Around 600,000 people with low pensions will receive an increase of up to 100 euros a month from autumn, Labor Minister Olivier Dussopt told broadcaster France 2 on Friday. “Some implementing decrees will be published in the coming weeks.” , said the minister. To mark the entry into force on Friday, Dussopt visited a regional office of the pension insurance company in Mulhouse, Alsace.
The reform approved in March is considered the most important reform of Macron’s second term. The government and unions had been locked in conflict over this for months. Over a total of 14 days of action, more than a million people participated in demonstrations every day.
The government’s use of the much-criticized constitutional article 49.3 allowed it to be approved without a final vote in parliament. This fueled protests against the reform after it was approved. Because of street violence, a planned state visit by British King Charles III was even cancelled. canceled in March.
The unions formed a united front against the reform and organized mass protests. The protests were accompanied by strikes on railways and airports. No rubbish has been collected in parts of Paris for weeks.
In fact, Macron put the delicate issue of pensions on the agenda in his first term. However, after the so-called yellow vest protests in 2018/19, the corona pandemic came and the reform was canceled for the time being. During the 2022 election campaign, the president announced a second attempt and warned the population that everyone would have to work a little harder. Originally, he wanted to raise the retirement age to 65, but in the face of emerging protests, he decided to raise it to 64.
Many people in France have worked beyond the age of 62 if they had not already paid enough into a deduction-free pension when they reached retirement age.
Macron justified the reform with an imminent deficit in the pension fund. Taking into account the aging of the population, workers – similar to what happens in Austria – would have to use their contributions to pay an increasing number of pensioners. To keep pension levels stable, the population has to work a little more.
The objective of the reform was also to standardize the 42 pension schemes currently in force. Most special funds will now be abolished, including those earmarked for the electricity and gas industries and local transport in Paris.
Furthermore, the number of years of contribution towards the full pension will now increase from 42 to 43 years more quickly than previously anticipated. As before, anyone who has not worked long enough should be able to receive their full pension by age 67 at the latest.
Those who work difficult jobs may be able to retire early in the future. Exceptions continue to apply to people who worked when they were young. As a social compensation measure, the reform envisages increasing the minimum pension to 1,200 euros for complete contribution periods. This rule should also apply to people who already receive their pension.
Conservative President Nicolas Sarkozy implemented the age-62 pension in 2010 after long strikes.