France: retirement at 64 and other moments of pension reform

Age delay retirement up to age 64 and contributing 43 years to receive a full pension are some of the measures proposed by the government Emmanuel Macron in France to achieve a “balanced” pension system.

Macronwhich has already withdrawn the first reform attempt in 2020 due to the arrival COVID-19is once again facing opposition from unions and the majority of the opposition, who are anticipating massive protests in January.

Below are the main points of the reform project:

64 years old

The statutory retirement age will be raised from 62 to 64 for three months a year from September 1, 2023 to 2030.

The measure “will affect all active workers”, including civil servants, the prime minister said. Elizabeth Terminal.

exceptions

Disabled people can retire earlier, starting at age 55, and disabled people from 62 years old.

Those who started working earlier will be able to retire earlier. Active workers under the age of 16 will be able to do so at age 58, and those who started working between the ages of 16 and 18 at age 60; and two years later, who began their careers between the ages of majority and 20.

Among civil servants, the military, police, firefighters or nursing assistants retain the right to early retirement.

43 years of listing

To receive a full pension, the contribution period will increase from the current 42 years to 43 years by 2027.

Thus, the government is advancing this goal set by the reform adopted in 2014 by the socialist government. Francois Hollandeand by 2035

The plan maintains a retirement limit of 67 with a full pension for those who have not contributed enough.

Maternity leave periods will also be taken into account, which will benefit primarily “women”, according to the government.

low pensions

The full pension of future retirees cannot be less than 85% of the minimum wage, i.e. about 1,200 euros ($1,287) at the time the reform enters into force, if it is approved parliament.

The measure will apply to those who are already pensioners, according to Borne, a concession to gain the support of the right-wing party. Republicans and that it would benefit “nearly 2 million” people.

work of the elderly

To make it easier to hire older people, the government will create an “older index” to “rank good practices and condemn bad ones.”

Companies with more than 1,000 employees must participate from this year, and those with more than 300 from 2024. The government does not rule out sanctions for resisting companies.

France plans to promote return to work retired improve their pension and make progressive retirement more flexible, allowing them to work part-time for two years before retirement while receiving part of the pension.

hardness

The Occupational Prevention Account, which takes into account night work and other hardship criteria, can be used to fund occupational reconversion.

Other criteria, such as carrying heavy loads, painful postures and mechanical vibrations, will be taken into account in a new one billion euro “Burnout Prevention Investment Fund”.

special modes

Most special pension schemes, for example for public transport in Paris RATP, energy companies or the Bank of France will no longer apply for new employees hired in these sectors.

AFP