted, as will the quarters of the 2 million French people who carried out community work (TUC) in the 1980s.

In total, 4 out of 10 people retiring each year will be able to benefit from early departures and will not have to work until the age of 64 “, assured Élisabeth Borne who also announced the end of the special regimes of the RATP, electric and gas energies, the Banque de France, the clerks of notaries and the members of the Economic and Social and Environmental Council. ” A measure of fairness “, she assured, who “ will only apply to new hires “.

Revaluation of small pensions

Finally, the Prime Minister insisted on the social progress brought about by her reform. And first of all the assurance that all new retirees, including craftsmen and traders, will leave with a pension equivalent to 85% of the minimum wage, i.e. ” €1,200 per month starting this year “.

Discussions will be initiated with the majority and Les Républicains to extend this minimum pension to current retirees. But the cost of this extension, around a billion euros, is far from being financed, the Prime Minister confining herself to evoking the possibility of bringing into play solidarity between branches of Social Security.

Élisabeth Borne, in any case, insisted at length on the dialogue that presided over her reform, whether with the unions or with the Republicans ” This dialogue has been useful: the project is better than six months ago “, she pleaded, hoping that her text, which will take the form of an amending Social Security finance bill, will be presented to the National Assembly ” with the desire to find an agreement and a majority “.

Source : BBN WORLD NEWS

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